Buying and selling a used car in India has become a regular practice, due to increased car sales and more financing agents helping people to buy and sell a car. At this is scenario, it is essential that everyone who wants to buy and sell a car needs to be aware of the car valuation tricks and secrets involved. The online market in India is slowing killing the aspect of dealers thereby making car selling and buying attractive. The car valuation India happens through using a comphrensive model of taking into few considerations setting leaf air smart home about it, and factors of the car and estimates the cost for both seller and buyer.
Simple Tricks on How Car Valuation is Calculated in India
Car valuation in India is calculated using the following basic parameters in estimating the price. The car condition and current status plays the major role in estimating the price.
Be sure that the car which you’re going to do valuation will be undertaken by taking in to consideration all the aspects of the car. Never undermine yourself that if the car interior and exterior are good and the engine is not working good the car valuation will be more. Or even the other ways, when the engine is good and the car interior and exterior are bad you will get a fair price. All the aspects of the car are taken into consideration while car valuation happens.
But there are circumstances where the car look can completely change this picture too, but this never happens to all cars and at all time. If the car is looking dashing with no scratches, no dents and no rust then the car can definitely give a better look.
The following are the key main aspects in which a car is valuated.
- Condition of the car inside – by inside we mean the status of the car engine and battery and other mechanic stuffs.
- Condition of the car outside –by outside we mean the body of the car, the fabric, the audio system and tyres.
- Factor of driving – a trial run would determine the exact status of the car
- Records of service of repairs – this is very important as this will bring out the history of the car.
- Current market value – the current market value of the model of the car is also another key aspect which determines the car rate.
- The actual price of the car in the market is estimated and compared with the current price.
- The residual value of the model of the car is calculated after usage of 10 years.
- The residual value is calculated by using certain assumptions and taking some market research on the experience of selling previous cars.
- Based on the residual value the car depreciation is calculated per month. The depreciation is calculated by minus of residual value and actual price and then dividing it by using the total months of usage.
- Then based on this per kilometre depreciation is found out by using actual kilometres the vehicle has run.
- The number of previous owners the vehicle has been used and passed on to is very important to check the car valuation.
- Inner and outer condition of the car – this can be estimated by the car look and the meter reading. The important aspect to check out here is the seats, engine condition and tyres.
- The functioning of the car is tested – which is basically checking the organist of the car – the internal system, the bolts, the wires, lights, DVD player and speakers.
- Record book of the car to be checked to understand the odometer reading and see whether the owner of the car is misleading the buyer. In most cases the odometers are adjusted to make sure that the car looks unused.
- The car repair and service history – this will be checked to understand whether there were any accidents in the past and then this is taken into costing.
- Running condition of the car – the engine, tires, powertrain are measured and calculated.
- The car current market condition is calculated as this would help one to understand the popularity of the car.
The above lists would definitely help any seller or buyer in knowing the essence of car valuation in India.