What’s a pre-registered vehicle?
You’ve probably heard of pre-registered vehicles – but what are they? Let us explain in this buyer’s guide.
What Is A Pre-Reg?
A pre-reg – that’s the short name for it – is a vehicle that has been registered to a dealership, leasing company or a broker, but not a ‘regular’ member of Joe Public. From the instant a vehicle is registered, it is then labelled as a used car, even if it has never actually driven anywhere.
Best Time To Get A Pre-Reg?
Vehicles usually get pre-registered in the first three months of the year, and then in the third quarter of the year, too. This is because these are the two parts of the year – 1 March, and 1 September when the new registration plates kick in.
These months are, unsurprisingly, the two largest months for new vehicle sales, because buyers often want the latest registration number. This has a knock on effect for dealerships because the biggest targets to reach are set in these months. If targets aren’t going to be met, then it makes sense to register some cars in advance and sell them at a later stage.
Pre-reg vehicles are always going to be less-expensive because they can’t be sold as brand new vehicles. While a demonstrator car will, in all likelihood, have been operated as a company car for a dealership and as, obviously, a demo car for customers, a pre-regwill be the same as a sparkling brand new car. The only difference is that, on paper, you’ll appear as the second owner.
Do bear in mind, that when you come to sell the pre-reg car on, you will get a little less for it. This is because the registration document will show the vehicle’s had two owners, rather than just you if you had purchased it new. However, if you are contract hiring or leasing the vehicle, it makes no difference at all because you never have to think about the resale value side of things.