Guide On How To Navigate The Car Market During This Time 2022

The global car industry is recovering from its biggest setback ever, and Australian used cars are being sold for the highest prices ever.

According to data from Moody’s Analytics, used cars were 65% more costly in the first three months of this year than in 2019, and 18% more costly than at the end of 2021. Some car sellers are achieving the same level of profit of close to the price they paid when they first purchased their cars, while others are paying as much as new-car prices for old cars that have been well used.

James Ward, director of content at Drive, said, ‘We have never seen anything like this.’ ‘It’s bananas,’ he added. Long waitlists on even standard vehicles are causing problems, resulting in a 12- to 18-month wait. We’ve never witnessed anything like it. Seeing used cars increase in value is another sign of the problem. In many cases, you may sell an 18-month-old car for the same price you paid for it. Certain cars, including the popular Suzuki Jimny, are fetching unprecedented amounts of money, Ward said.

 He said many advertisements listed the small four-wheel-drives as being worth $50,000 when in fact they were only worth $30,000 second-hand. 

A ute in Ballarat, Victoria, sold on Facebook in February for $1500 less than its purchase price eight years prior, despite the fact that it was in excellent condition.

The vehicle seller reported “that he had purchased a 2008 Toyota Hilux in 2014 for $22,000 with 170,000 kilometres. In February 2022, he sold it for $20,500 with 225,000 kilometres.

The ute’s seller thinks that he could have gotten someone to pay more for his vehicle if he had tried harder when selling it. The $1500 loss on the car over eight years is pretty good,” he said.

Should people consider selling their cars now, given the unprecedented prices being paid on the used car market? What should they do if they want to buy? 

Ward gives the following advice:

 

Why are second-hand cars costing so much?

The demand for secondhand vehicles is so high because there has never been such a serious shortage of new cars worldwide before. car manufacturers stopped ordering as many car parts when the COVID-19 pandemic hit, thinking sales would slow down. This is the reason for the lack of cars. 

During the pandemic, people had more money to spend on cars because they were unable to travel or spend their usual amount, resulting in an increased demand for cars.

‘There was a big demand for vehicles, and production was down,’ Ward said.

The demand for larger cars due to the rush of people having babies during the pandemic is what led to the need for more cars.

Caroline Springs is where Matthew lives, and he was left in that condition. ‘Because we were having a baby, we needed to get a bigger car,’ he said. 

“We purchased a brand new Mazda CX-5 in November and had to wait until March to receive it.”

More than 120 people have contacted him in the past week to buy his third-hand Toyota Yaris, which he is now trying to sell on Facebook. 

People working from home and ordering more computers and keyboards led to semiconductors manufacturers seizing up all available semiconductors, which are vital parts in cars. The global car part backlog was therefore exacerbated. The car manufacturers had to wait for more parts to be produced in order to place car orders. The huge backlog of orders is still being worked off by the market.

 

Is it time to sell your car?

Make sure you have a plan for what you will do once your car is sold before you consider selling your car,” Ward cautioned. “If you’re selling in a high market, you’re going to buy in a high market,” he said. 

Pre-locking in the price and timing of your next vehicle purchase is what he recommended for those looking for a replacement vehicle. “It’s exactly like property, you run the risk of selling home and having to buy in a case where your net changeover is not great,” Ward said.

Now is the time to sell those cars if drivers no longer need them, he said.

‘It’s never been a better time to sell,’ he said.

 

Advice For Car Buyers At The Moment

Be careful about purchasing a vehicle, because there are financial pitfalls to watch out for, Ward warned. ‘At present, you must be very very careful when purchasing a car,’ Ward said.

Despite the long wait times foreseen, he advised buyers to put down deposits to get on waitlists for new cars. A high volume of customers on the waiting list can cause a backup, says Ward. People frequently change their minds or decide not to purchase an item, he says, making the line move faster. Buying a new car would not be as risky as purchasing a used car at the moment, he said.

The ‘massive discrepancies between what is the sort of value you would expect to pay and what people are asking for are what we are seeing with second-hand cars, he said. 

Be very cautious about paying more for a car than you should, especially with interest rates rising. 

‘ Because if the market drops, you will be in a terrible position.’  Buyers who can’t wait for a new car should look for used cars with good value, Ward said, but they should research carefully and be open to forgoing the exact colour or model (Ward, 2018). He emphasised that you should not pay too much. “You should not buy a car that feels expensive for what it is.”  

Ward also advises anyone buying second-hand to look for cars that still had warranty left on them. A seven-year warranty is what a three-year-old Kia would have had if it was new when you purchased it. So it means the warranty has four more years to run.

“I would look to those cars  because they are the ones that offer the most protection if something goes wrong.”

Prior to purchasing a used vehicle, he recommended getting a complete service history and a certified Pre Purchase inspection.

 

Check our Pre Purchase Inspection Report

Also, read our article: Don’t Skip the Pre-Purchase Inspection

 

Will the prices of used cars ever go down?

