The art and science of buying a used vehicle.
Howzit! I’m Hanru Reyneke, the founder and CEO of Car Inspection.
Today in this video, we’re going to talk about the art and science of buying a used vehicle.
Today I want to delve into the process of shopping for a for a used car and then eventually buying that vehicle. I want to unpack the different steps to give you an overview of what you need to follow.
What do you need to know, so you can successfully buy a used vehicle for a good price?
Buying a used car is not as easy as everybody makes it out to be. You can’t just walk into a store or a dealership or somebody’s house you know, where you’re buying the car from and spend 20 minutes there and drive out with your car. There is a lot more technical things in terms of the process of buying a used car. There are also a lot more things that you need to understand.
Are getting the right deal? Is this the best price? Is this the right vehicle for your needs?
We want to kind of delve into that process, understand what’s the best way to go about buying a used car and then guide you through that process.
When a person decides to buy a used car, the first place you know most people start with is quickly hopping online and looking at the various marketplaces out there. Seeing what kind of cars that they can buy.
The second process that is normally followed is then after you’ve identified a vehicle on one of the marketplaces you then phone the seller.
Is it a private individual? Is it a dealership? Is it an auction house?
You inquire about the availability of the vehicle. The following step would be you know, traditionally once you’ve identified the car, you check the availability of the vehicle. Now you need to test drive the vehicle. It might be you know two or three vehicles that you’ve identified. You need to take time out of your schedule. You have to go to the various places you know being in the dealership, being a private individual. You need to arrange a time, you need to go, and you know look at the car, test drive the car.
Next up: The price.
You need to get an independent evaluation on the car.
Okay, you’ve figured out the price. You know all the different prices (cost value, book value, retail value).
Next step: Is the car stolen?
Does the vehicle have a stolen record? is the parts cloned? You have to delve into the history of the vehicle to verify to see if it’s a legitimate vehicle.
The next step: Is the car mechanically in a good condition?
Is there any hidden you know problems?
Any oil leaks?
Is the car cosmetically okay?
Do the panels align?
Can you see any rebuilt on the car?
Is there major body work done?
Big re-spray work?
The following step: Know the terminology
What is ‘’on-the-road-fees’’?
What is an FNI at a dealership?
What is a roadworthy certificate and how do I attain one?
How does the ‘’change of ownership’’ means and how does it work?
All of these things I mentioned is an integral part of the buying journey, the buying process.
The more you know about each of these steps the better decision you can make. The more informed you’ll be buying a car or a used car.
It is a big financial and an emotional decision because you know you’re going to cost a lot of money. In the end of the day, you want to base your decision on the knowledge you have about the above steps.
You need to take the emotion out of the out of the decision.
You don’t want to make emotional decisions; you want to base your decision on facts. You want to make sure everything is in order, not what your heart says but what your head says.
What we’ve done at car inspection is we’ve broken the whole process down into 3 areas or 3 themes. We named it the “pre-inspection of a second-hand car checklist”.
These 3 areas, are called 3 V’s:
Verify, Valuate and Validate.
- The first V is validate:
This is to validate the condition of the vehicle, to see if the car is cosmetically, mechanically, electrically in a good condition.
- The second V, valuate:
This is important because you want to buy a car for the price is right. You don’t want to over-pay for a car or even under-pay. (if the deal is too good to be true and then you know you find there’s other problems that’s associated with that cheap price) You want to get the price and then you want to get an independent valuation on the vehicle. You need to understand the retail, trade and your cost values.
- The last V is the validation:
This is to do with the paper or the background check of the vehicle. Is the vehicle listed by the police? Are there parts in the vehicle that’s been cloned? Is the vehicle that’s in front of you the same vehicle that’s got the same vin number, the same registration number?
To conclude a second-hand car inspection is an integral part of buying a used car. It doesn’t mean you need to find a mechanic to go and inspect the car, it’s to get a holistic understanding of a car you are about to but. Yes mechanical checks are important, but so is the valuation and the verification process. A pre-purchase inspection of a second-hand car is to really doing your homework well before you buy a used car.
If you like this video please go and like it on Youtube. There’s other videos to come, so go and visit our website, read about you know what we’re doing how we’re doing it and empower yourself!