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Ready for high COE?


Allen
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the minimum PARF that u will lose by renewing COE shld b abt $10k.

so, ($30k + $10k) / 5 = $8k per yr. take note of higher road tax too.

a brand new Mazda 3 is abt $10k per yr.

 

There is a difference, you lose $10k for 10 years vs $8k for 5 years lol. Therefore a fairer comparison would be how much you would lose if you were to sell your new car at the 5 year mark as compared to extending the old car's COE for 5 years.

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There is a difference, you lose $10k for 10 years vs $8k for 5 years lol. Therefore a fairer comparison would be how much you would lose if you were to sell your new car at the 5 year mark as compared to extending the old car's COE for 5 years.

wah, where got ppl compare like that (unless for sure no need car in 5 yrs' time).

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once you renew. you lose your parf.

 

perversely, this would make it more worth it to renew older jap B&B cars than a luxury conti.

 

http://www.sgcarmart.com/used_cars/info.php?ID=434568&DL=2547

 

e.g a car like this

 

omv 78k. parf abt 43k. renew coe 60k pqp. will end up lose abt 10k per yr. not to mention, the increased maintenance cost and additional roadtax.

 

just curious. if renew the COE can take loan? or full cash?

 

this 1 cat b liao.. min. 74K for now..

 

and conti.. i think many will say maintenance chor... and 3L roadtax.. Hmm...

 

by right COE renewal is many favourite line.. full cash.. so i dunno man.. not within my budget ..

 

Edited by Mrmilktooth
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this 1 cat b liao.. min. 74K for now..

 

and conti.. i think many will say maintenance chor...

 

by right COE renewal is many favourite line.. full cash.. so i dunno man.. not within my budget ..

 

 

maybe need to start to get my kid used to taking mrt liaoz. haiz

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Oh well, different strokes for different folks. Can see various calculations coming into play.

 

 

 

 

definitely agree.. i got small head better dont buy big hat..

 

maybe need to start to get my kid used to taking mrt liaoz. haiz

 

dont bluff!!!... u got big backers.. [laugh] [laugh]

 

chut more grandchildren.. maybe have big gifts leh... ^_^

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if you can earn $45M, why want $37.5M only [laugh]

When you have 250 billion in the bank, you can be generous. hahaha...

wah, where got ppl compare like that (unless for sure no need car in 5 yrs' time).

COE in 5 years time should be higher, given population growth, so if you can afford a new car, buy one.

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wah, where got ppl compare like that (unless for sure no need car in 5 yrs' time).

 

When you compare all factors must be equal. Even for new car, the depreciation is much higher if you use for 5 years as compared to driving till scrap.

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When you compare all factors must be equal. Even for new car, the depreciation is much higher if you use for 5 years as compared to driving till scrap.

This is very true...

Many ppl tend to use the depre figure for new car for 10 years..

Of cos this figure will be much lower..

However, they didn't take into the consideration that the car may be sold for whatever reason way before the 10 years.

When one sell the car before scrap, the depre figure actually went up due to all the losses and commission/margin to be given to the 2nd hand dealer..

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No, you counted it right. [thumbsup]

 

Every 2 years the revenue collected can build a very long underground MRT line and spare change to build a few viaducts.

 

That's why gahmen got money to build next gen GPS erp along with many nation building project.

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wah, where got ppl compare like that (unless for sure no need car in 5 yrs' time).

 

I second that. Good luck to him ... [dizzy]

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http://www.sgcarmart.com/used_cars/info.php?ID=434568&DL=2547

e.g a car like this

omv 78k. parf abt 43k. renew coe 60k pqp. will end up lose abt 10k per yr. not to mention, the increased maintenance cost and additional roadtax.

just curious. if renew the COE can take loan? or full cash?

I view it slightly differently:

From now till October 2015, this car costs me $3k (59 cost less 56k PARF rebate) depre.

New BMW 5 series cost me 220k, depre per yr is 22k.