Car prices are hoped to return to normal in 12 to 18 months, according to Ward. ‘We certainly envisioned this a year ago,’ he said, ‘because we were not aware of the Ukraine situation.’ 

The car parts industry is being affected by the Russia-Ukraine military conflict, creating further semiconductor shortages.

“We are really hoping that things catch up within the next 12 to 18 months – but that’s assuming everything sort of continues on its path,” Ward said.

A little correction in the car market, he said, might be achieved by higher interest rates, reducing the number of buyers for the pricier models.

People will start looking for cheaper cars because demand will slip,” he said. 

We’ll get back into the prices we were familiar with a couple of years ago, is what he said.

Used car prices are likely to remain elevated in the near term, according to Moody’s Analytics.

 

Pre Purchase Car Inspection

To buy a used car with confidence and especially during this time when used car prices are high, it’s best to have it inspected by a professional car inspector. 

German Precision offers Pre purchase Inspections across Melbourne and regional Victoria, with over 35 years of experience in numerous premium vehicle businesses.

Book your pre purchase inspections with our staff who are experienced in positions ranging from master technicians, workshop foremen, controllers, service advisors and service managers to provide you with reliable and excellent services.

Contact us today to arrange an inspection.

Cheap Cars Are Disappearing, Why?

Where have all the cheap cars gone? The simple answer is that they’ve gone and aren’t coming back anytime soon.

Modern technology has produced an amazing vehicle in today’s motor car and is a testament to the skills of numerous sectors. The wiring alone of a single-piece roof panel, containing hundreds of metres of wiring that make use of sensors, lidar, and radar devices, is almost mind-boggling, not to mention the complex construction of a modern tyre. So it’s difficult to believe that these cars could be made at any cost.

Also, there are plants that produce these units at up to 1000 units per shift, and more and more are powered by renewable energy sources, acting as an example for the entire manufacturing sector. So, when considering the costs associated with producing and distributing a vehicle throughout Australia, one must consider the 12,000 to 15,000 intricately designed and manufactured parts, as well as complex distribution chains.

50 years ago, cars were a luxury item, and thus prices were high. Cheap cars have only recently become available. Japanese brands such as Honda and Nissan (formerly Datsun) were priced comparably with local manufacturers such as Holden, Ford, and Chrysler, even in the early days. The arrival of Hyundai, a Korean upstart, in the late 80s is said to have started the cheap and cheerful automotive revolution.

The huge marketing budgets advertised that new cars were as inexpensive as other vehicles on the market, and this movement helped to make purchasing a new car accessible to everyone.

 

Is it true that those days are over?

Cars priced below $20,000—a long-standing benchmark for affordability—are an endangered species, and established automakers have little desire to save them. Because of COVID or natural disasters production has been severely disrupted, but Ford, General Motors, Toyota, Stellantis, and Volkswagen, among others, are doing very well financially. 

There is an excess of demand relative to the available supply of new vehicles, resulting in record-high new-vehicle prices. 

The car-building process is plagued with hard costs, and those costs are rising inexorably. Cold-rolled steel has risen by 25 per cent in price per tonne since January 2021 and by almost 100 per cent since January 2020. The semiconductor crunch has also reduced production across the board, resulting in an imbalance between supply and demand and an adverse impact on affordability. Higher-cost materials and more sophisticated engines are forcing OEMs to trim weight, as emissions regulations become ever tighter. Safety tech requirements are also driving up the price chain and extending down it, forcing OEMs to slash weight.

Because of all these forces, the automobile’s base price must go up.

Some brands are standing firm on the issue of prices; it can be said that MG now owns the ‘cheap and cheerful’ sector that other brands like Hyundai and Kia have abandoned, for example. However, those issues – safety, emissions, and raw material costs – will sooner or later come back to haunt us. 

The company’s Chinese parent, SAIC Motor, has provided some protection against pricing pressures, but the party can’t last forever. However, the popularity of that brand among consumers indicates a real yearning for economical vehicles.

Vehicle affordability will become a bigger issue in the back half of the 2020s, given the combination of stagnant wage growth and upcoming pricier finance. Cupra and GWM, two new brands, are not concerned with providing good value for money, whereas the probable arrival of Dacia – Renault’s economical and cheerful European interpretation – seems to have been halted.

However, it’s true that most automotive companies can purchase less expensive vehicles from other countries, but it is improbable that the numbers will add up to bring them to Australia. Despite all the hype, there is still no vehicle that offers what an Australian buyer wants at an affordable price. It’s very unlikely that Australian new-car buyers will be able to purchase a vehicle for less than $23,000 by the midpoint of this decade, and that the category will rise to under $30,000 by 2030. For those who can’t afford such a big stretch, buying a new car is a real issue. However, it is unlikely that prices will ever decrease again.

 

German Precision

To buy a used car with confidence and at a reasonable price, it’s best to have it inspected by a professional car inspector. 

