Constant and steady arrivals of newer options in this era of free-spending market, second hand cars for sale continue to have a big draw on buyers. While a significant and considerable chunk of the population feels that used cars are a much saner and smarter option, but they have their apprehensions and qualifications of the need to structure the market and make it more transparent. Affordability is another point that is a key decider why people buy second hand cars in Chennai but for most people in this category funding is a major problem.
It is very difficult to get loans from the bankers for buying a used cars for sale in Chennai. Many people have to dig in their saving to buy such cars. Another major accounting benefit that arises out of such purchases is the depreciative value, which hovers around an impressive 30 percent for the first year. Bankers are wary to give advances due to the fact that the defaulter’s rate in this segment is higher than 40 percent and therefore the risk higher. They have still not found a better instrument to mitigate this risk.
More organized structure has been visible off lately in the used car market in Chennai when compared to other cities. As the probability of buying a stolen car from unacquainted dealers is more, customers prefer to make their choices from reputable dealers. Some of the used cars for sale in Chennai come with a warranty tag from the dealers, in case of a snag that may develop at some point of time. There is believed to be, a good value proposition in a second hand luxury car, by some people, and it is considered to be a symbol of status. For instance a used Honda Accord for around Rs 8 lakhs is preferred to buying a mid-segment car.
Significant improvement is seen in the market and more choices are available to buyers of a second hand cars in Chennai.The sales of second hand cars have also seen in a rise of 30 percent this year, a component of which can be attributed to the fact that new drivers lean more towards the second hand cars.