Buying a car in Singapore - Revision history

Joe Tan at 04:48, 4 May 2019

2019-05-04T04:48:05Z

← Older revision		Revision as of 12:48, 4 May 2019
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	For car registration, an administrative fee of S$25 (not inclusive of GST) will be incurred.<ref>“Registration of cars”. ''Land Transport Authority''. Updated November 20, 2018. Accessed on 7 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/registering-your-vehicle/registration-of-cars.html</ref>		For car registration, an administrative fee of S$25 (not inclusive of GST) will be incurred.<ref>“Registration of cars”. ''Land Transport Authority''. Updated November 20, 2018. Accessed on 7 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/registering-your-vehicle/registration-of-cars.html</ref>
	~~[[File:Cost of cars in Singapore.jpg\|link=\|thumb\|''The immediate costs of buying a car in Singapore as illustrated on a 2017 Toyota Corolla Altis 1.6 . Infographic from MustShareNews.'']]~~
	==Immediate costs of buying a car==		==Immediate costs of buying a car==
	[[File:Cost of cars in Singapore.jpg\|link=\|thumb\|''The immediate costs of buying a car in Singapore as illustrated on a 2017 Toyota Corolla Altis 1.6 . Infographic from MustShareNews.'']]		[[File:Cost of cars in Singapore.jpg\|link=\|thumb\|''The immediate costs of buying a car in Singapore as illustrated on a 2017 Toyota Corolla Altis 1.6 . Infographic from MustShareNews.'']]

Joe Tan at 04:47, 4 May 2019

2019-05-04T04:47:49Z

← Older revision		Revision as of 12:47, 4 May 2019
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	For car registration, an administrative fee of S$25 (not inclusive of GST) will be incurred.<ref>“Registration of cars”. ''Land Transport Authority''. Updated November 20, 2018. Accessed on 7 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/registering-your-vehicle/registration-of-cars.html</ref>		For car registration, an administrative fee of S$25 (not inclusive of GST) will be incurred.<ref>“Registration of cars”. ''Land Transport Authority''. Updated November 20, 2018. Accessed on 7 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/registering-your-vehicle/registration-of-cars.html</ref>
			[[File:Cost of cars in Singapore.jpg\|link=\|thumb\|''The immediate costs of buying a car in Singapore as illustrated on a 2017 Toyota Corolla Altis 1.6 . Infographic from MustShareNews.'']]
	==Immediate costs of buying a car==		==Immediate costs of buying a car==
	[[File:Cost of cars in Singapore.jpg\|link=\|thumb\|''The immediate costs of buying a car in Singapore as illustrated on a 2017 Toyota Corolla Altis 1.6 . Infographic from MustShareNews.'']]		[[File:Cost of cars in Singapore.jpg\|link=\|thumb\|''The immediate costs of buying a car in Singapore as illustrated on a 2017 Toyota Corolla Altis 1.6 . Infographic from MustShareNews.'']]

Dayana Rizal at 09:07, 1 April 2019

2019-04-01T09:07:01Z

← Older revision		Revision as of 17:07, 1 April 2019
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	After [[Getting a driving license in Singapore\|getting a driving license]], the next step would be getting a car. When buying a car in Singapore, potential car owners should think of the immediate and long-term cost of owning a car throughout the years~~. There are also other options for those who are able and want to drive but choose not to buy a car~~.		After [[Getting a driving license in Singapore\|getting a driving license]], the next step would be getting a car. When buying a car in Singapore, potential car owners should think of the immediate and long-term cost of owning a car throughout the years.

	==Administrative procedure==		==Administrative procedure==

Dayana Rizal: /* Electronic Road Pricing (ERP) */

2019-04-01T08:38:55Z

Electronic Road Pricing (ERP)

← Older revision		Revision as of 16:38, 1 April 2019
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	After paying the immediate cost of purchasing a car, there are still certain charges which a car owner will need to pay for throughout the years of owning a car. These can be known as either the long term costs or the ongoing costs.		After paying the immediate cost of purchasing a car, there are still certain charges which a car owner will need to pay for throughout the years of owning a car. These can be known as either the long term costs or the ongoing costs.

	===~~'''~~Electronic Road Pricing (ERP)~~'''~~===		===Electronic Road Pricing (ERP)===
	The ERP is meant to ease traffic congestion on Singapore roads by charging drivers for using crowded roads during peak hours.<ref>“Electronic Road Pricing (ERP)”. Land Transport Authority. Updated November 14, 2018. Accessed on 4 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/managing-traffic-and-congestion/electronic-road-pricing-erp.html</ref> A comprehensive list of ERP locations and their respective charges during peak and non-peak hours can be accessed on the LTA website ([https://www.onemotoring.com.sg/content/onemotoring/home/driving/traffic_information/traffic-smart.html ERP digital service]).		The ERP is meant to ease traffic congestion on Singapore roads by charging drivers for using crowded roads during peak hours.<ref>“Electronic Road Pricing (ERP)”. Land Transport Authority. Updated November 14, 2018. Accessed on 4 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/managing-traffic-and-congestion/electronic-road-pricing-erp.html</ref> A comprehensive list of ERP locations and their respective charges during peak and non-peak hours can be accessed on the LTA website ([https://www.onemotoring.com.sg/content/onemotoring/home/driving/traffic_information/traffic-smart.html ERP digital service]).

