The BMW is aspirational. It provides buyers with a much-coveted blend of fine luxury and solid German engineering. However, a new BMW car is expensive, prompting many to opt for used BMW cars. Used BMWs are affordable and widely available and deliver the same driving pleasure and prestige to the owners as a new BMW car.
People aim to maximize their investment while buying a used BMW car. They look to purchase a used BMW that will live up to the BMW brand, deliver trouble-free ownership, and last a long time.
Satisfying the above criteria in purchasing a used BMW requires careful thought and research.
The things that need to be considered before buying used BMW cars include the following:
The car's history:
This is probably the most important factor to consider while making the purchase. One should have an in-depth discussion with the seller to understand the history of the used BMW car, including its service/repair history, a record of breakdowns, previous owners (if any), a record of accidents, etc. Carry out a detailed inspection of the car to ascertain its true state. People can also reach out to a trained mechanic/expert for inspection. This will help determine the used BMW car’s actual residual value. During this stage, it is also a good idea to estimate the car's resale value.
Warranty:
Most BMW cars are covered with a dealer-backed warranty package. Such packages usually cover the car’s powertrain, rust protection, and services for extended mileage and time. Car sellers offer such free maintenance packages to assure buyers of the car’s reliability and lure them to choose their brand. Such warranties reduce the cost of ownership since the cost of repair and maintenance gets covered by the warranty, helping raise the value of the purchase significantly.
Cost of ownership:
The cost of ownership is an important factor in purchasing a pre-owned BMW car. When calculating the cost of ownership, it is important to consider the insurance cost, the fuel efficiency of the vehicle, expected repair and maintenance costs, etc. Insurance premiums for luxury cars such as BMW are high, as are the spare parts and service charges for repair and maintenance. The cost of ownership over the period that one owns the car becomes an important criterion, beyond the pre-owned BMW car’s immediate purchase value, in the purchase decision. The BMW brand assures luxury and provides prestige value. However, several studies have shown that although they are dependable, they are less reliable than the economy models such as Toyota, Hyundai, etc. The reliability of a pre-owned BMW car will tend to be even lower, requiring frequent repair and maintenance. This will add to the cost of ownership.
Undertake a detailed price survey:
To arrive at the current market price for a pre-owned BMW car, it is important to scour the classifieds. Typically, there is a wide choice of options and, hence, a wide range of prices. Checking multiple classifieds helps determine the true market price of a pre-owned BMW car. It is also a good idea to visit some agencies that deal exclusively with used cars, including used BMWs. The people with such vehicles are also an invaluable source of useful general information on automobiles. Such agencies typically have a complete history of cars that they hold in their inventory. Some agencies also offer discounts, service packages, added warranties, etc. Often, for a small premium, purchasing through an agency reduces investment in time and effort required to be put in by a used car buyer.
Pre-owned and certified:
Many BMW dealerships also sell company/dealer-certified BMW second-hand cars. This is a good option for buyers who desire assurance of reliability and the peace of mind that come with certification. Although the reliability assurance carries an additional cost, it is an important consideration for the discerning buyer who values reliability and trouble-free ownership of a BMW second-hand car.
Depreciation and resale value:
All luxury cars, including BMWs, depreciate faster than the economy brands. This holds even for pre-owned luxury cars. Hence, purchasing a BMW second-hand car not only involves a high initial investment, but one also has to contend with a significant price drop when reselling the car. However, the drop in resale value, after depreciation, is still lower than for a new BMW, making the purchase of a used BMW car a sound decision.
Maintenance issues:
All cars need preventive maintenance to keep them in good running condition. Preventative maintenance assumes greater significance for used cars to reduce future out-of-pocket expenses. The life of plastic components, electronic accessories/components, engine, power train, brakes, power windows, air-conditioning, upholstery, etc., are all important considerations in purchasing a used BMW car. Inspecting the cars thoroughly is critical to arriving at an informed purchasing decision. Another important issue to be considered when buying a used BMW car is water damage. The areas to be checked for water damage include floorboards, the trunk, and the car’s underside. It is also important to look at the car’s tires and rims for cracks and under the car’s hood for oil leaks, cracks, battery condition, etc. It is necessary to test drive the vehicle to check for ride quality, power steering, smoothness of gear transition, and any unusual sounds.
Summing Up
Thorough research of the available options is crucial to making a choice that will provide the best return on the investment. People must remember the higher depreciation of luxury cars that will cause the pre-owned BMW car’s value to drop rapidly. Also important is the vehicle’s history, previous ownership, completed mileage, a record of accidents, history of repairs, etc.
The used BMW car’s reliability and expected service and maintenance costs will add to the cost of ownership. An informed purchasing decision will take into account the cost of ownership and not just the selling price of the vehicle.
That the proof of the pudding is in eating holds true even for cars. Test drive the car to check its electronics, steering efficiency, riding comfort, quality of transmission, etc. Take the time and put in the required effort to undertake a detailed evaluation. Avail of the services of a trained specialist, if required. The effort one puts in could prove to be the difference between a delightful ownership experience and one marked by constant visits to the service station. Checkout Used Car Loans offered by Tata Capital to finance your pre-owned BMW car's
12 March 2024
6 mins read
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