Today, used luxury cars are on the bucket list of many people- the world doesn’t see them as the same anymore. Thanks to all those new entrants and consumers, the segment is picking up gradually; what was seen with glasses of scepticism a few years back, is today valued by the people worldwide. And all of this has become possible because people are acquiring knowledge.
But when it comes to buying a used alternative, people often ask for variants with a high resale value. This is a genuine concern from the side of a consumer. But one thing that they often forget is that many factors impact the market value of these used luxury cars . And you need to know all of them before you buy or sell a variant to get a great deal.
So let’s get right into it.
8 factors that reduce the resale value of used luxury cars
1. Accidental history-
If you go to a showroom of used luxury cars, would you prefer a car with a serious accidental history? We bet that you would not. Because why would anyone want to risk buying a second-hand car that’s been repaired so many times.
Whenever an accident occurs the internal parts of the car likely get affected. Thus there is a huge probability that this car has been repaired, and important internal parts of this one were replaced after the incident with fake ones. So, if you while browsing the showroom of used luxury cars and find an absolute steal- don’t get too excited, there could be something fishy because of which the car is being valued less.
Similarly, if you own a luxury car it is advisable to stay very safe on the road if you ever wish to trade it for good value.
2. High modification-
Getting your car repaired by replacing the original damaged parts with fake ones is one thing. And trying to level up your game by adding unnecessary modifications is another degree of harm one can do to their vehicle.
It has been proved that internal modifications can impact the performance of the car in the long run. And that is not it. Even external modifications like colour changes can decrease your car’s market value.
We have observed people like to make these modifications to their used luxury cars because they just want their car to give them a little more unlike a standard car that comes from a showroom. Most people make modifications so they can relate to the car more and it can fulfil their zeal. But what they forget is that they are cutting the life and market value of the car by doing so.
So as a consumer, it is recommended you do not buy an extremely modified car. Especially if any internal modifications were done, and as an owner, avoid doing so if you need a better resale value for it.
3. Mechanical status-
There are many components in a car, and one can’t maintain each one of them. Keeping it as good as new can only be your motivation- owners hardly manage to do so unless they have someone dedicatedly looking after their vehicles.
We understand maintaining used luxury cars is a task in itself- but we beg you to not compromise on the same and look after the car’s mechanical system like you take care of a baby. As it will give you all you need- be it a better resale value or just unlimited luxurious experiences.
Try and understand this, nobody wants a car with a dead battery or an overheating engine. You need to make sure it stays in good shape, whether you do that for your own experiences or to get a better deal later on. It all begins from where you start making real efforts.
What’s better than a less driven car? used luxury cars are great, but people still prefer going for variants with less mileage on them. The reason is simple, they want it to feel as new as possible. This is great because if you don’t drive your car often, you have a high chance of bagging great deals for this car.
Mileage is one factor that does impact the value of the car significantly. While many people aim not to use their used luxury cars for regular purposes- we have seen the worst of all. Some people do use their luxury cars insanely. But you don’t have to be some people, do you?
If you plan on selling out this car in a year or two- all you have to do is make sure the mileage on it is justifiable by its age. Anything on the lower side works, but going beyond a certain number of kilometres can have an impact on the value.
5. Legal aspects-
In India, a car older than 15 years is not allowed on the roads. Which is one big reason why 12 or 13-year-old cars are sold at awfully cheap prices. Because the supply of these variants is more than the demand; No one would prefer to buy a car for 2 or 3 years. Mostly, people expect their cars to function properly for a minimum of 5 years.
Similarly, the laws of the land also impact the value of your car directly or indirectly. So you need to be extremely sure of what you are getting yourself into.
6. Damaged parts-
We already discussed how accidents and collisions can decrease your car’s resale value. But we did not address the part where you do not get it fixed after a collision properly.
Say you were driving this car on a highway when some other car hit you, and there’s a huge dent on the door. You did not think it was a big deal, and you kept driving this car without fixing it. Now you have decided to sell this one without getting it repaired. Who do you think will pay for a used luxury car with such a big dent? After all, used luxury cars are all about luxury and classic looks.
We know it is not possible to drive a car on the roads without getting a single scratch on it. But you can maintain it irrespective of what happens with the car on the road. And most of all, never ignore small fixes because they burn a hole in your pocket later on.
7. Degraded technology-
If you own a car with a manual transmission in the era of 9-gear automatic transmission with sports mode, then how can you expect to get a high resale value on it?
If your car does not have upgraded technology then your car will not have a high resale value. This is why you must ensure that whichever variant you are purchasing does not have extremely degraded technology. So when you sell it, you can claim that the car has what the customer needs.
We understand that technology keeps getting better every day, and it’s impossible for your car to have everything. But all you need to do is make sure that it has what other cars have at the moment.
8. Fake replacements-
We have discussed the relevance of original parts at the beginning of this article itself. And we believe it is not required that we press on it unnecessarily even more. But just so you know, your car needs to have all the original parts no matter what you want to do with it later on.
With this we would say that there are many other factors, even the economy and the market forces affect your car’s value to some extent. Since it’s not possible for you to manage everything from your end, just keep in mind what we have told you and we know you will be fine.
Also, we support used luxury cars. And if you are by any chance looking for a variant then do check out the website of Kings Auto. They have a plethora of options available, and the best thing is you can even get your hands on cars under 50 lakhs at their lot. Which in our opinion, is a great budget for a luxury car. So don’t wait for long, visit their website here.