How to price and check used cars to avoid buying crashed or flood-damaged cars
According to experts, there are many ways to evaluate and inspect used cars such as checking the actual condition of the car, checking the car's year and brand.
Many factors go into pricing and inspecting a used car.
Mr. Truong Dang Tan - Director of the International Academy Driving Training Center said that vehicle inspection and valuation is an important step that many people are interested in when they want to buy or sell used cars.
Accurate valuation will help the old car owner recover the maximum value of the asset and the buyer will also own a car with quality commensurate with the cost spent.
According to Mr. Tan, there are many factors that affect the price of used cars such as brand, origin of the car, actual condition of the used car, time of use and distance traveled.
Specifically, with the brand factor, the origin of the car, according to Mr. Tan, brand and origin are one of the important factors that determine the price of used cars. In Vietnam, car lines of Japanese, American, European brands often have high liquidity, less depreciation.
The origin of the car also significantly affects the pricing of used cars. Because in the Vietnamese concept, imported cars are often of higher quality and durability than domestically assembled cars. In addition, cars imported from the US and European countries will be priced higher than cars manufactured in Asian countries.
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There are many ways to price and inspect used cars. Photo: Khanh Linh |
Regarding the actual condition of used cars: The actual condition of the car is the basis for determining the value of a used car. This factor is even more important than how many years the car has been used because a newly purchased, used car that has been in an accident, water-hammered, or undergone major repairs will lose more value than a used car that has been used for a long time but has a “clean” history.
When evaluating the actual condition of a used car, buyers need to base on the following factors: Exterior condition: paint, lighting system, rearview mirrors, radiator grille; interior condition: seats, air conditioning system, entertainment system; engine condition, chassis, electrical system and operating capacity, safety features, fuel consumption.
How to calculate standard used car price
How to price used cars based on annual depreciation and influencing factors as follows:
For used cars:
A used car is a car that has just been purchased but has not been used, so there is almost no depreciation in value. The way to price this type of car is also quite simple, usually calculated by a formula.
Used car price = On-road price - fees and charges.
In which, fees and charges include: registration fee, car inspection fee, registration and license plate fee,...
For used cars from 2-5 years
Used cars have different depreciation values depending on the car model, model year, durability, etc. In addition, the remaining value of the car is also affected by many factors. Used car prices are often determined by the formula:
Used car price = Used car price - depreciation ± influencing factors.
Depreciation depends on the car model and segment. The more expensive the luxury car, the more depreciation it will have compared to the popular car segment. Basically, the more expensive the car, the higher the depreciation value, the more durable the car, the lower the depreciation value.
In addition, factors such as brand, origin, car color, time of use and actual condition also affect the way used cars are priced.
In general, most of the methods of calculating used car prices are only relative. Customers can base on this method of pricing to negotiate a suitable price, ensuring fairness for both buyers and sellers when buying and selling used cars.