Getting a new car is a thrilling yet challenging decision to make. Anyone will want to get the best car deal out of that decision. At this point, car buyers are on the brink of deciding on whether to get a new car or buy a second hand car. Not everyone can have that much cash ready to buy a new car. A second hand one can have the same features and competitive lifespan similar to those new ones.
With used cars, you can uncover great value past those pre loved car parts. It gives you the option to spend less for more. But before buying second hand car, you ought to make sure you are getting the best side of the bargain. With this, there are various criteria you have to look into. These include the following:
As reported by the government, the average Singapore mileage is about 20, 000 kilometers a year. Most new cars can easily surpass this average mileage. Furthermore, used cars don’t seem to have any problem accomplishing the same mileage. In fact, some would even still have the same six digit mileage after three more years.
Facts from previous ownership
To get an overview of the car you are about to buy, check the profile of its previous owner and the length of ownership. This is to determine prior damages that you have prepare for or to be a deciding factor on not to take the car.
Other than that, identifying the number of years of ownership will let you know how much of the car has depreciated when compared to its original price. It is said that new cars usually depreciate around 20% in its first year. Because of this, car buyers opt to buying a second hand car when it is already in its fourth to the sixth year. This way, the car has surpassed the brunt of depreciation.
Cost of maintenance
It is very important to inspect both large and little details of your potential car. You ought to check outer features, as well as the inner parts that keep it running. Ask for a test drive, and be wary for any unusual engine sounds or spurts. You can also bring an expert to guide you on your choices. Brands would also play an important role. Hence, pick car brands that have a minimal tendency of breaking down. Most selling car brands in Singapore last 2016 are Japanese brand names. Japanese used cars are known to have commendable quality even when bought as a second hand.
Open Market Value (OMV)
Monetary Authority of Singapore has modify some of their car loan policies. Wherein cars with an open market value (OMV) of $20,000 and below can get a loan to a maximum of 70% loan based on the purchase price. For vehicles with an OMV above $20,000, buyers can have a maximum loan of 60% of its purchase price.
Most people have the impression that buying second hand car is like getting yourself just a worn out scrap of metal. But with the right judgment and proper maintenance, any buyer can surely get the best out of his pre-loved, newly-owned vehicle.
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