German Precision offers Pre purchase Inspections across Melbourne and regional Victoria, with over 35 years of experience in numerous premium vehicle businesses.

Book your pre purchase inspections with our staff who are experienced in positions ranging from master technicians, workshop foremen, controllers, service advisors and service managers to provide you with reliable and excellent services. Contact us today to arrange an inspection.

A guide on car battery replacement and maintenance

Many people neglect the electrical system of a vehicle until it fails. But with some maintenance here and there you can save yourself money and time in the long run. Car battery failure is one of the most annoying problems that you can easily avoid if you test them regularly and replace them when necessary.

In this article, we will talk about how long do car batteries last? and how to avoid battery early failure, and what causes car battery failure.

 

How long does a car battery last?

On average, car batteries last between three and five years. Your battery’s capacity will slowly reduce over time. You should test your car battery after 3 years of use. Getting your battery tested often will lower the chance of you getting stranded due to a dead battery.

 

Car battery maintenance

Be sure to test your battery voltage regularly. The quickest way to test your battery’s voltage is by using a voltmeter. Purchasing your own digital voltmeters is the easiest to use. The voltage test should be done at least 12 hours after your car has been turned off to get the most accurate reading. Normally, A fully charged battery will typically display a reading between 12.4 and 12.8 volts. If your car battery voltage is anything outside that range. You should take it to a mechanic for vehicle inspection from a mechanic. Dedicated battery testers indicating health/state of charge and condition, are even better. And this is what your workshop will/should be using at each service – if not, ask them.

Secondly, Leaving your car unused for long periods of time will likely cause a problem with the battery not having enough time to recharge. Using your car more often will even make it in an optimal condition, It’s always good to take your car for a drive once every week if possible. This is because of the fact that it will help warm up your engine and circulate your fluids. If you won’t be using your car for a few weeks, it’s likely that the battery will need attention when you use it again. In many cases though, starting a car and then simply driving around the block or a few km, does nothing too little to improve the SOC (state of charge), and in some cases could be detrimental.

Thirdly, make sure to clean your battery regularly. A car battery with grime, dirt, or dampness will have a leakage across the casing to cause a short circuit. This is why you should keep your battery clean and dry! Doing this at least once a month will reduce buildup. The corrosion that accumulates on battery terminals and lead clamps is very common. Corrosion in the Lead clamps and terminals will impede the flow of electricity through the battery. Making sure to clear this grime or build-up is important in order to ensure that your battery lasts a long time and works efficiently.

Lastly, Powering up electronic accessories while the engine is off will discharge a battery more quickly. This is because when the engine switches off, your car’s alternator automatically shuts down and electronic accessories instead drain power from your car’s battery. One way to avoid this is to get into the habit of checking that everything is switched off every time you exit your car.

 

Signs that your car battery needs to be replaced?

it is best to take preventative measures if you are noticing a few signs that your battery might need a replacement. If you are finding your car reluctant to start, it could be a sign that the battery needs replacement. Additionally, If you notice your headlights seem dimmer than usual, it’s time to get the battery checked as It can be an early sign of weakness in the battery.

 

Contact a professional

To prevent your car battery from breaking down unexpectedly, it’s best to have it inspected by a professional vehicle inspector. The next time you go for a vehicle check service, ask the mechanic to check if your battery is working well and charging properly.

Unfortunately, German Precision focus on pre purchase car inspection only and we are no longer able to personally carry out services/repairs, however, due to our period in the industry, we can help refer you to trusted professionals who will look after you, or at least guide you with questions and support post-purchase car checks.

 

Things you should know about German Precision:

  • We provide a complete pre purchase car inspection for a fair, honest price. The car inspection is completely unbiased and honest.
  • We have been in the automotive industry since December 1984. Ranging from apprentice to master technician, workshop foreman, controller, service advisor, and service manager.
  • over 35 years of experience in multiple premium vehicle businesses
  • I am raised and trained in Australia, but I have gained experience working overseas. This includes work in Germany, Taiwan, South Korea. After this long time abroad I returned to Australia.
  • We offer our services across Melbourne and Victoria

 

 

Source supercheapauto.com.au and rac.com.au

Because of COVID, used car prices are still high in 2022

The rise of used car prices during the pandemic is still due in 2022. As people turn to near-new purchases with the supply chain bottleneck due to months of waiting for new cars.

National motoring editor Joshua Dowling said: “The shortage of new cars available resulted in the price for used cars to increase. With buyers facing “not uncommon” delivery times of 3 to 6 months. The new car shortage, expected to last long and set to continue until 2022”. 

The reason for the increase in used car prices

Supply Chain: The global supply chain was affected when the pandemic outbreak started, making cars logistics shaky. The shortage of containers and the competition for cargo space has led to long delivery times.

Modern cars consist of many components. These modern cars rely on an intricate global dance. The parts of the car are being manufactured in one country and then shipped to another. This is the reason for shipment delay on new cars.

