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Should I buy a new car now?


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http://www.straitstimes.com/lifestyle/motoring/should-i-buy-a-new-car-now

 

Everyone's favourite motoring journalist is back with another article. Looks like his COE is ending in 3 weeks, he may be fighting with you guys for a COE on 23 December!

 

Don't know why he complaining about COE prices when he is thinking of buying an Audi Q7 which is going for $300k. And then he debates between a brand new Wish for 10k/year depreciation, or renewing COE for 8k/year depreciation. That's "merely" 20k over 10 years, might as well get a new Wish.

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http://www.straitstimes.com/lifestyle/motoring/should-i-buy-a-new-car-now

 

Everyone's favourite motoring journalist is back with another article. Looks like his COE is ending in 3 weeks, he may be fighting with you guys for a COE on 23 December!

 

Don't know why he complaining about COE prices when he is thinking of buying an Audi Q7 which is going for $300k. And then he debates between a brand new Wish for 10k/year depreciation, or renewing COE for 8k/year depreciation. That's "merely" 20k over 10 years, might as well get a new Wish.

No leh, i browsee that article and it was clear to me that the Q7 is more a dream than reality for the writer. He would have to give up a lot to buy it.

 

I have my bets that he will just renew his Wish.

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He mentioned about company car loan which he can utilise. From his conclusion, he will continue to drive but not sure which option to take up.

 

I don't think he is complaining but rather, he presents the different scenarios and the associated costs, and whether he should pamper himself.

 

 

http://www.straitstimes.com/lifestyle/motoring/should-i-buy-a-new-car-now

 

Everyone's favourite motoring journalist is back with another article. Looks like his COE is ending in 3 weeks, he may be fighting with you guys for a COE on 23 December!

 

Don't know why he complaining about COE prices when he is thinking of buying an Audi Q7 which is going for $300k. And then he debates between a brand new Wish for 10k/year depreciation, or renewing COE for 8k/year depreciation. That's "merely" 20k over 10 years, might as well get a new Wish.

 

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Alot ppl may just look at the drive-away price to derive the annual depreciation. But if you include the loan interest which will increase annual depreciation by 1 to 2k.. So it's 11k vs 8k in this case. 3k more, must well drive new car, free from worry..

Alot ppl may just look at the drive-away price to derive the annual depreciation. But if you include the loan interest which will increase annual depreciation by 1 to 2k.. So it's 11k vs 8k in this case. 3k more, must well drive new car, free from worry..

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http://www.straitstimes.com/lifestyle/motoring/should-i-buy-a-new-car-now

 

Everyone's favourite motoring journalist is back with another article. Looks like his COE is ending in 3 weeks, he may be fighting with you guys for a COE on 23 December!

 

Don't know why he complaining about COE prices when he is thinking of buying an Audi Q7 which is going for $300k. And then he debates between a brand new Wish for 10k/year depreciation, or renewing COE for 8k/year depreciation. That's "merely" 20k over 10 years, might as well get a new Wish.

he sounds like some of the forummers here haha
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He mentioned about company car loan which he can utilise. From his conclusion, he will continue to drive but not sure which option to take up.

 

I don't think he is complaining but rather, he presents the different scenarios and the associated costs, and whether he should pamper himself.

He is not complaning, I went through the same cost and benefit analysis too.

 

But many people dislike him, not sure why.

Edited by Voodooman
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He is our local motoring journalist. 

 

I think 3 weeks is too short a time for him to secure a new car, if he chooses this option. A used car or pay PQP is a more likely choice!

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"....I would, however, have to pay higher annual road tax and insurance premium for an older car "

 

Could possibly be an oversight on the writer's part, in the above statement extracted from the article.

 

How could third party insurance or third party fire & theft  insurance cost more than comprehensive insurance? [confused]

 

Insurance companies in general, do not accept comprehensive insurance for >10 year old cars.  

 

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A hundred thousand cars are forecasted for de-registration each year in 2016 and 2017.  Compare this with 2014, where about 29,000 cars are registered, and in 2015, an estimated 57,000 cars to be registered.  So with the supply of COE increasing significantly in the next two years, I dare say that we can expect at least a $10K reduction in COE prices for both CAT A and CAT B.

 

Should Christopher extend his 10th year old car?  The biggest factor affecting his decision should be the reliability of his car.  Has it clocked less than 100,000km?  Have many parts being replaced already? 

 

If the answer to both questions is no, then I think it is definitely more worthwhile to extend.  If the answer is yes, then existing car might costs a lot more to maintain and down-time in workshops, and this costs can outweigh the depreciation costs of a new car (with has near-zero downtime).

 

 

In the event that the COE price plunges by a huge margin in 2016 or 2017, he can still sell off his car (and get some money back), and get a new car.

 

 

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"....I would, however, have to pay higher annual road tax and insurance premium for an older car "

 

Could possibly be an oversight on the writer's part, in the above statement extracted from the article.

 

How could third party insurance or third party fire & theft  insurance cost more than comprehensive insurance? [confused]

 

Insurance companies in general, do not accept comprehensive insurance for >10 year old cars.  

 

 

Have lah, but very few. Pay more lor.

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A hundred thousand cars are forecasted for de-registration each year in 2016 and 2017. Compare this with 2014, where about 29,000 cars are registered, and in 2015, an estimated 57,000 cars to be registered. So with the supply of COE increasing significantly in the next two years, I dare say that we can expect at least a $10K reduction in COE prices for both CAT A and CAT B.

 

Should Christopher extend his 10th year old car? The biggest factor affecting his decision should be the reliability of his car. Has it clocked less than 100,000km? Have many parts being replaced already?

 

If the answer to both questions is no, then I think it is definitely more worthwhile to extend. If the answer is yes, then existing car might costs a lot more to maintain and down-time in workshops, and this costs can outweigh the depreciation costs of a new car (with has near-zero downtime).

 

 

In the event that the COE price plunges by a huge margin in 2016 or 2017, he can still sell off his car (and get some money back), and get a new car.

At least a 10k reduction? U mean all those whose car coe expire will not buy new cars?
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"....I would, however, have to pay higher annual road tax and insurance premium for an older car "

 

Could possibly be an oversight on the writer's part, in the above statement extracted from the article.

 

How could third party insurance or third party fire & theft insurance cost more than comprehensive insurance? [confused]

 

Insurance companies in general, do not accept comprehensive insurance for >10 year old cars.

 

Still can get comprehensive, but for certain companies only. Especially if u have been a long term customer. Edited by Dafansu
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http://www.straitstimes.com/lifestyle/motoring/should-i-buy-a-new-car-now

 

Everyone's favourite motoring journalist is back with another article. Looks like his COE is ending in 3 weeks, he may be fighting with you guys for a COE on 23 December!

 

Don't know why he complaining about COE prices when he is thinking of buying an Audi Q7 which is going for $300k. And then he debates between a brand new Wish for 10k/year depreciation, or renewing COE for 8k/year depreciation. That's "merely" 20k over 10 years, might as well get a new Wish.

Yes, but it's new wish not Q7, 300k over buy a Q7 indeed is crazy unless you have easy $$
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