Buying a second hand car - issues to consider
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Hi!
I know it's more advisable to get a new car as compared to getting a second hand car but I really need a car and don't want to pay so much money per month for a new car. I'm not fussy over the frills, just need 4 wheels at my convenience without having to wait for cabs (who treat you as if you are invisible sometimes).
Currently considering to get the Suzuki Swift. To ensure I don't get a nice shell with rotten inards, I'm thinking of getting a mechanic to help me examine my chosen car before making the purchase.
In comparison to a new car, is it true that the road tax, insurance and loan rates are higher? What other factors do I have to look into?
And yes, I'm a first time buyer. Have been driving my dad's car now and then, but need my own 4 wheels now. -
Hiya,Originally posted by surfbabe:Hi!
I know it's more advisable to get a new car as compared to getting a second hand car but I really need a car and don't want to pay so much money per month for a new car. I'm not fussy over the frills, just need 4 wheels at my convenience without having to wait for cabs (who treat you as if you are invisible sometimes).
Currently considering to get the Suzuki Swift. To ensure I don't get a nice shell with rotten inards, I'm thinking of getting a mechanic to help me examine my chosen car before making the purchase.
In comparison to a new car, is it true that the road tax, insurance and loan rates are higher? What other factors do I have to look into?
And yes, I'm a first time buyer. Have been driving my dad's car now and then, but need my own 4 wheels now.
Everything is a risk - whether brand new or second hand. Of course brand new is a safer bet on quality, with warranty and all....but on rare occasions, I've seen used cars which gave less trouble than brand new ones too. There is an element of luck involved, just like everything else in this world....
Its a good idea to get a mechanic to check the car, but do be careful about the conditions attached. There have been cases of high-pressured sales where the condition attached it "we can let you bring it to a mechanic, but if the mechanic says its OK, then you must buy it".
In fact, I've come across used car dealers who told me "we can let you test drive the car, but if there is no problem, you must agree to buy it". There is no way I'll agree to such conditions.
A mechanic will also usually just do a visual check to see if there were any accidents, test drive a bit to see whether the car is running smooth, etc. There are major problems which could not be detected....you'll never know till too late (so its once again luck). Of course there are ways to reduce your risks, but you have to be quite familiar with cars to do these.....
Vicom does the most thorough checks....but still, there are things which could escape their attention. However, most cars don't give that much trouble, so too much paranoia is often unnecessary.
To answer your questions....
Road tax is the same for cars within 10 years old - regardless of brand new or used.
Insurance depends on your age, your record, type of car, car valuation, etc. Doesn't really depend on whether its brand new or used (unless the car is really old).
Loan rates for used cars is about 0.5-1.0% higher than that of new cars, depending on the credit company and bank. The bank will usually impose a higher interest rate....and the used car dealer (aka credit company) gets a commission from the interest you pay, so you're fighting against two parties.
Er....this is something I always like to ask first-time buyers: You do know the total costs (including the hidden costs) of owning a car right? Not just buying one, but actually owning one. And also the implications of taking too big/long a loan... -
Thanks for your reply gentlerock. Yes, I know the minimum total cost per month is S$1k. For second hand cars, this amount may be lower.Originally posted by gentlerock:Er....this is something I always like to ask first-time buyers: You do know the total costs (including the hidden costs) of owning a car right? Not just buying one, but actually owning one. And also the implications of taking too big/long a loan... -
Actually need it for daily travel between S'pore and M'sia. Gotta factor in the toll fees which are slightly offset by cheaper petrol across the causeway.
Any comments about Suzuki Swift SF310GL (4-door)? It's a 993cc car. Registration date is 91-92, COE expires in August 2011. Manual gear. Costs around $13800. -
Hiya again!Originally posted by surfbabe:Actually need it for daily travel between S'pore and M'sia. Gotta factor in the toll fees which are slightly offset by cheaper petrol across the causeway.
Any comments about Suzuki Swift SF310GL? Registration date is 91-92. Manual gear. Costs around $13800.
Sorry, not familiar with the Swift.....so I can just give general comments:
(1) Swift is good because its not a "hot car" in Malaysia. You will appreciate this very much if you go in often.
(2) Manual gear is good because it reduces a lot of problems. One of the most feared breakdowns is in the auto-transmissions - very expensive and the problem is usually recurring.
(3) The Swift SF310GL was known to be an economical car during its time. Due to the age of the car you're looking at, its performance in this area may not be that good due to wear and tear.