Due to supply chain issues, the used cars market is booming. This means it has become harder for people to navigate the market. Used cars are in higher demand than ever before. And people are turning to them more because they want to choose a car that is sustainable. 

Chip Shortage: carmakers are competing with each other for chips. The chip shortage means there is a lot of competition even with other industries for these components. Modern cars can have more than 1,000 chips for control of everything from mirrors to airbags and tyre pressure gauges.

When the pandemic first struck, cars companies cancelled orders they had placed for Chips. However, after the global economy bounced back more strongly than anticipated, car companies who waited to pick up their old orders found they were waiting at the back of the queue.

Chips are also in high demand for other industries like the medical industry and the computer industries.

Since the car companies are very good at keeping the prices they pay down, the Suppliers are now in turn making money from non-vehicle orders. 

In response to Covid and long delivery times, many people have turned to the used car market. With the demand for used cars outweighing the availability of them, the seller’s market has developed.

When will it end?

“That’s the important question, “When will it end?”  and It keeps getting pushed out,” says James Voortman, chief executive of the Australian Automotive Dealers Association.

“Some manufacturers said that they’re hopeful the shortage of chips will start to improve by the middle of this year 2022.”. As the global supply chain straighten out

What you should know before buying a used car

A new survey found that 20% of people who purchased a used car did not have a positive experience. Here is the reason why :

In spite of the average Australian spending 22 hours doing the research before buying a used car privately, 4 out of 5 people still experienced some level of confusion. In addition, many of those who purchased through a private seller had to pay additional costs. This additional payment includes necessary mechanical repairs after purchase or additional registration fees due to where you live.

A lot of Australians worry about a car’s warranty when buying a used car. Many others were also concerned that they had bought ‘a lemon’ and questioned if they were getting a good deal, or if the seller was trustworthy.

Many Australians also struggled with the technical aspects of inspecting cars and would rely on appearance or trust the seller’s word. In the assessment phase of buying a used car, many Australians missed key steps such as not organising a mechanical inspection or reviewing the car’s logbook. In addition to this, they didn’t check if the cars had been in any accidents before or had ‘repairable writeoff history’.

To help Australians navigate these complexities and more, German Precision offers a technical service to inspect your potential car prior to purchase. As part of the car inspection, we take pride in reporting minor/major damaged areas and signs of prior repairs. We can focus on details and make sure that each car is not considered a crashworthy one.

Sources 9news.com.au and allianz.com.au

A simple guide on how to choose car insurance in 2022

Think about whether your vehicle gets written off, stolen, or having an accident, or whether you can afford to pay for the damage to someone else’s car. It is absolutely a stressful experience, so give yourself peace of mind knowing you have already investigated the best/most appropriate vehicle insurance.

Type of Car insurance  in Australia: Third-party VS comprehensive

 There are many levels of insurance cover to consider, which include Compulsory third-party (CTP) insurance which is compulsory to drive on Australian roads and it is included in your vehicle registration cost except in New South Wales. Also called green slip insurance. It covers the costs of compensation claims if you injure or kill someone in a car accident but It doesn’t protect the other parties’ car if it is damaged, nor does it protect you or your car. Then there’s Third-party property insurance that will help cover some repair costs if you cause damages to other people’s property, including cars, when an accident is your fault. 

But if you’re after a policy that also insures your own vehicle. You’ll want to consider Third party property, fire, and theft, which is on top of the cover. The third party’s property damage will also cover your vehicle if it’s stolen or damaged by fire. Then there’s the Comprehensive vehicle insurance which is the highest level of insurance that you can hold for your vehicle. On top of covering the third party’s property. Comprehensive vehicle insurance will also cover the repairs to your vehicle due to an accident even if it’s your fault. Damages that occur due to weather also covers your vehicle if it’s stolen or damaged by fire. Because of the high level, comprehensive vehicle insurance is the most costly form of insurance.

But with so many choices out there, there won’t be one best car insurance option to suit everyone. Depending on the data, pricing, and policy inclusions you can define which car insurance policies are the best. 

 

Next step: Determining your Vehicle value

 The next step after choosing the level of your vehicle insurance cover, you will have to choose what value you want to ensure your vehicle for in case it gets written off. There are two types of your car amount value and it is as: 

Market Value

It means your vehicle is covered for what it’s currently worth ‘in the market’. In nutshell, The price of your vehicle will be assigned based upon the amount your car would have sold for, at the time of the accident, or at least, what it was worth before it was damaged. Some factors that commonly impact the amount include the age of drivers, the type of vehicle you’re driving and you may still need to pay a car insurance excess, a one-off payment to be made to your insurer before your claim can be paid out.

 Advantages of Market Value car insurance:

  • In general, it is cheaper than the agreed value. It helps save money for those who are fine to insure their vehicle for its current worth in the market.
  • It always adapts to match the cost of replacing your vehicle. This way, you know that you can replace that vehicle with something similar, with the cost covered.

