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Less Warranty on Demo Cars

Have you ever been to different new car dealers to look for a car you might like? If you have already done a lot of research on which particular car to buy, then that means you saved your time as well as the salesman’s time. What, though, if the salesman showed you a demo car instead? Not everyone thinks buying demo cars are okay, and there really are some things to consider.

By: Miguel Base
Category: Automotive
Posted: Feb 17, 2010
Updated: Feb 17, 2010
Views: 66


Have you ever been to different new car dealers to look for a car you might like? If you have already done a lot of research on which particular car to buy, then that means you saved your time as well as the salesman’s time. What, though, if the salesman showed you a demo car instead? Not everyone thinks buying demo cars are okay, and there really are some things to consider.

Staffs of companies that focus on new car sales drive demo units up to a certain amount of miles without being titled so they can still be considered a new car on the paperwork. If car dealers like Honda dealers in Sydney or Kia dealers in Sydney gets another car and uses it as a demo, it is not considered a new car because it is titled to a dealer who is technically purchasing a used car – just slightly used. Most demo units that are being sold by dealers are new and untitled cars that may have up to 7,000 miles on them. The dealers will offer a discount to buy a demo car to compensate for the miles as well as the wear and tear.

Buying demo cars can mean that they have less warranty, although it is still eligible for any rebates or manufacturer/dealership financing that is offered on the same new car. Demo units aren’t always cheaper than a new car and manufacturers have the ability to offer different incentives for car dealers to use a particular car as a demo car. This can sometimes be used by the dealer to put the deal together on a demo car, thus making it cheaper.

Even if the purchasing of a demo car has its negative side, there can also be good car deals and are definitely worth looking into. Whether a car is a good deal for you or not really depends on the dealer’s situation.



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