Are Demo Cars New or Used Vehicles

Buying an Ex-Demo Car as New or Used?


If you’re looking to buy a new car right now, then you’re likely spending time shopping around and searching for the deal that will make you say ‘YES’. Although many dealers can provide discounts on new cars, have you ever thought about that demo car you tried during your visit to the showroom? Yes, it has a few kilometers on it already but if you really want to save on cash, this could be the best option for you.

Read our Car Buyer Guide for more.

But before you decide on it, let’s check out some of the advantages and disadvantages of this alternative. After all, not all of these demo cars are equal.


buying an ex demo car


The Advantages of Going with the Demo Car


Close to Brand New 


Even if a demo car brings with it a few hundred kilometres, being the test cars that they are usually means that they are the latest model and are kept in good condition. These vehicles will also come with the latest additions to that model and since it is in the dealership, it would have any issues fixed right away. They have also been broken in with any stiffness from production ironed out before they hit the showroom so you can be sure that the wheel turns and the suspension absorbs the roads bumps.

We have some really good near new car dealers in our area in Victoria Park.

Test cars are also washed regularly and are garaged overnight so you can get a pretty good looking one with just a few kilometres and at an ideal price.


You Get a Better Model for Less


Salespeople in the dealers want their customers to purchase the highest spec car possible. They want you to get leather seats, a sunroof and anything else that can be added into it. That is why demo cars would make sense to have everything in place. No one would like to test drive the basic model, and many dealerships wouldn’t even have one in stock for this reason.

We recently covered how often people should change up their cars, car dealerships are no different they need to rotate stock to keep it fresh for customers.

That is why when you choose to purchase a demo car, you’re usually guaranteed to have the highest end model at the ready. Of course this will still add up in its total price, but the great thing about this is that you’ll be getting a car with all of the extras for the same price as the basic model or even less!


You’ll Save On Cost


We all love to save on cash when buying anything so this is an obvious outcome. When you’re looking to buy a new vehicle, there’s no better way to slash down on prices than by choosing the demo car.


One thing to keep in mind is that there are no set guidelines on how much would be ideal to pay for the vehicle. As mentioned earlier, not all demo cars are the same. This is good for you because you have the opportunity to haggle as much as you see fit. Negotiating should be easy as most dealers are eager to dispose of their demo models.


It Comes with a New Car Warranty


Despite buying it at the price of a used car, you’ll still benefit from the coverage of a new car when you buy it. Your warranty will begin the day you purchase the vehicle. This means that even if the car has been in the showroom for a year, it will be treated in terms of warranty just like a brand new one.


All of these positive things may seem great and you might be excited to get a demo car right now. However, there are also some negative aspects you should consider before buying one.

Read our Guide to Buying a New or Used Car.


The Disadvantages of Going with a Demo Car


testing a demo car

Image: this is not your next demo car.


You Don’t Have Many choices


With regards to engine size, colour, trim and even with the fuel type, you will often find that choosing a demo car severely impacts the amount of choices you can have about it. Although this isn’t a problem for most people since the value makes up for it. But if you wish to have a car that’s specific to your liking, then you might as well just go with a brand new model instead.

Further reading see common car financing misconceptions.


Many Drivers Have Used It Already


No two drivers share the exact same habits and no matter how much you’d like to think that each one of them tested your demo car carefully, you can never really know. If you see a lot of kilometres on the odometer, there is a good chance it has been put through a lot during its tenure. 


Having so many people testing the car each day, you might find that you’ll have to change tyres as soon as you make the purchase. Although this isn’t a huge concern, it’s still something you need to budget in the coming months when you go with a demo car.


There is also the chance that the salespeople in the dealership have taken it home for the night or have it loaned it to customers with cars that had repairs. This would result in a lot of wear and tear on the vehicle both in terms of appearance and in the mechanical aspect.


Despite all of these disadvantages, buying a demo car because of its price is still a reasonable choice. It may have a few scratches here and there but with a high spec model at an affordable rate, anyone on a budget would surely consider getting one.

Looking for a new car loan but not wanting to pay new car prices? apply online tell our brokers what you are looking for and they will find you something very close to what you are looking for at a price you will like.