 

 Agreed value

is a predetermined amount both you and your provider consent to insure the vehicle for until the policy ends. The agreed value policy is not available for all vehicles. If your vehicle has pre-existing damages that might affect whether you can get the agreed value or not. It’s important to note that If you renew your policy, the agreed value will be reassessed and adjusted. 

Advantages of Agreed Value car insurance:

  • You are able to ensure your vehicle for more than it’s worth. However, if the cost to replace the car is greater for the insurer, you may end up paying more in premiums. 
  • The amounts for which you insure your vehicle are honoured for the duration of the policy. You probably have to renew your policy every year. Your insurer may propose a new agreed value that is lower or higher than your first agreed value.

 

The main difference between agreed value and market value is you claim whatever amount of money back that you agreed on with your insurer because that policy pays the same regardless of your vehicle’s depreciation.

 

 Other Factors to consider when looking for car insurance

Get quotes from more than one insurer to find the best value policy. Insurance policies are different and may use different terminology. So it’s important that you read the product disclosure statement to know what you are paying for and what you’re covered for. If you need to submit a claim for the policy, you have to make sure that your insurer is easy to deal with and the claim process is fast and efficient. Many insurers enable you to submit your claim online or over the phone, whilst some will require you to submit it in person.

It is also important to know the excess you will pay when you make a claim.  Some policies will allow you to adjust the excess amount and pay higher. While some policies will allow t0 excess. To weigh up whether you would rather pay a higher amount in your insurance payments. and therefore a lower amount in excess should you make a claim or a lower upfront payment with a higher excess.

 Some policies include a no-claim bonus. This means you pay a smaller premium if you don’t make a claim for a certain period of time. It is important to compare the No Claim Bonus Policy of each insurance policy you review. As each will have different terms and conditions. 

Read the policy to understand what claims affect your bonus and if there are any limits. Also note that some insurers may not agree to provide cover for vehicles that are Previously written off’ (WOVR), as in reality, the value of this type of car is unknown. In the case of your finance, the provider will likely require proof of ‘Comprehensive Insurance’ of the vehicle noting the value and the insurer as an ‘interested party’.  Refer to your policies for clarification.

 

Make sure to get the right car insurance

Here are a few questions you need to ask yourself before getting your vehicle covered:

  • Do I invest the right amount of money for insuring my vehicle?
  • Do I know my cover policy well?
  • Does the insurance cover all the things I need?

 

Contact a Professional

Contact our qualified expert technicians in German Precision For all types of vehicle inspection

Buying A Family Car? Read These Tips First!

Starting a family brings an abundance of important decisions and lifestyle changes. In that mix is your choice of car—what vehicle will you choose to carry the most precious cargo you’ll ever be responsible for?There are many vehicles on the market and the options can be overwhelming, but they don’t have to be a daunting task. Before buying a family car, read these tips first!

Honest and Professional Pre-purchase Car Inspection in Melbourne, VIC

We have been in the automotive industry since 1984, ranging from apprentice, through to master technician, workshop foreman, controller, service advisor and service manager, in numerous premium vehicle businesses. We have built a level of loyalty that in the 21st Century is vital. After all, customer service and care is a point of difference.
We hope we are able to help you out with your needs. Our business is also known as Prepurchase Check.

How Much Can You Afford?

First thing first, how much can you spend on a new family car—be it new or used?

There’s no point buying something that’s too expensive, where the repayments will stress the family budget for years to come. Plan carefully, think about how much the car costs to run as well as the initial costs (things like insurance, fuel efficiency, warranty and service, ongoing registration, etc), and don’t spend what you can’t cover. Period.

What Do You Use The Car For?

Is yours mainly a plain suburban route between school, work, the grandparents and the supermarket? You might not need that enormous off-roader SUV that’s going to chew up petrol for no reason then.

Even if you think to yourself, “But we’ll go camping! If we had this car, we’d go off-road all the time!”, the reality is if you haven’t done those trips already, before children, it’s unlikely you’ll do them regularly after children. Or at least, regularly enough to warrant spending more money on one.

But if you live in the country and have to travel 50km to your letterbox across rough terrain and spend weekends crossing rivers and pitching tents, that giant SUV could be just the thing for you.

Choose your car based on how you use it. Granted, in Australia, people are mad for SUVs when it comes to family cars, and with good reason. They’re higher off the road and bigger, so you feel safe in them, plus you’re not bending down to do the child seats up. And they have bigger boot space (some of them). Some sedans really do have a lot of boot space).

Consider An SUV Or A People Mover

There is a reason SUVs are the weapon of choice at the school drop off/pick up war zone. Their upright driving position offers better visibility over traffic. Their height means they are easier to get in and out of with kids and groceries; you’ll do your back twisting and lowering a snoozing baby into a low car. SUVs generally hold more stuff.

Also, consider people movers. While decidedly uncool, they offer practical motoring at their best. Their sliding doors are brilliant when it comes to ushering kids into the car. Not to mention eliminating dinged doors in the car park.

