Top 10 Red Flags When Inspecting a Used Car (Avoid These Cars)

Most major problems in used cars can be spotted during the first few minutes of an inspection.

This guide lists the ten most important warning signs Australian buyers should look for.

If any of these red flags appear, it is usually best to walk away.

 

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1. Inconsistent VINs or Missing Identification

 

This is the most serious red flag.

Check the VIN on the windscreen, compliance plate, chassis and PPSR document.

A missing VIN, mismatched numbers, replaced compliance plates or damaged VIN stamps can indicate:

• stolen vehicle

• re-birthed vehicle

• tampering after major damage

 

If the VIN or plate looks unusual or suspicious, do not continue.

 

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2. Seller Refuses to Provide Rego or VIN Before Inspection

 

Legitimate sellers always share the plate or VIN.

Refusal usually means:

• PPSR check will reveal finance owing

• written-off records exist

• vehicle is stolen

• seller is hiding identity

 

Do not proceed without a PPSR/REVS check.

 

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3. Price Far Below Market Value

 

A significantly low price is one of the most reliable indicators of risk.

This can occur due to:

• written-off history

• odometer rollback

• major mechanical issues

• high previous damage

• cloned ads or scams

 

If the price is more than 20 percent below market average, treat it as a warning.

 

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4. Fresh Paint, Over-spray or Mismatched Panels

 

Look for:

• over-spray around door rubbers or window edges

• uneven colour between panels

• freshly painted areas

• poorly aligned doors or bonnet

 

These signs commonly indicate accident repairs or hail damage.

Vehicles with structural repairs may be unsafe or impossible to insure properly.

 

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5. Dashboard Warning Lights Not Showing or Staying On

 

During start-up, all warning lights should briefly illuminate.

If lights do not appear or stay illuminated, you may be dealing with:

• tampered dashboard

• airbag faults

• ABS or traction control failures

• battery or charging issues

 

Airbag light problems are particularly serious.

 

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6. Wet Engine Bay or Freshly Cleaned Components

 

A clean engine bay may seem appealing, but if it looks freshly washed or wet, sellers may be trying to hide:

• oil leaks

• coolant leaks

• power steering leaks

• engine seal problems

 

Inspect again after the test drive to see if leaks appear.

 

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7. Inconsistent Odometer Readings

 

Odometer fraud is still common, especially in private sales and interstate transfers.

Warning signs include:

• uneven wear on pedals or steering wheel

• logbook mileage that does not match the PPSR record

• missing logbooks

• service locations inconsistent with claimed history

• unusually low kilometers for age

 

AUCN's odometer consistency analysis helps identify these patterns.

 

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8. Seller Avoids Certain Questions or Gives Conflicting Stories

 

If the seller cannot clearly answer:

• how long they have owned the vehicle

• where the car was serviced

• whether any accidents occurred

• why they are selling

 

This is often a sign of hidden issues.

Honest sellers can usually explain the car's background in detail.

 

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9. Difficult Cold Start or No Cold Start Allowed

 

Always request a cold start.

Refusal is a major red flag.

Cold start problems can reveal:

• timing chain issues

• worn engine components

• injector problems

• turbocharger concerns

• head gasket failures

 

If the engine struggles to start, idles roughly or makes tapping noises, be cautious.

 

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10. Seller Insists on Cash-Only Payment or Rushes the Sale

 

Pressuring buyers to pay immediately or in cash suggests:

• stolen vehicle

• outstanding finance

• planned scam

• mechanical problems they do not want buyers to discover

 

Legitimate sellers allow normal payment methods and reasonable time for checks.

 

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AUCN Final Advice

 

If you encounter any of these red flags, it is safer to walk away.

Australia has a large used-car market, and there will always be better, safer options.

 

The safest buying sequence is:

 

PPSR/REVS Check

AUCN Car Report

Full inspection

Test drive

Verify documents

Negotiate

Transfer registration

 

This approach avoids the most common financial, safety and legal risks in private sales.