Thanks to the ongoing pandemic, the need for social distancing and personal mobility is at an all-time high. This has certainly increased the need for personal transportation and the demand for cars and bikes in the country – not only for brand-new ones, but for used vehicles too.
According to the recent ‘OLX Autos-CRISIL Study 2021’ first time buyers account for about 40-45 percent of pre-owned cars sold in India. So, should your first car also be a pre-owned one? Here’s five good reasons why.
Save more
Perhaps the biggest reason to buy a used car over a new car is the lower purchase price. Over the past few years, new car prices have risen tremendously, thanks to rising input costs and the enforcement of newer technology required to meet stricter emission and safety norms. Taxes too have played their part, and rising fuel costs have certainly added to ownership expenses. And as with every year, most manufacturers have already announced price hikes for 2022.
Thus, opting for a used purchase means you not only pay less than the original value of the car, but your purchase price could be significantly lower than a new car today. Factor in lower insurance premiums, and your savings only add up.
And with the big depreciation hit already taken by the first owner you’ll likely lose a lot less during the onward resale. Plus, today, most manufacturers as well as many players in the organised pre-owned space also perform a full check-up and offer a warranty on used cars too.
Safer sooner
Due to budget restrictions, many buyers tend to carry on with their two-wheelers or wait longer to afford a brand new car. This can compromise not only your safety, but also your family’s, as relying on public transport like autorickshaws and using a two-wheeler isn’t as safe as your own car.
Buying a used car, thus, provides you with the safety of four wheels and a roof over your head, which also provides protection from the elements.
Move up
The used car market also gives you a whole host of options for every budget. Unlike for new cars, where a budget of Rs 5 lakh would only get you a new entry-level hatchback, in the used market buyers can get a premium hatchback or even a slightly older compact SUV or sedan. The choice is entirely up to the buyer as there are vehicles in every body style available for almost every budget.
Buying used, thus, enables you to opt for a larger and more premium car than what would be possible buying new.
Beat the queue
Arguably the biggest blow that the pandemic has delivered to the auto industry is the ongoing semiconductor shortage, which has affected nearly every manufacturer in the country. And with demand for new cars heavily skewed towards fewer models, waiting periods have simply shot through the roof, with some even breaching a year’s waiting period.
By comparison, a used car is available instantly and you won’t have to compromise much on variant or colour as there exists a sizeable car park for most of the popular cars today.
Polish your skills
If you are a new driver, another perk of a used car as your first one is that you can brush up your driving skills without having to worry about ruining a brand-new car.
Most new drivers who have bought a used car say it’s like their rough sheet of paper, and with the chaotic and congested roads around us, who can blame them.
What are your thoughts on buying a used car as your first car? Let us know in the comments below.
Also See:
Kia Seltos has segment best resale value: Autocar India, OLX Autos study
MG Hector has best in class resale value in Autocar India, OLX Autos study
Hyundai Venue, Maruti Brezza lead compact SUVs in Autocar India, OLX Autos resale value study