SG Budget Babe
Asked on 14 Aug 2018
Costs involved are too high. Often, we forget that beyond the monthly installments, you have to account for petrol, inspection, insurance, parking, maintainence, ERP, and did I mention petrol? Even a 1.6L sedan will likely cost $1500/mth at this point.
Even if you were to get around half of the time by taxis, you actually save the trouble of having to find parking lots, and can even doze off until your destination. With the state of driving in Singapore being this stressful, I'd rather be driven to my destination than drive there myself.
However, there is a possibility that a car may in fact help you since you don't have to rely on PHVs which can be tricky to book during peak periods, your car is always yours to drive as and when you like. So the question would be, compared to a $1000/mth taxi bill, is the $1500/mth you are paying for a car worth the convenience? Some might say yes. There's no right or wrong answer.
In Singapore, our transport system is getting more and more robust and convenient.
While owning a car means an entirely different thing in Singapore - the financial status.
If you own a car, it is a liability unless you use it to generate more returns/sales for you, or you have a family and you value family convenience over public transport system.
If not, I would not recommend owning a car in Singapore.
It depends on your needs. In general no.
A car is a depreciating asset tagged with a huge set of cost, e.g. insurance, road tax, parking, petrol.
With a well-linked transport system and the rise of tech companies' app, e.g. Grab, it reduces the inconvenience of no transport available.
However, if you have young children or elderly parents, a car definitely serves its purpose well. This alone can trump the financial cost tagged to it.
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Definitely not, unless:
You use it as a means to make money, and net-net you are profitable after taking out costs for the car.
You have family members at home (be it elderly or many young kids) who can benefit from the convenience of having a car, instead of having a rely on public transport. That said, it is still a cost.
It's all depends actually. Most probably you need a car if you have kids or you have to keep travelling from point A to point B (maybe meeting customers). But nowadays with all this ride hailing services, i don't really see the need to having a car.
If a car can help you to generate income or if you work in a sales industry where you need to travel to different locations to meet clients, then yes. If not, our public transport system are just as good to bring you from one place to another.
As what the others have mentioned, there are too many costs to buying a car till it makes no sense financially to own a car. Moreover it's a depreciating asset to hold.
But that being said, I'd consider getting a 2nd hand car next time when I have kids which I can use to ferry them to and from places. That will probably be the only reason why I'll own a car.
Cars in Singapore are very expensive due to COE. Besides the cost of purchasing the car and its monthly installments, there are also so many other costs to take note of. For example, repair and mainteance, car park, insurance, fuel, beautification of the car, etc. And what if you had an accident, regardless if it is your fault or not. There's another set of cash out flow.
While it may be convenient to own a car as you could potentially save time from getting from point A to B, many actually forgot about the challenges faces when there is a jam or finding parking lots. On average, I would believe it makes no difference in time saved over the long term.
In fact, with Singapore transport network, I would believe it is very convenient to get to almost everywhere.
My honest view is, that i was shocked a bit, how all these SG kind if fees, taxes and licenses add up to immense costs, and then You have to dispose if your car finally by regulation (rare in capitalism). However all this was/is a goid thing to decrease pollution, waste and traffic jams. This is rationing, which will also someday be implemented in different sectors (cars, health care, plane rides to far countries) in other countries. From a democratic view it could be criticized that only the rich can afford all this in currently in the future (like before the industrial revolution), but all the mass wealth the western style countries enjoyed now for decades nowadays is not sustainable. As much as we all of course like the capitalism economic system, we should reduce a bit out consumerism and try to get more value out of social relations and intact nature.
I feel that for regular usage - normal office work and going out on the weekends and in the evenings, it's not really wise. Singapore has one of the most convenient public transport network in the world. It's pretty easy to get around on the bus, mrt and even taxi/private hire vehicles. A car would be wise if your job requires you to be on the move many times in a day.
Nope, a car is depreciates the moment you own it. It's a tool for convenience, that's about it. Even if you do grab rides/hitch with it, most of the money is just to cover the expenses (monthly payment, fuel, insurance, maintenance payment).
No. You can cab everywhere and still spend less. Apart from the base price (including COE), there's still your parking, petrol, ERP, maintenance.
A car is a depreciating asset. Sure it's convenient to have, but not a financially prudent choice.
Nope, never a wise financial decision. From the point you buy it, it already start to depreciate. So it's actually a liability in summary.
Financial decision, definitely no.
Even if you use the car to drive Grab and earn a side income, you would still make a loss because of the many expenses that comes with a car.
For practical and convenience, e.g. big family or with small kids or daily groceries, then a car makes for a wiser decision.
i do not think that it is a wise decision. a car is a liability. it only depreciates. having a car is like having a huge hole in a bucket of water. you never stop losing money with all the fees that you pay.
however, IF you require a car to, say, meet clients or work with uber, etc, then of course a car is necessary :)