Determining the Six Elements of Pre-Owned Car Preservation Rate

The second-hand car appraisal and appraisers paid attention to the following six factors:
1. The higher the brand awareness, the higher the value of the model: whether it is the market or the consumers, they all pay attention to the recognition of the brand and the influence of the brand in the industry and the market. A good reputation will increase the value of the brand. Unless it is a major event, the brand value is generally not easy to devalue.
Second, the [maintenance of the vehicle is usually better to maintain the value]: Needless to say, good maintenance is a direct guarantee for the vehicle to obtain a higher value-preservation rate, without considering the brand and the market premise, in terms of products alone, this view is Absolute truth. Maintaining a good vehicle condition will increase the useful life of the vehicle and delay the deceleration of the vehicle's maintenance rate. At the same time, it will be able to make more rapid use of the second-hand car and gain higher profits.
Third, the "new car price stability": the stronger the price, the more value-preserving models. According to the definition of the car preservation rate, this is a constant truth. The stability of the new car's selling price In the relatively booming stage of the auto market, the price fluctuation of the auto market has shown a steady rise. When the market is relatively weak, there will be price fluctuations. As for the impact of the stability of the new car price on the used car market, there are certain influencing factors on the value preservation of the vehicles in use.
Fourth, [the higher the market share of the car more hedge]: The level of market share has a decisive impact on the value of used car insurance, usually the best-selling car models have a relatively high market retention, but also has a high hedge rate. Most of the used car consumers will consider the follow-up issues such as the convenience of future maintenance before buying, and there will usually be more concerns about stopping the production of unsold models. Those models with relatively stable technologies, relatively low maintenance costs and convenient accessories have correspondingly higher hedge rates.
5. The higher the fuel consumption rate, the lower the value-preserving rate of the model: "The price is falling the fastest, certainly it is the oil tiger!" Generally speaking, the annual discount rate of the new car is about 10%. The preserving rate of Japanese and German used cars is generally higher than that of American cars. The main winner is “economizer” – fuel-efficient cars, with discounts of less than 7% per year. For cars that consume oil, this figure may exceed 15%. In this competition, SUVs are the least dominant.
6. The more serious the degree of accidental injury, the greater the impact on the value-preservation rate: Regardless of what brand of used car, if there is a serious collision accident, even if it is maintained in time, its value preservation rate will be greatly reduced. Dear second-hand car evaluation appraisers colleagues for the above six for reference only!

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