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What's the difference between a new and a pre-registered car?

What's the difference between a new and a pre-registered car?

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A new car is one you order (usually from a dealership) and that is built to your specification (i.e, engine, trim colour, optional extras etc).

A pre-registered car is one registered by a dealer. They will order cars (usually in popular colours/trims) and register them ready to sell. Because it’s been registered by the dealer, the clock has started to tick on the warranty and when its first MoT will be due. When you buy a pre-reg car, your name will go down as the second owner on the V5C logbook document, so any subsequent buyer will also know you were not the first registered keeper.

The biggest impact this has for you is when you come to sell as many buyers prefer a one-owner history on cars up to around four years old. However, you can offset this by paying less for a pre-reg car that’s identical in every other way to a brand new one. Plus you don't have to wait for the car to be built.

Discounts on pre-reg cars range from 5 per cent to 30 per cent depending on the make, model and specification. You should also bear in mind that a dealer will be keen to sell a pre-reg car as it’s getting older by the day and - as a result - depreciating in value.

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