The demand for used (pre-owned) cars is seeing an increase in the Indian market due to the rising prices of new cars. This trend is evident from data recently released by Cars24. During this festive season, Cars24 recorded a 40 percent increase in total car sales.
Buying a car during festivals is a common practice in Indian society, but now consumers are purchasing not only new vehicles but also a large number of used cars. Many people are turning towards pre-owned options because of the high cost of new cars, as the latest figures indicate. However, it is important to note that the number of buyers of used cars is still lower compared to those buying new cars.
According to data released by Cars24, the demand for used cars is also growing in smaller cities and rural areas, with the hatchback body style being the most sold model.
Releasing data from the period spanning Navratri to Diwali, Cars24 stated that a total of 19,039 cars were sold on the platform during this festive season, which is 44 percent higher than last year. Additionally, loans exceeding ₹300 crore were sanctioned during this time.
As per the report, Cars24 sold an average of 630 pre-owned cars daily during this festive season, which is 15 percent more than the sales on normal days. Demand remains strong in major metros like Delhi-NCR and Bengaluru, but participation from smaller cities is increasing.
The contribution from rural areas among buyers is notable; 40 percent of total buyers come from rural areas, indicating that rural consumers are also showing interest in used cars. The Cars24 report suggests that 72 percent of customers buying cars during the festive season were first-time vehicle buyers.
Among the total cars sold by Cars24 during the festive season, 65 percent were petrol vehicles. Demand is highest for cars from Maruti Suzuki, Hyundai, and Tata brands. Hatchbacks account for a 50 percent market share, while SUV demand is rapidly increasing.
These figures from Cars24 highlight the rapid growth of the used car market in India, especially among consumers in rural areas and first-time car buyers. A major reason for this is also the increasing price of smaller cars. A minimum of ₹5 lakh may be required to buy a new car, whereas customers are getting better options in the used car market within the same budget.
However, there are some challenges associated with buying a used car. If someone plans to buy a used car, they should thoroughly inspect it and it would be advisable to have the car completely checked by an experienced mechanic.


