New SX4 Vs Honda City

@Shaheen

I agree with all the points regarding ANHC except for

"legendary low maintenenance tag" & "better resale value"

1) Typically Honda cars are expensive to maintain and their spare pars cost as well as service charges are very high. 

Between SX4 and ANHC, the least spare parts cost is for SX4 and the highest spare parts cost is for ANHC - in that segment. This takes in to acoount only regular maintenance costs assuming both cars are equally maintained well.

Further the service frequency of ANHC is 5000 KMs.

2) The slightly higher amount that you get on resale of Hondar cars are more than offset by

- higher initial price you pay

- higher maintenance you incur

Further many recent cars are have started getting pretty good resale value too. So like Bajaj scooters, Honda cars also will lose that advantage factor soon

Finally one should consider resale value only if you have resell within 3 to 5 years. If one plans to own for longer durtaion, maintenance has higher weightage than resale value

That was a surprise statement. Almost all honda vehicles have least maintenance in their respective classes. Whether it be City, Accord or CRV. And thats the reason why one is getting better resale value for Honda cars when compared to respective cars in the segment.

Carwale experts, pls put your comment on Victor's above statement.

Higher initial price has nothing to do in getting higher resale value. Higher the inital price the more you will loose. Thats the general fact. If you consider used Accord and used Laura petrol, you will get the former only at a higher price than Laura.

Autocar magazine compares the spare parts cost of all vehicles every year and publishes them.  Last year survey as well as this year surevy clearly brings out the fact that

SX4 has the least spare parts cost

ANHC has the highest spare parts cost

in that segment of sedans.

Further it is a commonly known fact that service charges at Honda are higher.

Even in other segments, none of the Honda cars come with the least spare parts cost. Some other brand or car takes the crown in each segement.

Higher initial price has nothing to do with higher resale price - may be, let us take it that way. But your overall gain on resale is offset by the initial price difference.

I haven't checked the cost of spares of SX4. But people who had owned SX4 is not that happy as the owners of Honda City. Parts of Honda City lasts more than its counterparts, may be thats why parts price is high. Don't just look at the part's cost! Chevorlet's certain cars have some spares priced lowest in its class. But they don't last as their counter parts.

I am not aware of the current labour charges of Maruti A.S.S. But compared to Hyundai, Honda's labour charge (for service of Accent) is nearly same.

So which brands have lower maintenance than Honda in higher segments?

Regarding resale. For the time being consider ANHC SMT and Linea di emotion, which are priced almost equal. An year old model of both has a price difference of 50000+. I am not saying that Linea is bad because of that. Honda City has proved to be a low maintenance car for more than a decade, hence the brand has more value, which pushes the resale value higher. If Linea proves itself like that it will also have a better resale value.

Hi Victor, why r u getting so obssessed with Maruti SX4. Everyone on earth knows the fact that Maruti spare parts are cheaper than Honda, whats new in this. Even Honda people agree with this fact.

But thn Honda cars portray pride, Brand name, dynamism, style which is uncomparable

Bagga, but honda parts lasts more than Suzuki's na? I am not obsessed with Honda . I have learned it from the feedbacks of users. And that 'low maintenance cost tag' is driving its resale value, right?

Pls put your comment.

Shaheen, I have somewhat different opinion here. I think Honda having good resale value (which is a truth) is mainly driven by the factors "But thn Honda cars portray pride, Brand name, dynamism, style which is uncomparable" as mentioned by Bagga.

I have one of my friends who owns ANHC and i asked him for his opinion on SX4 and city and he suggested me City, when i asked him about whats extra in city or what does he feels wins over SX4 he said "Iski alag class hai" and he kept on reasoning on that but i did not find a reasonable answer to my question. I am not denying that City is better in many aspects than SX4 but most of the people I come across with seem to be obsessed by Honda image(not you ofcourse as I had already pointed that you seem to be carrying a genuine opinion about your honda city).

Thanks,

Atul Gupta

I know of these:

1. Honda city clutch wears out faster at 10-25k for atleast 30 percentile\

2. Honda city front suspension gives up easily

3. SX4 disc brakes wear out prematurely

bagga and victor chill bagga - read your own words when u say honda cars portray pride and brand name - this statement is because of your obsession.

I however do agree that higher resale value of honda city is both due to money spent in maintaining it and the initial cost of purchase.

Take for instance:

SX4 ZXi DEC 2008 Excellent condition, 20000 kms driven sells at 6,09,000 - ONROAD PRICE AT TIME OF PURCHASE IN BANGALORE - 8,81,000 (7,34,698+1,19,613+22,004+5,500+7,990-25,000 discount for maruti always there)
DEPRECIATION: 8,65,000-6,09,000=2,56,000
RATIO: 256000/865000=0.3 (almost)
DEPRECIATION (WHEN NO DISCOUNT IS GIVEN): 2,80,000

MAINTENANCE COSTS: first year 2 oil changes, second year service at 20,000 (have no clue)

ANHC S MT DEC 2008 Excellent condition, 20000 kms driven sells at 7,37,000 - ONROAD PRICE AT TIME OF PURCHASE IN BANGALORE - 8,87,300+1,33,095+26,619=10,47,014
DEPRECIATION: 10,47,014-7,37,000=3,10,014
RATIO: 310014/10,47,014=0.3 (almost)
MAINTENANCE COSTS: first year 2 oil changes, second year service at 15,000 and 20,000 (have no clue)

So u can see that both cars take same beating while resale and in SX4 you don't loose too much as u don't put in too much.

Well, thanks for the comment

But how it made to such a class? isn't it because of the low maintenance cost?

Why not the german's(Skoda etc) or the largest automobile company Toyota is not getting that resale value(except innova and qualis, consider corolla)?

Skoda had good resale value because of its class, initally. But later as the maintenance cost was proved to be on higher side, resale value went down.

Again, if you take the resale value of all cars, lower the maintenance, higher is the resale value. Its just because of the Indian mindset.

Awaiting comments...

Thanks devesh for the comment.

In Bangalore the resale value will be correct. But in Calicut or Kerala, you will get more for the ANHC.