Don’t forget, it’s not just your own kids you’ll be ferrying around. You’ll also play taxi driver to all their friends and sporting groups, so consider whether you need a 5, 7 or even an 8 seater model.

Make Sure You Will Be Comfortable During Long Trips

A woman sleeping in a comfortable family car
Not only you should think about choosing between an SUV or a people mover, but you should also choose a car that will be comfortable for a long trip.

This family car is also bound to be your everywhere car, which means you’re going to use it for holidays and road trips. Make sure every single person inside the car will be comfortable during these times!

Check The Safety Features

These days, you really shouldn’t be buying a car that doesn’t have airbags that cover all rows of the car. Then there are child seat fixtures called either tether points or ISOFIX points, depending on what kind of car seat you have. Both of those things should be standard features in a family car.

But there are a whole bunch of other, newer features that are just coming into play which you should also consider. Things like auto emergency braking (the car will stop itself if you’re about to hit something in front of you); blind-spot monitoring (a light will show on the side mirror if you have a car in your blind spot); lane departure warnings (beeps in case you veer off out of your lane), reverse parking cameras (a camera that shows you the road behind you, great for parking.

Some cars now have 360-degree cameras which will show you all around your car (super useful), and adaptive cruise control (which will keep you safer on long drives and in traffic).

Know The Fuel Type And Efficiency

Petrol, hybrid, electric—they’re all a bit different in terms of fuel consumption. Make sure you get the one that best suits your needs.

Manufacturers will always have an official fuel consumption expressed as litres per 100 km. But this is usually a combination of “urban” and “extra-urban” aka freeway conditions. The manner and usage in which you drive your car could make that quite different. For example, if you do lots of school runs and stop-start city driving your fuel usage will be higher.

Does It Have A Big Boot?

A family of four and a family car
Kids come with a lot of equipment. While you might not be in the market for an SUV, you’ll definitely need as much cargo capacity as possible for prams, school bags and toys—not to mention the four-legged family member.

When you’re test-driving a car, bring your pram or stroller along and see if it will fit in the cargo area with room to spare.

If you’re shopping for a more compact car, check to see how easy it is to fold the rear seats in case you need to increase capacity.

Take Advantage Of The Test Drive

Don’t be afraid to take the car out for longer than the usual ’round the block trip, especially if it’s a used family car.

People often think they won’t be allowed to drive it for a while but that’s not the case. If you’ve got something at home you want to test it with, for example, if your garage is small and you want to be sure it will fit, ask if you can test drive it home. They will let you. They want to sell you a car.

Consult A Professional Car Technician In Melbourne

Never buy a car without researching. If you can’t choose, consult a professional like German Precision.

We have engaged with many clients for independent, personal car purchase advice. Whilst we are not a CAR BROKER, we have assisted clients with discussions on MAKE/MODEL/YEAR/VERSION of vehicle best suited to their needs, and with low ‘grief’ factors. In some cases, clients, especially repeat clients (and we have many), have asked us to either source a car for them, or assist in the negotiations.

As much as some of us think we’re backyard mechanics, you can’t go past actually getting a used car checked out by a professional to determine whether it is mechanically sound. There’s nothing worse than driving away with your new purchase, only to find that it has an issue that is going to cost you dearly.

And if you want to buy a secondhand car, have a professional inspector like German Precision to do a thorough pre-purchase car inspection in Melbourne to ensure that your dream car is operating properly and not a scam.

If you are looking for the best pre-purchase car inspector in Melbourne, do not hesitate to contact German Precision or Prepurchase Check today!

sources: caradvice.com.au, booths.com.au, carsguide.com.au, stayathomemum.com.au, whichcar.com.au

Why Buying A Used Car Is Better Than Buying A New Car

When it comes time to buy a car, you have a variety of choices available to you. Not only do you need to pick the make and model of your car, but you also need to decide if you want to buy a new or used car. This is an important decision and it can make a big difference in your finances over the next several years. Read this article to know why buying a used car is better than buying a new car.

Honest and Professional Pre-purchase Car Inspection in Melbourne, VIC

We have been in the automotive industry since 1984, ranging from apprentice, to master technician, workshop foreman, controller, service advisor and service manager, in numerous premium vehicle businesses. We have built a level of loyalty that in the 21st Century is vital. After all, customer service and care is a point of difference.
We hope we are able to help you out with your needs. Our business is also known as Prepurchase Check.

No Depreciation For You

The biggest advantage of buying a used car is that you let someone else take the biggest depreciation hit on the car. You may be able to sell your car for nearly the same amount you paid for it in the next few years.

When you buy a used car, it is easier to save up and pay cash. You can also review the Consumer Reports and choose a model that has been performing well.

Used Cars Are Cheaper

Shiny, brand new cars usually come with a big price tag. If saving money is a factor in your decision making, you can save thousands on a used car. This is by far the main benefit of buying used.

