Certified Pre-Owned: 4 Things to Know
Shopping for a Certified Pre-Owned car is different, blending characteristics of both new and used searches. In a nutshell, buying a Certified Pre-Owned car can require more work than buying a new car, but presents fewer pitfalls than buying used.
Certified Pre-Owned (CPO) cars are essentially top-quality, inspected used cars backed by manufacturers’ warranties. No two CPO cars have the exact same mileage or are in the exact same condition, so you could find yourself having to weigh the pros and cons of two otherwise identical models. On the other hand, they all meet certain condition and mileage requirements, and most offer the reassurance of an extended warranty, so they all offer peace of mind.
To buy a certified pre-owned car, KBB recommends these steps.
1. Make a Shopping List
2. Study the Cars and Programs
3. Go Online to Find CPO Models
4. Finally, Visit the Dealer
Step 1: Make a Shopping List
Start with a particular model – and a couple of backup choices. While new model sales can hit as many as 17 million vehicles per year compared to some 40 million used vehicles. However, Certified Pre-Owned models are a small fraction of the latter number some 2 to 3 million annually, but the pool is growing as manufacturers and dealers begin to understand the benefits to both their bottom line and consumers that come from offering low mileage, good condition used vehicles with a warranty.
Explore suggested Lexus models from KBB
2017 Lexus RX
If you’re seeking a 5-passenger luxury SUV that delivers a smooth ride, comfortable cockpit and loads of luxury and safety features, then the 2017 Lexus RX 350 and RX 450h hit the mark. Money savvy consumers will appreciate the RX’s excellent resale values and low maintenance costs.
- One of KBB’s 10 Best Luxury SUVs of 2017
- KBB Expert Rating: 4.7
- KBB Consumer Rating: 4.0
2017 Lexus ES
The 2017 Lexus ES 350 and ES 300h luxury sedans appeal to buyers who demand a luxury car offer strong performance as well as traditional values of comfort and dependability. ES 300h buyers, however, do sacrifice a small amount of trunk space to the hybrid’s battery pack.
- One of KBB’s 10 Best Certified Pre-Owned Luxury Cars Under $30,000
- KBB Expert Rating: 4.0
- KBB Consumer Rating: 4.6
2017 Lexus NX
Lexus’ NX 200t and NX 300h for 2017 deliver all the high-tech features and elegant luxury expected of a Lexus in a compact package that is both fun to drive and easy to live with. The hybrid’s city fuel economy surpasses its rivals by a wide margin.
- One of KBB’s 10 Best Luxury Cars Under $35,000 for 2017
- KBB Expert Rating: 4.5
- KBB Consumer Rating: 4.4
Find the right L/Certified model for you
Step 2: Study the Cars and the Programs
Study the cars and the programs. Research is essential. After choosing the car(s) you like, check out the maximum age and mileage of cars that are eligible for CPO certification, and other program details. Find out how extensive the inspection is, and the exact details of the extended warranty/service contract. Many dealers now include a CarFax or similar vehicle history report, which can tell if the car has been damaged, has title problems, or is otherwise questionable.
See why Autotrader named L/Certified tops among luxury automakers in 2020.
“So what’s the difference between a brand-new Lexus
and a certified pre-owned Lexus? Not much.”
KBB Editors
Certification
Before a car earns a certified pre-owned warranty from Lexus, it endures a thorough check to make sure there’s no unseen damage. There’s also a 161-point mechanical inspection, and Lexus requires its pre-owned vehicles to be no more than 6 years old and have fewer than 70,000 miles on the odometer. Finally, Lexus details and reconditions these vehicles inside and out before offering them for sale.
Warranty
On top of the remaining balance of the original 4-year or 50,000-mile bumper-to-bumper new-car warranty (which includes powertrain coverage), the CPO warranty adds 2 years and unlimited mileage. That works out to a total of six years with unlimited mileage.
Other Benefits
Other L/Certified perks include four free scheduled-maintenance visits, which take CPO vehicles through 2 years or 20,000 miles. Additional benefits include free roadside assistance and trip-interruption reimbursement of up to $200 for as many as three nights and up to $50 per day for rental-car allowance.
Step 3: Go Online to Find Certified Pre-Owned Models
Once you’re up to speed on your desired cars and their respective programs, you can find Certified Pre-Owned vehicles for sale right here at kbb.com. Comparing prices and features helps set your expectations for what you will be realistically paying for a CPO vehicle.
Browse listings of popular L/Certified Models
Step 4: Finally, Visit the Dealer
When you eventually find the right car and decide it’s time to visit the dealer, remember that prices on Certified Pre-Owned cars are negotiable, just as they are for any used car. As you drive off the lot in your first – or latest – Certified Pre-Owned car, feel good about the money you saved versus a new car, and the added peace of mind you have versus a used car.