Buying a Second-Hand Car: Used Car Dealer VS Direct Owner

(Photo Credits: Driver's Mate)

Fear the paperwork associated with buying used cars from direct sellers, but don’t want to spend more to buy through a dealer? Motorist is here to help with a wide selection of cheap direct-seller cars, and we’ll even sort out the paperwork for you!

There’s a saying that car owners never forget their first car purchase. If you are planning to make that leap, then you are probably asking yourself this question: “Should I purchase my car from a second-hand dealer or direct owner”.

To ensure your first taste of car ownership is pleasant one, we’ll be comparing the pros and cons of both options in this article.

Buying From A Used Car Dealer

Most first-time car owners will choose to buy a second-hand car from a used car dealer for one reason alone: convenience.

With a wide inventory of cars readily available, you can simply head down to any used car dealership and browse to your heart’s content. If you don’t see something you like, you can easily head to another showroom, as most used car dealers are within walking distance from one other.

Once you have picked a used car of your choice, you can easily arrange for a test drive and request for the necessary paperwork to be drafted. Depending on your loan approval, insurance and the car’s evaluation report, you could be driving it home within a few working days.

The drawback of this option is that it is costlier to buy from a used car dealer, as their only interest is to make profits from their sale. Furthermore, dealers also have the means to conduct temporary cheap fixes on cars that have major issues, which increases the risk of hidden problems further down the line.

There is also the risk of buying from dishonest dealers. You may be tempted to think that such occurrences are rare, but the highest amount of complaints received by CASE in 2019 came from the motorcar industry. At least 15 sudden closures of dealers were reported, and there were also cases of dealers not transferring over the car ownership to customers.

Buying Direct From Owner

A direct sale transaction is usually cheaper, since one does not have to pay for any dealer mark-up.

However, the process is slightly more tedious as the buyer will be solely responsible for dealing with all the paperwork associated with the transaction.

The paperwork to own, drive, and insure your car includes: ownership transfer documents, LTA transfer fee, COE renewal, road tax renewal, insurance, and any other loan applications.

The buyer will also not be able to physically see the car either. Instead, they have to rely on pictures posted online by the direct owner.

The average buyer might (quite rightly) find these administrative processes too much to handle, and thus conduct their transaction through dealers, who will handle the paperwork on the buyer’s behalf.

The Easiest Way To Buy Used Cars From Direct Owners

If you are still on the fence, you’d be glad to know that Motorist has just launched its Used Car Listing platform that allows you to conveniently buy second-hand cars from direct owners.

Our listings comprise exclusively of used cars posted by direct owners, rather than dealer or consignment cars. You won’t have to worry about dealing with paperwork either—that will be sorted out by us!

While browsing through our selection of cheap, direct owner cars, you can check the loan information for each listing at a glance, without needing to navigate away from the page, or having to make any phone enquiries:

Can’t decide between one car or another? With our ‘Save’ feature, you can shortlist several used cars and compare prices and features easily on our portal.

Furthermore, if you are looking for cars that are nearing the end of their COE cycle, the process of comparing costs like depreciation before and after COE renewal is simplified down to one click of a button:

Once you have decided on a used car you want to purchase, simply click ‘Buy Now’ and the owner will be notified of your offer. If they are agreeable, we will arrange and facilitate a viewing for you to inspect the vehicle. We will even help you arrange for a car evaluation with VICOM.

Last but not least, we will settle all the necessary paperwork for you. With Motorist, you no longer have to choose between buying from a direct owner or dealers—you will get the best of both worlds!

Whether you are looking for an almost-new car or a COE-renewed vehicle, our listings are sure to have a car that is just right for you. Click the link below to visit our Used Car Listings.

Read More: Infographic: Should I Renew My COE or Buy a New Car?

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