Can Transfer The Original Warranty

If you’re looking at cars ten years or older, this will not apply to you. However, in today’s market, a lot of new cars come with a five-year manufacturer’s warranty.

If you’re looking at a three-year-old used car that still has its original warranty, you can transfer this into your name, and protect yourself in case of unexpected breakdowns.

You Can Get Cheaper Features On Used Cars

The oldest trick in the dealer’s book is to install additional dealer options. They’ll add a pinstripe, a protective film, or the immortal “anti-rust coating,” but new car buyers who want these add-ons can easily get them for a much lower cost from an after-market installer. Regardless, these changes don’t add a dime to the car’s resale value anyway. When you buy used, you may not get every feature you want, but you certainly won’t end up paying extra for things you didn’t ask for.

On the other hand, when you search for specific car features that you do want in a used car, like a sunroof or navigation system, you’ll pay far less than the original owner did. Instead of needing to decline a dealer’s expensive navigation package with fees and surcharges, you’ll be able to afford the built-in features.

Your Dealership Checks And Repairs The Car

Buying a lemon is a huge concern when it comes to used cars. There are a few red flags that you should avoid when hunting for your dream car.

Unless, of course, you’re shopping at Dodgy Bros, you should always go to an honest car dealership.

Car Dealership, reputable used car dealers would have checked and performed necessary repairs or maintenance to the car when it originally came in.

Check that this has occurred before driving away, as this will give you a sense of security and peace of mind.

What Else To Consider About Used Cars

Buying a car is a highly personal decision, and there are several factors that need to be considered before deciding. However, when it comes to the new vs. used car debate—don’t rule out a three to a four-year-old used car.

Consider thoroughly researching what models meet your wants and needs, and budget what you may be able to afford.

If this is something you or your family can afford, you will be able to take advantage of a discounted price, while knowing that the car will be new enough that you (hopefully) won’t be driving away with a lemon. Further, if the car still has its original warranty, you’ll be able to transfer this to yourself and enjoy added peace of mind.

What Should I Be Aware Of?

The biggest downside of buying a used car is that you cannot be guaranteed its history. You can piece together a pretty good idea through service logs, condition and running a vehicle history check, and even seeing the Roadworthy Certificate—but you will never know each and every quick of the car before your time.

Pre-purchase Car Inspection

As much as some of us think we’re backyard mechanics, you can’t go past actually getting a used car checked out by a professional to determine whether it is mechanically sound. There’s nothing worse than driving away with your new purchase, only to find that it has an issue that is going to cost you dearly.

Have a professional inspector like German Precision to do a thorough pre-purchase car inspection in Melbourne to ensure that your dream car is operating properly and not a scam.

If you are looking for the best pre-purchase car inspector in Melbourne, do not hesitate to contact German Precision or Prepurchase Check today!

sources: ratecity.com.au, roadloans.com, thebalance.com, carsguide.com.au, moneycrashers.com

Factors To Consider When Buying A Used Car

When it comes to buying a used car, you want to make sure you get the right car, for the right price. Used cars, by definition, are not new, they have a history, and it’s a series of historical information that makeup what the car is now. There are important factors to consider when buying a new-to-you car.

Honest and Professional Pre-purchase Car Inspection in Melbourne, VIC

We have been in the automotive industry since 1984, ranging from apprentice, through to master technician, workshop foreman, controller, service advisor and service manager, in numerous premium vehicle businesses. We have built a level of loyalty that in the 21st Century is vital. After all, customer service and care is a point of difference.

We hope we are able to help you out with your needs. Our business is also known as Prepurchase Check.


The Car’s Age

One of the first things you need to consider is the car’s age. The term ‘used’ simply means ‘not new’ so you can find cars ranging from six months to sixty years or more, falling into this category. Your first consideration is to really decide how old is too old for you. Cars of a certain age don’t come with certain luxuries or safety features that we have come to expect in new cars – can you live without them?

Lifestyle

It’s important to buy a car that suits your lifestyle now and in the future. A minivan could be a better choice than a compact sedan for a woman who has one child now but plans to have more in the future. Similarly, a commuter who drives more than 100 kilometres per day will be best served by a small SUV rather than a full-size SUV. Finding your balance and deciding on the best choice for your lifestyle is conceivably the most important aspect to consider in your used car search.

Value And Cost Of Ownership

Finding a vehicle that retains its worth well over time is the next step in ensuring continued money savings down the road. The old adage, “A car loses value the second it is driven off the lot,” may have been true in the past. In today’s market, it is becoming increasingly false. Vehicles are thoroughly researched by trusted outlets such as Kelley Blue Book (KBB.com) to find out how they hold their value over time and also rate vehicles based on their 5-year cost of ownership. By utilising this helpful data, drivers are saving more money than ever before on their used car purchase.

Test Driving The Car

Spending time with the vehicle will give you an idea of how comfortable it is to drive and if everything is working smoothly. Ask the seller if you can test drive the car on different road surfaces such as flat roads, uphill, highways and areas with sharp cornering.