(4) Considering the car's age, you probably won't be able to sell the car again...so do be prepared to keep it till the end of its lifespan.
(5) For old cars, it is very important to check for rust spots. Many are hidden.
(6) After taking over the car, you'd probably have to do some repairs - full servicing, change brake pads, maybe change tyres and clutch, etc. Better get a mechanic to check it, yes.
(7) Since its a COE car, the road tax is higher. After 10 years, it goes up by 10% per year, till max. of 150% and stays there.
(
I'm not sure about the insurance though...never owned a car that old before. But a simple phone call to any insurance company will get you the answer right away...
(9) If you travel through the Causeway, toll fees are negligible lah....a few bucks each time only. Parking in downtown Singapore is more expensive than the tolls for going across.
(10) Don't expect the aircon to work very well, if you happen to be caught in a causeway jam. -
FYI, i have no loan on my car and no season parking either for my residential or office but i am still paying about at least $700-800 a month including road tax and insurance.Originally posted by surfbabe:Thanks for your reply gentlerock. Yes, I know the minimum total cost per month is S$1k. For second hand cars, this amount may be lower. -
Sorry, but I don't get it. If you haven't got a car loan, that means you paid cash in full, am I right? Then in that case, without having to pay for season parking, what are you paying for per month, other than petrol, road tax (which is payable half a year) and insurance?Originally posted by huoye:FYI, i have no loan on my car and no season parking either for my residential or office but i am still paying about at least $700-800 a month including road tax and insurance. -
since you will be travelling in/out Msia everyday, do think of the age of your car vs road condition of Msia and Causeway traffic conditionOriginally posted by surfbabe:Actually need it for daily travel between S'pore and M'sia. Gotta factor in the toll fees which are slightly offset by cheaper petrol across the causeway.
Any comments about Suzuki Swift SF310GL (4-door)? It's a 993cc car. Registration date is 91-92, COE expires in August 2011. Manual gear. Costs around $13800.
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petrol = $400/mthOriginally posted by surfbabe:Sorry, but I don't get it. If you haven't got a car loan, that means you paid cash in full, am I right? Then in that case, without having to pay for season parking, what are you paying for per month, other than petrol, road tax (which is payable half a year) and insurance?
road tax = 1,550/yr = $130/mth
insurance = $780/yr = $65/mth
Miscellenous (for eg, fines, outside parking, etc) = $100/mth
servicing = $120/quarterly = $40/mth
Monthly expenses = 400 + 130 + 65 + 100 + 40 = $735
and i no need any season parking or installment. for a car monthly expenses shld be abt $1.5k not $1k wether new or old
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http://www.lta.gov.sg/motoring_matters/motoring_vo_tax_pte.htmOriginally posted by surfbabe:Actually need it for daily travel between S'pore and M'sia. Gotta factor in the toll fees which are slightly offset by cheaper petrol across the causeway.
Any comments about Suzuki Swift SF310GL (4-door)? It's a 993cc car. Registration date is 91-92, COE expires in August 2011. Manual gear. Costs around $13800.
ur road tax will be 150% of what a normal 1000cc car is paying b4 it reaches its 10yrs lifespan
$13,800 may be quite high, it depends what is the paper value of the car now. In your case, it is only the remaining COE -
thanks, awesome advice right there.Originally posted by gentlerock:Hiya,
Everything is a risk - whether brand new or second hand. Of course brand new is a safer bet on quality, with warranty and all....but on rare occasions, I've seen used cars which gave less trouble than brand new ones too. There is an element of luck involved, just like everything else in this world....
Its a good idea to get a mechanic to check the car, but do be careful about the conditions attached. There have been cases of high-pressured sales where the condition attached it "we can let you bring it to a mechanic, but if the mechanic says its OK, then you must buy it".
In fact, I've come across used car dealers who told me "we can let you test drive the car, but if there is no problem, you must agree to buy it". There is no way I'll agree to such conditions.
A mechanic will also usually just do a visual check to see if there were any accidents, test drive a bit to see whether the car is running smooth, etc. There are major problems which could not be detected....you'll never know till too late (so its once again luck). Of course there are ways to reduce your risks, but you have to be quite familiar with cars to do these.....
Vicom does the most thorough checks....but still, there are things which could escape their attention. However, most cars don't give that much trouble, so too much paranoia is often unnecessary.
To answer your questions....
Road tax is the same for cars within 10 years old - regardless of brand new or used.
Insurance depends on your age, your record, type of car, car valuation, etc. Doesn't really depend on whether its brand new or used (unless the car is really old).
