Logically speaking, buying a used car viz a new one is always a trade-off with a host of benefits and some potential risks (if you end up with a lemon). One should carefully analyze the pros and cons of used cars before jumping on to decide.

Analyzing your own need before being seduced by the prevalent logic of brand affinity (or abhorrence) will go a long way to finding your perfect match and can save a great deal of buyer’s remorse. Following practical factors, if contemplated honestly can automatically suggest which is the best fit for you:

• SHAPE of a car which suits your parking space eg Hatch, sedan, SUV, MUV, etc.

• FUEL TYPE petrol diesel cng depending upon your daily usage and not just on mass hysteria.

• NO. OF YEARS you would want to typically keep your car will define how old a car you should prefer (not arbitrary psychological factors).

• BUDGET is of course a matter of personal choice but as a rule of thumb, any car (new/ used) should not occupy more than 30% of your monthly income in the form of monthly outlay which can include EMI, insurance, maintenance and fuel cost.

• RESALE VALUE since every model/ brand has a demand factor different than others, thus the resale value of a car will come into the picture a lot esp if you plan to keep it for less than 3 years.

Strictly speaking, deciding upon which fuel type to go for is based upon the following factors in pre-owned cars most of the time.

• KM running- Average km running above 2500 Km per month justifies CNG fitment.

• Quality deterioration- from petrol to diesel to CNG(in that order) in a pre-owned car is also a factor to consider, more so in retrofitted CNG.

• Torque (Pep) loss from diesel to petrol to CNG (descending in that order) can be criteria for many road enthusiasts.

• Extra Expenses shell out on maintenance from CNG to Diesel to Petrol (in that order) could also be factored in.

• Of course, the per km cost of running based on fuel prices per liter increases from CNG to Diesel to Petrol (in that order).

• Most of the petrol/ CNG cars are non-turbo which decides for pickup and driving fun for many people.

• 10 year proposed life of diesel vehicles (at least in Delhi NCR) is also a dimension to consider.

• Lastly, some people have even complained of diesel smell in the cabin which could be a no-no while deciding in favor of diesel car.

Knowing the correct pricing of your used car purchase is although pretty subjective and should be seen as price versus value proposition than pure vanilla pricing. Still, arriving at a certain price band reflective of said model/ variant based on manufacturing yar, km running, RTO plate, one can arrive at a fair market value of their purchases. We suggest a horizontal and vertical analysis strategy as below:

• Vertical Discovery ( from corresponding new car prices):
  Depreciate 20% for 1st year from the ex-showroom price and then 10% for every year to arrive at vertical discovery (Note: this is a very generalized notion of arriving at depreciated prices because a host of factors can come into play as km run, owner serial, accidental history. Even every vehicle has its own depreciation rates and then facelifts/ generation changes also need to be taken into account). Thus we have a horizontal discovery angle to it as well.
• Horizontal Discovery ( from corresponding used car prices):
  By checking out similar model, variant, km type certified cars available online/ offline, you can arrive at reflective prevailing prices of your target vehicle.

These two discoveries can be added and divided by 2 to arrive at the median price of your target vehicle. Rest will depend upon the physical examination and exact quality of the vehicle which can sway the actual price by 10% +

Note: One should keep in mind that the prices of used cars assumed here are for certified and great quality vehicles (which are non-accidental, with genuine meter records and completely refurbished with all expenses taken care of).

After arriving at this tight band of price grid, one should try to analyze if the quality of the vehicle falls in A+ Grade. Please check out our Edu-Portal for further knowledge.

The gestation risk to deliver your car to anybody else is preposterously high, especially in the case when such deals are done in the open market with strangers.

Legally speaking you are not free from the encumbrances arising out of usage of your car till the title (RC) is properly transferred to the ultimate end user as the Supreme Court has amply observed in its previous judgments.

Thus in order that the transaction of selling your used car can be successfully completed one ought to seek the following documents set from the seller be it an Individual OR Car24/ OLX like online platforms OR even authorized / unauthorized New/Used Car dealers.

• RC Copy attested by buyer.
• Insurance Copy (if available) attested by Buyer--Note: Please try to sell your car with at least three months valid insurance, it could exacerbate the risks to sell after your insurance has expired.
• Indemnity Letter from the Buyer stating the date and exact time of handover of delivery which states that the buyer would be responsible for any further legal encumbrances after the delivery.
• Copy of RTO Form 28, 29 and 30 (filled and signed in case of an individual buyer).
• Buyer KYC as in PAN, Adhar and Exact address proof where he/she wishes to get it transferred. (It would be though possible only in the case of an individual buyer and not in the case of dealer buyer as they do not have ready buyers for your vehicles, nonetheless, you can take dealers' letterhead stating that they are buying this car from you for further selling).
• Delivery Note stating the time date place and purpose of sale as well as the condition of the car and other accessories at the time of sale.
• Copy of Cash/ payment receipt stating clearly the total amount of deal and pending payments if any(Note: Please try to make money in the account of the person who is legally the owner of the vehicle).

For further information on Selling guides, Please visit our Edu-Portal www.Autorehman.com