The Previous Owners

Some people treat their car with the utmost respect, keeping it clean, driving it nicely and servicing it on time. Others see their car as a dumping ground that gets them from A to B or they race around with little regard for their poor car’s engine or exterior!

The number of owners a car has had is important to consider when buying a used car. The more owners a car has had, the more likely it has had at least one of the latter driver type. So, try to choose a used car that has had few owners. There’s more chance that it has been well looked after.

Warranty

Buying a used vehicle with a solid warranty will not only save you money on future unknown repairs, but it can also be a shield to protect your money. Whether it is a factory warranty or an extended warranty offered by the dealership, this added protection can go a long way when it comes to saving your wallet.

Pre-purchase Car Inspection

As much as some of us think we’re backyard mechanics, you can’t go past actually getting a used car checked out by a professional to determine whether it is mechanically sound. There’s nothing worse than driving away with your new purchase, only to find that it has an issue that is going to cost you dearly.

Have a professional inspector like German Precision to do a thorough pre-purchase car inspection in Melbourne to ensure that your dream car is operating properly and not a scam.

It is worth taking your time when buying a second-hand car as you don’t want any surprises after you buy it.

If you are looking for a professional pre-purchase car inspector in Melbourne, do not hesitate to contact German Precision or Prepurchase Check today!

sources: chevroletofnaperville.com, pacifictoyota.com.au, loans.com.au

Buying a Used Car: Dealers, Private Sellers, or Auctions

It’s an age-old argument — do you get the best-used car deal buying from a dealer, an auction, or from a private seller?

Honest and Professional Pre-purchase Car Inspection in Melbourne, VIC

We have been in the automotive industry since 1984, ranging from apprentice, through to master technician, workshop foreman, controller, service advisor and service manager, in numerous premium vehicle businesses. We have built a level of loyalty that in the 21st Century is vital. After all, customer service and care is a point of difference.
We hope we are able to help you out with your needs. Our business is also known as Prepurchase Check.

Let’s face it, buying a car is a stressful situation. For some of us, it will be one of the largest financial transactions we make. There are plenty of pitfalls for the unwary or inexperienced — and when it comes to buying a car, some of us can be both.

Buying your used car through a dealership

Buying a car through a dealership is often more expensive than buying from a private seller, at least upfront. This is because dealerships will usually have cost margins (e.g. rent and wages) to cover, so they might boost the price of a car slightly to compensate for this. However, the professionalism and quality of the customer service at a dealership can make this cost worth it.

Buying a used car from a dealership

Buying your used car privately

One of the strongest arguments for buying from a private seller is that you, the buyer, can haggle more strongly for the best possible price. Most private sellers have an inflated opinion of the value of the car they’re selling, gained from scanning ads for similar cars’ “asking” price rather than the final “selling” price. So, keep in mind, you have plenty of room to negotiate and you can always walk away. If the seller has an urgent need to sell, your position is even stronger.

Buying a used car from a private seller
Crucially, when buying through a private seller you should check that there isn’t an encumbrance on the car, i.e. there isn’t a debt on it. You should avoid buying an encumbered car, because if the borrower was to default on the debt, the lender could repossess the car from you, despite the debt not being yours!

Buying your used car at an auction

You may save money at an auction, but you must do your homework. Set a price and don’t go over it. Ex-government and fleet cars are often good value and have usually been regularly maintained but they might not have been driven as carefully as privately owned cars.

Buying a used car from an auction

Pre-purchase Car Inspections in Melbourne, VIC

Have a professional inspector like German Precision do a thorough pre-purchase car inspection to ensure that your dream car is operating properly and not a scam.

If you are looking for a professional pre-purchase car inspector in Melbourne, do not hesitate to contact German Precision or Prepurchase Check today!

sources: suncorp.com.au, savings.com.au, mynrma.com.au

Word of Mouth 2021 Service Award for German Precision

𝐆𝐄𝐑𝐌𝐀𝐍 𝐏𝐑𝐄𝐂𝐈𝐒𝐈𝐎𝐍 is immensely grateful for this award.
 
As the owner, it has been an honour to work for everyone who has chosen me to inspect their dream cars, and for the trust that has been built over the years. This award recognises my work and the efforts that I put in, with the aim of exceeding your expectations.
 
We are very fortunate to have been able to help you. It would not be possible for us to receive this award without your trust and support.
 
If you are looking for the best pre-purchase car inspector in Melbourne VIC, do not hesitate to contact 𝐆𝐄𝐑𝐌𝐀𝐍 𝐏𝐑𝐄𝐂𝐈𝐒𝐈𝐎𝐍 today!
 
Gratefully,
Klaus Sturm
 
𝑷𝒉𝒐𝒏𝒆: 0421 083 390
𝑬𝒎𝒂𝒊𝒍: germanprecision@outlook.com, info@prepurchasecheck.com.au