The Honda City has been a household name in India for over 25 years, thanks to its consistent updates and improvements. So if you own a Honda City, and you plan on selling it soon, you have an upper hand because you possess an excellent product! Some of the reasons for this include the proven track record of reliability, evergreen design, and easy availability of spare parts. However as an owner you have  responsibility to maintain your Honda City in excellent condition. Apart from this there are several other factors too which one should be aware to get the best resale value for your Honda City car. It is vital to understand why Honda City gives a good resale value and what are the factors which impact the resale. 

So whether you’re a seasoned car seller or a first-time seller, this guide will help you navigate the complex world of car resale and ensure that you get the best possible return on your investment.

Factors Affecting Honda City Resale Value

While finding a buyer for a used Honda City wouldn’t be difficult, it is still advisable to maximise the value of the car. Here are some things to keep in mind while in this process:

Condition

The Honda City is renowned for its timeless and enduring design, and hence, it is advisable to maintain its appearance in top condition. A well-maintained body not only enhances the car’s aesthetic appeal but also contributes to its overall value. Prospective buyers are more likely to appreciate a vehicle that looks as good as new, making it a more attractive and valuable purchase. So, it’s worth considering keeping your Honda City well-kept, rust free, scratchless and dent-free benefits to ensure you get the best return on your investment.

Moreover, presentation is an important aspect too. When presenting your Honda City to a buyer, or taking photos of your car ensure it is clean, washed and cleansed. Moreover, make sure that all of the electronic parts are functional.

Odometer Reading

Every car has an instrument called an odometer, which keeps track of every kilometre the vehicle travels over the course of its lifetime. It is one of the most important factors that a consumer would take into account while purchasing a used Honda City. The total kilometres travelled on a car is how most purchasers filter and rank their used car list, hence this becomes an important factor in evaluating the resale value. It goes without saying that the car’s resale value decreases as the odometer reading rises, and vice versa. It is essential to never try to alter the odometer readings because doing so is usually discovered and can severely lower the car’s resale value.

Model Popularity

The Honda City is a name that needs no introduction in the Indian market. Since its first introduction in 1998, the mid-size sedan has been a popular choice among car buyers in the country. Over the years, the Honda City has gone through several generational updates, each bringing its own set of improvements and enhancements.

4th-Generation Honda City

Most Honda City cars in the market are the fourth generation Honda City models, manufactured between 2014-2020. This is the model that was sold with a i-DTEC diesel engine famous for its potent nature and fuel efficiency. Moreover, with the discontinuation of the Honda City diesel, these would be in higher demand than before, and could fetch a higher price.

5th-Generation Honda City

Considering this generation is the most updated car in terms of features and technology, you can expect a higher resale value as well. Additionally, with the growing demand for automatics, you can grab an even higher price point if you own the Honda City CVT.

3rd-Generation Honda City

While models before 2008 aren’t on sale anymore, there are still some Honda City models available which were made between 2008-2013. If you have this model, you  could potentially sell it to people looking for a new first car. It can turn out to be a great buy for them considering the extremely reliable nature of the car, partly due to its proven and time tested i-VTEC engine and CVT transmission. Moreover, it still holds its ground in terms of engine power, fuel efficiency and interior quality if you’ve maintained it properly.

Honda City Variant Popularity

Historically, the best-selling trim of the Honda City is the most value for money variant i.e the ‘V’ trim. This is the trim right above the base SV variant. The V variant sells the most since it checks almost all boxes for most buyers. Moreover, the second best-selling model is the base variant which is the SV trim, which is quite surprising. Nevertheless, higher models would obviously sell for more, but the demand for these trims would be marginally higher and thus can fetch a relatively higher price. 

Powertrain, Transmission and Colour

The engine-transmission and the colour play a vital role in determining the resale value of your Honda City. Petrol cars tend to get a higher resale value, and in the case of the City, it is even more so because of its trusted i-VTEC engine. Its diesel counterpart is equally reliable, but would fetch a little lower price, considering the thumb rule that diesel cars undergo more depreciation, especially in Delhi NCR because of the 10 year scrappage policy. 

