How to Check Used Car Valuation
Are you looking to buy a pre-owned car? Do you have the entire amount needed to purchase it? If not, then do not delay your decision. Opt for a loan and bring home your dream car.
Used car loans
Just like lenders provide loans for new cars, most financial institutions offer funding to purchase a pre-owned vehicle too. Some features of such loans include:
- Funding different types of cars,like sports-utility vehicles, multi-utility vehicles, and many more
- Finance for pre-owned vehicles up to ten years old
- Competitiveused car loan interest rates
- Quick and hassle-free approval procedure
- Minimal documentation
- Customized repayment options for maximum versatility
- Higher loan amount based on the condition and age of the vehicle and your repayment capability
- Simple used car loan eligibility norms
Every pre-owned car is different. So, the valuation of two cars from the same brand and model will vary. Generally, the valuation of second-hand cars depends on factors, like:
- Car’s condition
The first impression depends on the external appearance of the vehicle. In the case of scratches and dents, the value may decrease even if the car’s interiors are in excellent condition. Regular wear-and-tear is normal, and to know the exact value, check the engine, clutch and brake systems, tire tread, gear smoothness, and steering ease. The condition of the vehicle will also affect the approval of your used car finance application.
- History of accidents
If a car has been involved in accidents and has suffered damages, the valuation will be negatively impacted. Cosmetic damages do not significantly affect the price; however, severe mechanical or structural damages reduce the valuation significantly.
- Total kilometers driven
If the total kilometers driven exceed the general average, it decreases the car’s value. This is because cars may start giving more trouble after a certain number of kilometers. The odometer reading is a crucial determinant of a pre-owned car’s value.
- Servicing history
This gives a detailed insight into the current condition of the vehicle. When a car is regularly serviced from an authorized center, it is well-maintained, which may increase its value.
- Year of purchase
If a car is old, it may not get a higher value. Moreover, if the model has been discontinued, the value will further go down. These factors also affect the used car loan as lenders do not fund models that are older than ten years or discontinued.
Before you buy a pre-owned vehicle, test drive it and get an inspection done from a trusted mechanic.
For affordable used car loan rates and other favorable terms, visit the Mahindra Finance website today.