What is the Difference Between a Used Car with 2 and 3 Ownership Transfers?
2 Answers
1、Different number of ownership transfers: A used car with two ownership transfers is considered a second-hand vehicle in China. A car with three ownership transfers has undergone three sales transactions, meaning three transfer procedures. 2、Different value: As the number of ownership transfers increases, the selling price of the car tends to decrease. Affordability is the biggest selling point of used cars. With the same budget for a new car, buyers can purchase a higher-grade used car. A car with three ownership transfers is even cheaper than a regular used car. 3、Different safety levels: Used cars can still be used as long as they meet national scrapping standards or remain within their economic service life. However, a car with three ownership transfers typically has a shorter lifespan, and its corresponding safety performance may decline.
As someone who frequently buys and sells used cars, I've found that the main difference between a car with 2 transfers and one with 3 transfers lies in the credibility of its condition. A car with 2 transfers usually means it has only had the original owner and a second owner, making its history relatively clear and the risk lower. The price drop isn't significant either, possibly just slightly cheaper than a new car. However, a car with 3 transfers is different—it's likely been through multiple rounds of ownership changes, hiding more potential issues like unreported accidents or major part repairs. Buyers tend to view such cars as unreliable, leading to greater bargaining room and faster average depreciation. I strongly recommend checking the VIN (Vehicle Identification Number) before purchasing to confirm the transfer records and accident reports, avoiding future hassles. Increased transfer numbers also affect insurance costs, as insurers consider them high-risk targets, requiring owners to pay extra. Buyers must weigh the cost-performance ratio carefully. In short, more transfers serve as a warning to be more cautious.
