Demo Subarus: A Cost-Effective Alternative to New Models

If you’re in the market for a Subaru, but don’t want to pay the full price for a brand new car, you might want to consider a demo model. Demo Subarus are vehicles that have been used by dealerships for test drives, exhibitions, or loaners for service departments. They are typically still in excellent condition, with low mileage and remaining factory warranties. But, how much less should you pay for a demo Subaru and what other benefits or drawbacks should you consider? In this article, we’ll provide you with all the information you need to know before making a purchase.

What are demo Subaru cars?

Demo Subaru cars are vehicles that have been used by dealerships for specific purposes, such as test drives, exhibitions or loaners for their service department. They’re typically still in great condition, as they’ve been well-maintained by dealership technicians and usually have low mileage. Demo cars could be the current or previous year’s model, which means that they may have a slightly different design or features from the latest versions. When you see "demo" advertised, it is typically a car that was used by dealership staff, exhibit shows, or other similar events.

How are they different from brand new ones?

Technically speaking, demo Subarus are not brand new cars as they have been previously driven or used. However, they’re often indistinguishable from new cars, as they’re still under the manufacturer’s warranty and have low mileage. Because of their limited use, they’re typically in excellent condition, with little to no wear and tear. But, since they have been previously driven, they may have some minor flaws or cosmetic damages – although these are usually small and superficial.

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How much less should a demo Subaru cost?

The price of a demo Subaru depends on many factors such as mileage, features, age, and demand. Generally, though, demo Subarus are priced lower than new models – usually from 5-15% less than the original selling price. For example, if a new Subaru model costs $25,000, the demo version of the same model may be priced at around $21,250 to $23,750. However, it’s essential to consider that a demo Subaru’s price may be negotiable, especially if the car has been on the dealership’s lot for a while.

Benefits and drawbacks of buying a demo Subaru


  • Lower price: As we mentioned earlier, the primary benefit of buying a demo Subaru is that it’s typically cheaper than a brand new one. This could save you thousands of dollars, which is especially useful if you’re on a tight budget or looking for more cost-effective alternatives to new cars.

  • Factory warranty and Certification: Demo Subarus are still under their original factory warranty, which means that you can get the same coverage as a new car. Some dealerships also provide certified pre-owned (CPO) programs that offer additional warranties, maintenance, and service benefits for demo model cars.

  • Departmental Offers: Demo cars are also sometimes included in special deals or incentives offered by Subaru and its dealerships. They may receive price reductions, financing, or lease options along with new cars. Some may also get extra incentives for being a previous year’s model.


  • Limited availability: Dealerships often have a limited number of demo cars in stock, and they are often sold quickly, especially if they’re in high demand.

  • Limited customization options: Unlike new cars, demo Subarus are not typically built to order. The dealership determines the features and options that are already installed, limiting your ability to customize your chosen car to your specific tastes or requirements.

  • Wear and tear or minor damages: Although demo cars are usually low mileage, they may have some minor cosmetic damages or imperfections due to test drives and transportation.

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Tips on negotiating a good deal on demo cars

If you’re interested in buying a demo Subaru, there are a few tips you should know:

  • Research the market: Spend some time to see the average price of new and used Subarus sold in your area. Identify the prices of demo models and compare them to the MSRP. Assess whether the demo car you are looking for has any additional extras or features that add to the price. This will give you an idea of a fair price range.

  • Ask for a detailed report: Request the mileage, age, condition, and history of the demo car so that you can evaluate if there are any defects or accidents. Get a detailed report of any problem areas and the time the car spent in dealership inventory. Check if the original factory warranty and extended services are transferable.

  • Negotiate the price: Since demo cars have been used and are no longer considered brand new, you may have more wiggle room to negotiate the price. Ask the dealership if they’re willing to reduce the price further. Look for offers like special financing, incentives or dealer rebates.

Where to find demo Subarus for sale

Demo Subarus are available at authorized dealerships scattered across the United States. You can also search for demo cars on the dealership’s website or third-party websites that deal with new and used cars. Some websites such as, CarGurus, and Autotrader feature demo cars in their listings. Don’t forget to check the special deals and offers on a demo car as well.

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Demo Subarus are a great way to save money while still getting a nearly new car. With lower prices and remaining warranties, it can be an appealing option for those looking for a cost-effective alternative to new cars. Remember to consider the pros and cons, research the market, and negotiate the price to get the best deal possible. With these tips in mind, happy car hunting!


What is a demo car and how is it different from a used car?

Demo cars are new vehicles that have been used for demonstrations, test drives, or loaners within a dealership. They typically have lower mileage than used cars, but they are not considered "brand new," as they’ve already been registered with the DMV. Used cars, on the other hand, have been previously owned or driven and can come from various sources.

How much less should I pay for a demo Subaru?

The price of a demo Subaru can vary depending on factors like mileage, features, age, and demand. Generally, demo Subarus are priced 5-15% lower than the original selling price, but it’s important to research the market and check whether the discount is worth it.

Does a demo Subaru still have a warranty?

Yes, since demo Subarus are new cars, they still have the original manufacturer’s warranty. Some dealerships offer additional warranty benefits under their CPO program.

Can I negotiate the price of a demo Subaru?

Yes, you may be able to negotiate a lower price, just like a used car. Do your research, ask for detailed reports, and consider the pros and cons before setting a fair price.

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Davis Bellew

As a Subaru owner and enthusiast, Davis has a deep understanding of the needs and concerns of Subaru drivers. He specializes in writing informative and engaging content about Subaru maintenance and repair, and his articles are always well-researched and easy to understand. When he's not writing, he enjoys hiking and photography.

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