 

In terms of cash flow:

Yr1: 59k (need to satisfy the loan before car is sold)

Yr2: 76k (rebate less deposit + first yr loan repayment)

Yr3,4,5,6: 22k each yr.

Yr7,8,9,10,11: no cash outflow

Averaging, 20k per year

 

If renew COE,

Yr1: 59k

Yr2: 69k (PQP)

Yr3-11: no cash outflow

Averaging, 11k.

 

Although I have to contend with increased roadtax and increased maintenance cost, I have 9k a year to spare each year. If repairs don't exceed 9k a year (which normally doesn't), I save. Plus good for environment too, compared to resources consumed to manufacture new car.....

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When you compare all factors must be equal. Even for new car, the depreciation is much higher if you use for 5 years as compared to driving till scrap.

How can all factors be equal? New car definitely less maintenance. Anyway, different strokes for different folks.

This is very true...

Many ppl tend to use the depre figure for new car for 10 years..

Of cos this figure will be much lower..

However, they didn't take into the consideration that the car may be sold for whatever reason way before the 10 years.

When one sell the car before scrap, the depre figure actually went up due to all the losses and commission/margin to be given to the 2nd hand dealer..

If you renew your COE and in year 4, your GB needs to overhual and it will cost, say, 3k, you probably end up scrapping the car and guess how much you will lose? You are also assuming you will drive the full 5 years of your COE car and that may not be true. Like I mentioned in one of my earlier post, to renew, you better pray hard there are no major repairs in the next 5 years, otherwise most of your anticipated savings will kaput. Edited by Voodooman
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I view it slightly differently:

From now till October 2015, this car costs me $3k (59 cost less 56k PARF rebate) depre.

New BMW 5 series cost me 220k, depre per yr is 22k.

 

In terms of cash flow:

Yr1: 59k (need to satisfy the loan before car is sold)

Yr2: 76k (rebate less deposit + first yr loan repayment)

Yr3,4,5,6: 22k each yr.

Yr7,8,9,10,11: no cash outflow

Averaging, 20k per year

 

If renew COE,

Yr1: 59k

Yr2: 69k (PQP)

Yr3-11: no cash outflow

Averaging, 11k.

 

Although I have to contend with increased roadtax and increased maintenance cost, I have 9k a year to spare each year. If repairs don't exceed 9k a year (which normally doesn't), I save. Plus good for environment too, compared to resources consumed to manufacture new car.....

Good maths but can BMW lasts 20 years? I agree it makes more sense to renew high OMV car as the LTA 2.4x multiplier will save you money (assuming no major repairs, an unlikely event), for B&B car, better to buy a 5 years old used.

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Bro BMW can last twenty years if u do complete engine overhaul. Lol

 

But seriously la in cool countries they last longer. Here in the tropics.....hmmm

 

Good maths but can BMW lasts 20 years? I agree it makes more sense to renew high OMV car as the LTA 2.4x multiplier will save you money (assuming no major repairs, an unlikely event), for B&B car, better to buy a 5 years old used.

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Saw an ad for Toyota vios, 8.8k, one year left. If parf rebate is 6k, you only pay 3k for using the car. Quite a deal, but one would be open to risk of car issues/repairs. But compared to new car, where one would have to deal with 11k depre, this idea isn't that bad.

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Good maths but can BMW lasts 20 years? I agree it makes more sense to renew high OMV car as the LTA 2.4x multiplier will save you money (assuming no major repairs, an unlikely event), for B&B car, better to buy a 5 years old used.

Good question. My friend's previous BMW 323 suddenly had black smoke coming out of its engine during 9th year while driving. The engine was totally gone and if want to continue driving, have to do a complete overhaul which costs 5 fig sum. Generally, BMW dun last as long as Mercs.

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Good maths but can BMW lasts 20 years? I agree it makes more sense to renew high OMV car as the LTA 2.4x multiplier will save you money (assuming no major repairs, an unlikely event), for B&B car, better to buy a 5 years old used.

Bro, care to explain more, all along I tot it is more practical to renew low OMV cars.. [pirate]

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