Experienced car owners may already know the costs associated with having and maintaining a car but first-time owners may be caught out by some of the extra expenses they haven’t budgeted for. It’s not enough to cover the monthly instalment and petrol costs, there are also many other expenses that can add up.
With the price of the Certificate of Entitlement (COE) dropping to an eight-year low in early July, it’s no surprise that more people in Singapore are now interested in getting a new car. COE supplies are also set to increase from August to October, which may also lead to lower car prices.
Before heading to the car showroom this weekend, make sure you’ve considered these 5 pointers:
Loan requirements in Singapore help ensure that you haven’t overstretched your capacity by taking on too large a loan.
Hence, you are only able to loan up to 70 per cent for a car, which means you need to cover the 30 per cent down payment yourself.
That’s S$30,000 for a S$100,000 car, which, in Singapore, will get you a midsize sedan.
Are you able to cover this or will you need to take a personal loan?