How will the change in Maruti Suzuki car GST rate affect resale value of existing cars?

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3 answer(s)
Answer # 1 #

It is also possible that only certain models see impact. If Maruti reduces GST more for small cars, then resale of small cars may drop more compared to premium ones. WagonR resale may fall, but Ciaz or XL6 resale may not be affected.

[17 Day]
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Answer # 2 #

From another view, resale may not drop much because demand for used cars is extremely strong in India. Many first-time buyers prefer used cars instead of new ones. Even if new cars become cheaper, the gap is still wide. So resale value may take a small hit, but not a big crash.

[18 Day]
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Answer # 3 #

The resale value will definitely come down slightly. When new cars become cheaper, used cars automatically lose some market value. Suppose you bought a Swift last year for ₹7 lakh. Today the same model new car costs ₹6.5 lakh. Then your used car cannot sell for ₹5.5 lakh, it may drop to ₹5 lakh or even less. But this effect will normalize over time. Resale depends more on demand, condition, and mileage. After 1-2 years, people will forget the GST cut and resale market will stabilize again.

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