If you want to save a bit on your new car purchase, you should seriously consider buying a demo model car, instead of one that’s brand new. It makes sense since demo models are cheaper than brand new ones and often come with special deals from the dealership. However, before you drive away with the demo, consider the pros and cons first:
There’s no doubt that a demo model vehicle will cost you less than a brand new vehicle of the same model. Because it’s been used by prospective buyers, the dealer is inclined to give you a good price for it, which will allow you to stay within your budget.
Since a demo is the vehicle used for test-drives, the dealership will make certain that all the necessary checks are done and that the car runs smoothly. Therefore, you can be sure of buying a car that’s in top shape.
- It has all the high-tech specs
As the showpiece for potential buyers, the car will be decked out with all the up-to-date technology and specs. Sure, these might have been used a few times, but they’re as good as new.
- It’s still a form of ‘used’
Now, in spite of the fact that demo model cars are well-maintained in order to ensure test-drivers have a great experience, you should bear in mind that a demo model car is a showpiece. This means that it’s “been around the block” in the sense that it will most likely have had a lot of drivers. Some dealerships even allow their salespeople to use the car as a “work vehicle”. With a lot of people going in and out of the car, and having driven it for a few thousand kilometres, sometimes small amounts of damage can be caused.
A demo model will never offer you the same warranty that a brand new vehicle of the same class will offer. Insurance companies and the dealership have to take into account the usage of the car, as well as the wear and tear of the test drives compared with a car that hasn’t left the showroom floor. Therefore, the warranty you will receive will likely have a shorter lifespan.
The reality is, people have driven the car and clocked up several hundred or thousands of kilometres. You need to take this into account and consider the wear and tear of the vehicle. In addition, you also have to take into consideration the fact that it will probably need a service sooner than a brand new one – plus, the registration is usually running.
Now that you understand the pros and cons of purchasing a demo model vehicle, you can make up your mind whether it’s right for you. Before you head out to your dealer, it would benefit your greatly to first get in touch with Simply Finance to ensure the value of the demonstrator model is good value.
Simply Finance can often purchase a brand new vehicle through fleet channels for close to the listed price of the demonstrator model.
If you’d like more information about a new or used car loan, feel free to get in contact with us anytime.