Talking about colour schemes, in general, the Honda City sells the most in Silver and White, and so it may fetch a higher price. However, this may change due to customer preferences, and some particular models have been sold with colours like Burgundy or shades of brown, which are equally popular. Thus, determining resale value based on colour is quite subjective. 

Age

Age of the vehicle does matter a lot since it directly indicates how old a car is, and defines its obsoleteness. This is even more true for diesels, especially after Delhi NCR’s 10-year scrapping policy for diesel vehicles. The value of a Honda City decreases by 10% as soon as you take it off the showroom, and further decreases by 10% on average each subsequent year. Nevertheless, Honda City cars tend to hold their value in the longer run, and you can sell it for about 60% of its value even after 5 years.

Typically, the newer your Honda City is, the more value you can claim. This further depends on factors like kilometres driven, the model, and condition, as stated above. As an example, a 2020 ZX trim with a bit more than 35,000 km demands a price of Rs 13.30 lakh, while a 2017 XZ model with a little more than 37,000 km demands a price of Rs 10.64 lakh. As you can see, this is about a 25% lesser price for a 3 year difference.

Accidental Status

While minor accidents may not significantly affect a car’s resale value, major accidents can lead to significant depreciation. In the case of a City with an accident history, potential buyers may be hesitant to purchase the vehicle due to concerns about its safety and reliability. As a result, the resale value of an accidental City may be 30-50% lower (or even more) than that of a non-accidental one. 

Additionally, if you plan on selling the car in the future, you may be able to get a better price if you can show that it has been well-maintained and cared for, despite its accident history. It’s important to note that if you do decide to sell an accidental City, you should disclose its accident history to potential buyers. This is not only ethical but also required by law. By being upfront about the car’s accident history, you can avoid any legal or ethical issues down the line and attract buyers who are willing to purchase the vehicle at a fair price based on its condition and history.

Number of Owners

When it comes to selling a used car, the number of owners is an important factor that influences the resale value of a Honda City. The resale value of a car decreases with an increase in the number of owners. If your Honda City has had multiple owners, it can indicate that the vehicle may have had a less-than-ideal history, such as a high number of kilometres, frequent repairs or accidents. As a result, potential buyers may be wary of purchasing a car with a chequered past, which can reduce the resale value. On the other hand, if a Honda City has only had one or two owners, it can indicate that the car has been well-maintained and taken care of over the years. This is because people who take care of their vehicles typically keep them for a longer period, resulting in fewer owners. Additionally, the ownership history of a Honda City can also affect its resale value based on how long each owner kept the car. If the previous owners kept the car for a long time, it can imply that the vehicle has been reliable and is likely to be in good condition.

Expected Resale Value of Honda City

While the expected resale value of a Honda City after 5 years will depend on various factors such as the car’s condition, mileage, maintenance history, location, and demand for used Honda City cars in the market, an estimate based on historical data and market trends is as follows.

A Honda City would sell for about 50% its original price after 5 years, at an average depreciation rate of 10% per year. Models made between 2014-2020 of the Honda City would fetch a decent resale value of about Rs 5-12 lakh in 2023, depending on the various factors listed above. A post-2020 Honda City would sell higher for about Rs 10-15 lakh in 2023, depending on the variant and condition of the car. These sell for more since they are the latest version of the Honda City. Moreover, you can encash more money if you sell it before the facelifted version of the Honda City arrives next month. 

Best Time to sell your Honda City

An ideal time to sell your Honda City would be after 5-7 years of using it when maintaining the car becomes a tad bit more difficult, and your itch for upgrading to a new car typically crawls in. 

Some smart tips to time the used car market and get more value for your car would be by selling your Honda City before the release of a new model or an upgraded version, as the value of the older model may depreciate after the release of a new model. Moreover, the best time to sell a Honda City would be when the demand for the car is high, and the supply of used cars is low. This usually happens during the festival season, as people tend to buy new cars during this time, and the demand for used cars also increases.

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