	===~~'''~~Fuel costs~~'''~~===		===Fuel costs===
	Different cars run on different types of fuel (such as gasoline, diesel and petrol) and require different amounts of fuel as well. The type and cost of fuel a car consumes can be calculated on the LTA digital service ([https://vrl.lta.gov.sg/lta/vrl/action/pubfunc?ID=FuelCostCalculator Fuel Cost Calculator digital service]).		Different cars run on different types of fuel (such as gasoline, diesel and petrol) and require different amounts of fuel as well. The type and cost of fuel a car consumes can be calculated on the LTA digital service ([https://vrl.lta.gov.sg/lta/vrl/action/pubfunc?ID=FuelCostCalculator Fuel Cost Calculator digital service]).

	===~~'''~~Road taxes~~'''~~===		===Road taxes===
	Car owners have to pay annual road taxes for their road usage. Road taxes differ according to the vehicle's engine capacity. As of March 2019, the annual road tax for cars of 1600cc is S$744.<ref>"Road Tax Calculator". ''ST Cars.'' Retrieved from: https://www.stcars.sg/road-tax-calculator</ref> Individual car owners may calculate their road tax on an online digital service ([https://www.stcars.sg/road-tax-calculator STCars road tax calculator]).		Car owners have to pay annual road taxes for their road usage. Road taxes differ according to the vehicle's engine capacity. As of March 2019, the annual road tax for cars of 1600cc is S$744.<ref>"Road Tax Calculator". ''ST Cars.'' Retrieved from: https://www.stcars.sg/road-tax-calculator</ref> Individual car owners may calculate their road tax on an online digital service ([https://www.stcars.sg/road-tax-calculator STCars road tax calculator]).

	===~~'''~~Parking fees~~'''~~===		===Parking fees===
	Car owners have to pay parking fees at shopping mall car parks and season parking tickets to park at HDB car parks on a long term basis without having to use parking coupons. Individual owners may apply for season parking on HDB's e-service portal ([https://services2.hdb.gov.sg/webapp/SX05AWSPCP/SX05PSPCPLogin.jsp Season Parking portal]).		Car owners have to pay parking fees at shopping mall car parks and season parking tickets to park at HDB car parks on a long term basis without having to use parking coupons. Individual owners may apply for season parking on HDB's e-service portal ([https://services2.hdb.gov.sg/webapp/SX05AWSPCP/SX05PSPCPLogin.jsp Season Parking portal]).

	===~~'''~~Repair~~'''~~===		===Repair===
	Even if the car does not require major repairs throughout the years, it is quite certain that minor repairs will need to be made to the car such as the changing of tyres. Additional costs will also be incurred if the car owner does not wash the car themselves and sent it to the car wash instead.		Even if the car does not require major repairs throughout the years, it is quite certain that minor repairs will need to be made to the car such as the changing of tyres. Additional costs will also be incurred if the car owner does not wash the car themselves and sent it to the car wash instead.

	===~~'''~~Car loan repayments~~'''~~===		===Car loan repayments===
	It is difficult to be able to pay the immediate cost of the car in full as it is a hefty sum. Thus, many take up car loans which will be paid back by the owner in installments, with interest included.		It is difficult to be able to pay the immediate cost of the car in full as it is a hefty sum. Thus, many take up car loans which will be paid back by the owner in installments, with interest included.

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	Potential car owners can borrow up to a Loan-to-value (LTV) ratio of 70% of the car’s OMV, provided that the OMV is not more than S$20,000.<ref>“Can you afford a car loan in Singapore”. ''Gobear''. October 31, 2017. Accessed on 4 February 2019. Retrieved from: https://www.gobear.com/sg/blog/can-you-afford-a-car-loan-in-singapore</ref> Otherwise, the maximum amount that the owner can borrow would be 60% of the OMV. The maximum loan tenure is fixed at 7 years. The interest rate will depend on the company’s terms and conditions.		Potential car owners can borrow up to a Loan-to-value (LTV) ratio of 70% of the car’s OMV, provided that the OMV is not more than S$20,000.<ref>“Can you afford a car loan in Singapore”. ''Gobear''. October 31, 2017. Accessed on 4 February 2019. Retrieved from: https://www.gobear.com/sg/blog/can-you-afford-a-car-loan-in-singapore</ref> Otherwise, the maximum amount that the owner can borrow would be 60% of the OMV. The maximum loan tenure is fixed at 7 years. The interest rate will depend on the company’s terms and conditions.

