Asked 4w ago
Car ownership in Singapore
Too many things to consider as an average fresh graduate but unless you have really aced in financial planning early on in your life, i wouldn't consider one for myself.
To share my story, I got a car even before graduating from Poly.
I got my licence when I was 18. Birthday in May and passed in Nov. Got a car in Jan before I was 19.
It was a second hand car with only 1 year left for COE. $8800. I paid the full amount in cash. My own money/savings. Paper value (PARF) at end of COE was $5000. So after doing some maths and calculation, the total cost is around $5k for 1 year after adding the insurance costs.
I did Grab Hitch (Since I was only 18, no PDVL) to earn some 'income' to cover my parking charges and petrol. Honestly it was quite 'fun' to drive around and get some road experience after passing my TP. However, i realised I wasted more time making detour for grab hitch compared to taking MRT straight from home to Polytechnic. I stayed at Sengkang and I study at SP. Everyday I earn around $30 (2 trips of $15) from hitch.
During holidays I tried taking some delivery jobs to earn more income with my vehicle. Thus overall I would say that I didnt spend alot on owning a vehicle but I spend alot of time to cover the cost of ownership.
Back to the question, yes, its not hard to own a car. Even if you want to go for a new car, you can easily take a loan and pay monthly installment. But its not sustainable and worth it. Unless you are like me willing to spend time to earn some side income to cover the cost of ownership. In fact, theres this statement 'taking grab is cheaper than owning a car' and yes, its true. Unless you travel alot everyday (more than 3 trips per day for long distance)
While it is not impossible to buy a car as a fresh graduate, there are many factors to consider before getting one.
For me, I think I would weigh the costs and benefits to determine whether it is worth it to own a car in Singapore.
Seedly wrote an article about this before, where there are additional costs that come from car ownership, such as road taxes, car insurance etc.
Perhaps you would like to look into these costs before making a decision too.
Yes it is definitely possible with proper planning and getting the right car! My friend is also a fresh grad but she just gotten a car recently. If you need help as to which car fits you, you can check out https://www.motorist.sg/used-cars. They have a large variety of options and i believe you will find one that you like.
Yes, it is possible to buy a car. But whether it is wise or not is another story. If you are interested to know more about car ownership in Singapore, I have written an article that breaks down this cost: Cost of owning a Car in Singapore
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