Choosing a new car is a never an easy task. You have to take into account various factors such as fuel economy, interior space, performance and features. Often, you may tend to miss an important factor: Resale value. Here is how you can assess which new car will have best resale value.

best resale value

To assess the resale value of cars, you need to understand what factors affect the resale value of a car. Assess each of your shortlisted new car options against each of these parameters. This should give you one valuable input when you finally decide which car to buy.

Brand reputation

Car brands play a major role in the resale value of your car. Popular and highly reputed brands increase the resale value while the unpopular and not-so-widespread brands decrease the resale value of the car.

Popularity of the model

Cars that are selling in large numbers, have a great demand in the used car market too, simply because, the car has already won the competition in the new car market and that shows the model’s reliability, ‘value for money’ and low maintenance costs as against its rivals.

Car makers stop the production of certain models if their sales are too low or due to other factors such as the company’s market strategy. If you happen to own such a discontinued model, the resale value will be almost 70-80% less than your purchase price over a period of time.

Fuel economy, mileage & number of owners

Buyers prefer cars that have consistent fuel economy, that are driven less (less wear & tear) and that have less number of previous owners (preferably one). Hence resale value of these cars is generally, higher.

Car service history

Cars that are serviced periodically as mentioned by the manufacturer will eventually have a clear service history and thus fetch better resale value. Cars that are serviced irregularly, having many replaced parts and major accidents are factors that will pull down the resale value.

Maintenance costs of the car

Cars that are cheaper to maintain attract higher resale value. Cars that have high maintenance costs due to costly spare parts and high labor costs will bring down the resale value.

Starting today, we will be sharing with you analysis of best resale value among new cars in all the segments – small cars, premium hatchbacks, compact sedans, mid-size sedans, premium sedans, SUVs and MUVs.

Watch out for our first report on small cars which have the best resale value soon! Share your inputs about any other factors you think go into assessing the resale value of a car.

18 COMMENTS

  1. 1.NUMBER OF OWNERS ,
    2.MILEAGE DONE
    3.BRAND N MODEL
    4.EXTERIOR N INTERIOR CONDITION
    5.ENGINE CONDITION
    TAKE A MECHANIC ALONG WITH U N SHOW HIM THE VEHICLE N TAKE HIS VALUABLE ADVICE……

  2. Resale value rockers according to me: 1) Honda city 2) Maruti Swift Diesel especially VDI with white color 3) Toyota Innova 4) Hyundai Santro Xing 5) Maruti Alto (2007-10) 6) Maruti 800 (2003 onwards) 7) Toyota Qualis (all version except yellow boards)

  3. I’m willing to buy cruze, but am very worried about resale only! I love the car but resale value, is bad in chevy cars? should I go for it? or should I buy the laura.

  4. resale value of cruze is not that bad as u thinking.. resale value depends on vehicle condition, not totally on brand value..

  5. thanks @[1561441961:2048:Don Varghese], i still hv time for my purchase. i will wait for the updated cruze to launch this year end as reported by AI. and not hurry to by the laura. I also feel the laura looks a little dated now from the side angle.

  6. passat is too big for me, im looking for brand more than size. VW vento is good but i feel for the money its not worth the price. only if vento came with a touchscreen, AUX,better music system i woudve bought it at the same price it is now. In the cruze i dont look at the brand as such because the car itself has a ‘WOW’ effect from who ever sees it and the interiors are amazing as well. A perfect

  7. which car are you talking about? the vento? i want only a diesel as my running is increasing so i havent tested the auto yet as its only in petrol. I dont drive much, also mostly my driver only and i sit beside him! i hate driving specialy in traffic! only highways i drive

  8. i ment in the cruze…its a drivers car…n if u go for the automatic..driving will b a pleasure…forget ur driver..u can save on his salary as well

  9. 1) Also check the tyres and the car battery. An old set of tyres and a dying battery will cost you atleast 30k sooner than latter. 2) Make sure to verify the VIN no of the vehicle with the no in RC book and the Insurance paper. Check the VIN no under the bonnet and also in the chassis. This is very very important, with the large amount of stolen vehicles available in the market. 3) First thing when you drive the car, press the clutch and then observe gear shift when you are driving, a worn out clutch plate and stiff gear box will cost you atleast 30 to 40k. 4)Also drive the car for atleast 10kms, never do the test in a haste, and always listen to the sound of the engine. First thing that the sales man will do is switch on the AC and the music system. NEVER ALLOW HIM TO DO. Listen to the car. Check for any vibration sounds or abnormal noises. Also make sure to bend down and check for any oil leaks, after your test drive. As far as brands go in the 2nd hand market. Maruti rules, next come Toyota, then Honda. Tata is the worst, then comes Mahindra, then Chevrolet, then Skoda. Try and stick to simple cars which are easy to maintain in the long run. Not cars which will become obselete as time passes by. In hatch segment, Swift and Ritz are the best, followed by Wagon R. MPV nothing beats a Toyota INNOVA. In the sedan segment Toyota corolla rules. Stay away from Cruze and skoda, they are expensive to maintain.

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