What to Check When Buying a Used Car in Australia - Complete 2025 Checklist

Before you even look at the car in person, conduct a PPSR check (Personal Property Securities Register). This official government database search reveals:

• Finance owing: Whether the car has outstanding loans (you inherit this debt if you buy)
• Stolen status: If the vehicle has been reported stolen anywhere in Australia
• Write-off history: Whether it's been deemed a total loss by insurance
• Encumbrances: Any legal claims or security interests registered against it

Walk around the car in good lighting (daylight is best) and check systematically:

Paint and Panels

• Colour consistency: Look for mismatched paint colours between panels (indicates accident repair)
• Orange peel texture: Uneven paint texture suggests poor quality respray work
• Panel gaps: Uneven gaps between doors, bonnet, and boot suggest frame damage or poor repairs
• Overspray: Paint on rubber seals, trim, or windows indicates careless repair work

Body Damage

• Rust: Check wheel arches, door sills, under doors, and boot floor for rust bubbles
• Dents and scratches: Minor cosmetic damage is normal, but major dents may indicate accident history
• Cracked or chipped windscreen: Can be expensive to replace, use as negotiation leverage

Tyres and Wheels

• Tread depth: Minimum legal tread is 1.6mm in Australia, but 3mm+ is ideal
• Even wear: Uneven tyre wear suggests alignment issues or suspension problems
• Matching tyres: All four tyres should be the same brand and similar age for best safety
• Wheel damage: Curb rash, dents, or buckles indicate poor driving or accidents

Lights and Glass

• All lights working: Headlights (high and low beam), indicators, brake lights, reverse lights
• Condensation in lights: Moisture inside headlights or tail lights indicates seal failure
• Cracked glass: Windscreen, windows, and mirrors should be crack-free

The interior reveals how well the previous owner maintained the car. Here's what to check:

Odometer and Mileage

• Check the odometer: Average is 15,000-20,000km per year in Australia
• Service history: Compare odometer reading with service book stamps
• Wear vs mileage: Low mileage but heavily worn pedals/steering wheel = odometer tampering
• Digital odometer check: Some mechanics can verify if it's been rolled back

Seats and Upholstery

• Tears and stains: Check all seats for rips, burns, or permanent stains
• Seat adjustment: All power seat functions should work smoothly
• Smell: Musty or mouldy smell indicates water leaks or flood damage
• Carpet wetness: Feel carpets for dampness, especially in boot and under floor mats

Dashboard and Controls

• Warning lights: When you turn ignition on, all warning lights should illuminate then go off
• Air conditioning: Test both heating and cooling - should blow cold within 30 seconds
• All switches: Windows, mirrors, locks, wipers, lights - everything should work
• Infotainment system: Test radio, Bluetooth, navigation, and touchscreen response
• Airbag light: If it stays on, airbag may be faulty (expensive repair)

Even if you're not mechanically minded, there are clear warning signs to look for under the bonnet:

Engine Condition

• Oil level and colour: Check dipstick - oil should be golden brown, not black or milky
• Coolant level: Should be between min and max marks, green/pink colour (not brown or rusty)
• Belt condition: Look for cracks, fraying, or wear on drive belts
• Hoses: Check for cracks, bulges, or wetness around hose connections
• Battery: Check for corrosion on terminals, loose connections, or bulging case

Leak Detection

• Oil leaks: Dark stains on engine or ground underneath indicate oil leaks
• Coolant leaks: Green/pink puddles or stains mean cooling system leak
• Power steering fluid: Reddish fluid leaks near front of engine
• Engine bay cleanliness: Suspiciously clean engine may be hiding leaks

Start the Engine

• Cold start: Engine should start within 2-3 seconds without hesitation
• Idle: Should idle smoothly without shaking or unusual noises
• Exhaust smoke: Blue smoke = burning oil, white smoke = coolant leak, black smoke = running rich
• Unusual noises: Knocking, ticking, or grinding sounds are red flags

Always insist on a proper test drive of at least 15-20 minutes. Here's what to evaluate:

Before You Start Driving

• Insurance check: Verify you're covered to drive it (bring your license)
• Seat position: Adjust seat, mirrors, steering wheel for comfort
• Warning lights: Check dashboard - any warnings that stay on after start?

During the Drive

• Acceleration: Car should accelerate smoothly without jerking or hesitation
• Transmission: Automatic should shift smoothly; manual clutch shouldn't slip or judder
• Steering: Should feel responsive with no play, pulling, or vibration
• Brakes: Should stop straight without pulling left/right, no grinding or squealing
• Suspension: Go over speed bumps - no excessive bouncing or clunking noises
• Highway test: Drive at 100km/h to check for vibrations or pulling

What to Listen For

• Grinding when turning: CV joint or differential issues
• Clunking over bumps: Worn suspension bushes or ball joints
• Squealing on acceleration: Slipping drive belt
• Whistling or roaring: Wheel bearing failure

Proper documentation proves the car's history and legal status. Always verify:

Essential Documents

• Registration papers: Should match seller's ID and car's VIN/chassis number
• Service history: Logbook with stamps from dealers/mechanics showing regular servicing
• Owner's manual: Original handbook shows car was well-maintained
• Warranty documents: If any factory or extended warranty is remaining
• Previous registration transfers: Shows how many owners the car has had

VIN Verification

• Check VIN matches everywhere: Registration papers, chassis plate, windscreen, engine bay
• No signs of tampering: VIN plate should be securely riveted, not screwed on
• Run PPSR check with VIN: Verifies car isn't stolen or rebirthed

Before finalizing any purchase over $10,000, always get a pre-purchase mechanical inspection from a qualified mechanic. This costs $150-$300 but can save you thousands.

What a Mechanic Checks

• Compression test: Reveals engine wear and potential rebuilds needed
• Brake measurements: Exact pad and rotor thickness remaining
• Suspension bushes: Wear that you can't see during test drive
• Fluid leaks: On a hoist, they can see leaks you'd miss
• Exhaust condition: Rust, holes, or upcoming replacement needs
• Frame/chassis inspection: Accident damage or rust in critical areas

Armed with your inspection findings, you can negotiate confidently:

Research Market Value

• RedBook/GlassGuide: Professional valuation services show fair market price
• Similar listings: Check Carsales, Facebook Marketplace for comparable vehicles
• Dealer vs private: Private sales should be 10-15% cheaper than dealer prices

Negotiation Leverage

• Issues found: Any problems found during inspection justify lower offers
• Cash buyer advantage: Immediate cash payment is worth a discount
• Service costs: If service is overdue, deduct the service cost from asking price
• Tyre replacement: If tyres are worn, deduct $600-$1,200 for new set

Some warning signs mean you should immediately walk away, no matter how good the price seems:

Before you hand over money, make absolutely certain you've completed these steps:

Buying a used car in Australia doesn't have to be risky. By following this checklist, you'll avoid the most common pitfalls that cost buyers thousands of dollars every year.

Remember: the most important step is the PPSR check. For just $14.99, you get legal protection against inheriting someone else's $15,400 debt, buying a stolen vehicle, or purchasing a written-off car. It's the cheapest insurance policy you can buy.

Take your time, do your due diligence, and don't let sellers pressure you into rushing. There will always be another car, but you can't undo a bad purchase once you've signed the papers.