Loan rates for used cars is about 0.5-1.0% higher than that of new cars, depending on the credit company and bank. The bank will usually impose a higher interest rate....and the used car dealer (aka credit company) gets a commission from the interest you pay, so you're fighting against two parties.
Er....this is something I always like to ask first-time buyers: You do know the total costs (including the hidden costs) of owning a car right? Not just buying one, but actually owning one. And also the implications of taking too big/long a loan... -
get the swift GTI la....theres one for sale...price not much diff alsoOriginally posted by surfbabe:Actually need it for daily travel between S'pore and M'sia. Gotta factor in the toll fees which are slightly offset by cheaper petrol across the causeway.
Any comments about Suzuki Swift SF310GL (4-door)? It's a 993cc car. Registration date is 91-92, COE expires in August 2011. Manual gear. Costs around $13800. -
If the used car comes with old registration plates, check whether got outstanding summons with Msian authorities!
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Wow, sounds really ex to get a car. But I think you do travel quite alot to spend $400 per month on petrol, right?
Thanks for your advice guys! -
Think you bought a 2.4litre MPV right? That explains why your road tax is so high. But your insurance is pretty low, which means you're an experienced driver, not a first-time buyer.Originally posted by huoye:petrol = $400/mth
road tax = 1,550/yr = $130/mth
insurance = $780/yr = $65/mth
Miscellenous (for eg, fines, outside parking, etc) = $100/mth
servicing = $120/quarterly = $40/mth
Monthly expenses = 400 + 130 + 65 + 100 + 40 = $735
and i no need any season parking or installment. for a car monthly expenses shld be abt $1.5k not $1k wether new or old -
for 1st car i suggest getting small CC ones....then wun so jialat...but i calcluated tt u need 2 be earning at least 2K in order 2 afford one comfortablyOriginally posted by surfbabe:Wow, sounds really ex to get a car. But I think you do travel quite alot to spend $400 per month on petrol, right?
Thanks for your advice guys! -
a 2L big black carOriginally posted by surfbabe:Think you bought a 2.4litre MPV right? That explains why your road tax is so high. But your insurance is pretty low, which means you're an experienced driver, not a first-time buyer. -
Surfbabe,
Try looking out for Civic VTi's used coe till bout 2012 ones ... those are slighty expensive but you can put the insurance under your parents name, and those are the more reliable affordable coe 2nd hand cars around + spare parts are aplenty ... and ... pretty cheap for those parts too!
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as wad nick say. its only a 2L small car. insurance not under my nameOriginally posted by surfbabe:Think you bought a 2.4litre MPV right? That explains why your road tax is so high. But your insurance is pretty low, which means you're an experienced driver, not a first-time buyer. but yup not first time buyer -
i last day of work 31st march. after that u can start calling me out in the middle of the nite againOriginally posted by nick34:a 2L big black car -
come on, a COE car + its a honda + a VTI somemore = HIGH INSURANCE!!!!Originally posted by johncooper:Surfbabe,
Try looking out for Civic VTi's used coe till bout 2012 ones ... those are slighty expensive but you can put the insurance under your parents name, and those are the more reliable affordable coe 2nd hand cars around + spare parts are aplenty ... and ... pretty cheap for those parts too!
and possibility of it being a ex-beng car and accident b4 is very HIGH.
i rather take toyota corolla anytime..... -
maybe you can buy a M'sia car under your company name? More cheap then SG car.Originally posted by surfbabe:Actually need it for daily travel between S'pore and M'sia. Gotta factor in the toll fees which are slightly offset by cheaper petrol across the causeway.
Any comments about Suzuki Swift SF310GL (4-door)? It's a 993cc car. Registration date is 91-92, COE expires in August 2011. Manual gear. Costs around $13800. -
hahaha but no Vtec ley ....Originally posted by huoye:come on, a COE car + its a honda + a VTI somemore = HIGH INSURANCE!!!!
and possibility of it being a ex-beng car and accident b4 is very HIGH.
i rather take toyota corolla anytime.....
well then Surfbabe, you might also include corolla in your choice of vech 
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u got to pay $30 a day to come in to singapore dailyOriginally posted by kenlim81:maybe you can buy a M'sia car under your company name? More cheap then SG car. if not i think everybody buy car from malaysia den drive in SG liao -
and she need the Vtec for?Originally posted by johncooper:hahaha but no Vtec ley ....
well then Surfbabe, you might also include corolla in your choice of vech 
she want for transport nia, dun corrupt her leh