	===~~'''~~Car insurance~~'''~~===		===Car insurance===
	Getting a car insurance is compulsory in Singapore and are usually paid by car owners in the form of yearly premiums. The amount of car insurance premiums that car owners need to pay depends on factors like driving experience, car engine capacity and sometimes even age.<ref>“ Factors Affecting Car Insurance Premium in Singapore”. ''Sgcarinsurance''. Accessed on 4 February 2019. Retrieved from: https://sgcarinsurance.net/factors-affecting-car-insurance-premium-in-singapore/</ref>		Getting a car insurance is compulsory in Singapore and are usually paid by car owners in the form of yearly premiums. The amount of car insurance premiums that car owners need to pay depends on factors like driving experience, car engine capacity and sometimes even age.<ref>“ Factors Affecting Car Insurance Premium in Singapore”. ''Sgcarinsurance''. Accessed on 4 February 2019. Retrieved from: https://sgcarinsurance.net/factors-affecting-car-insurance-premium-in-singapore/</ref>

Dayana Rizal: /* Immediate costs of buying a car */

2019-04-01T08:32:02Z

Immediate costs of buying a car

← Older revision		Revision as of 16:32, 1 April 2019
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	\|'''Details'''		\|'''Details'''
	\|-		\|-
	\|~~'''~~Open Market Value (OMV)~~'''~~		\|Open Market Value (OMV)
	\|The initial selling price of the car without any additional costs.		\|The initial selling price of the car without any additional costs.
	\|-		\|-
	\|~~'''~~Registration Fee (RF)~~'''~~		\|Registration Fee (RF)
	\|S$220		\|S$220
	\|-		\|-
	\|~~'''~~Additional Registration Fee (ARF)~~'''~~		\|Additional Registration Fee (ARF)
	\|The ARF is significantly more expensive than the RF. The more expensive the car, the higher the ARF.		\|The ARF is significantly more expensive than the RF. The more expensive the car, the higher the ARF.
	<br />		<br />
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	*Eg. A car that costs S$90,000 will have an ARF of S$20,000 + S$42,000 + S$72,000 (180% x 40,000) = S$134,000		*Eg. A car that costs S$90,000 will have an ARF of S$20,000 + S$42,000 + S$72,000 (180% x 40,000) = S$134,000
	\|-		\|-
	\|~~'''~~Excise Duty~~'''~~		\|Excise Duty
	\|The Singapore customs charges an excise duty that is 20% of OMV.		\|The Singapore customs charges an excise duty that is 20% of OMV.

	*Eg. A car that costs S$50,000 will have an excise duty of S$10,000 (20% x 50,000).		*Eg. A car that costs S$50,000 will have an excise duty of S$10,000 (20% x 50,000).
	\|-		\|-
	\|~~'''~~GST~~'''~~		\|GST
	\|There is a 7% GST on the OMV and Excise duty.		\|There is a 7% GST on the OMV and Excise duty.

	*Eg. A car that costs S$50,000 will have a total GST charge of S$3,500 (7% x 50,000) + S$700 (7% x 10,000) = S$4,200		*Eg. A car that costs S$50,000 will have a total GST charge of S$3,500 (7% x 50,000) + S$700 (7% x 10,000) = S$4,200
	\|-		\|-
	\|~~'''~~Certificate Of Entitlement (COE)~~'''~~		\|Certificate Of Entitlement (COE)
	\|Those with a COE are allowed to own a vehicle and use Singapore roads for 10 years. COE prices are usually very high due to the limited supply released by the government and the excess demand from the public. COE prices change from month to month. As of March 2019, the prices are as such:<ref>"COE Prices". ''Automobile Association of Singapore.'' Accessed on 1 April 2019. Retrieved from: https://www.aas.com.sg/resources/coe/coe-prices.html</ref>		\|Those with a COE are allowed to own a vehicle and use Singapore roads for 10 years. COE prices are usually very high due to the limited supply released by the government and the excess demand from the public. COE prices change from month to month. As of March 2019, the prices are as such:<ref>"COE Prices". ''Automobile Association of Singapore.'' Accessed on 1 April 2019. Retrieved from: https://www.aas.com.sg/resources/coe/coe-prices.html</ref>
	<br />		<br />
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	When a COE expires, car owners have the choice of de-registering their vehicle or to renew the COE for another 5 or 10 years by paying a Prevailing Quota Premium (PQP). The PQP of a vehicle is costs more or less the same as the original COE price.<ref>"Prevailing Quota Premiums". ''Automobile Association of Singapore.'' Accessed on 1 April 2019. Retrieved from: https://www.aas.com.sg/resources/coe/coe-prices.html</ref>		When a COE expires, car owners have the choice of de-registering their vehicle or to renew the COE for another 5 or 10 years by paying a Prevailing Quota Premium (PQP). The PQP of a vehicle is costs more or less the same as the original COE price.<ref>"Prevailing Quota Premiums". ''Automobile Association of Singapore.'' Accessed on 1 April 2019. Retrieved from: https://www.aas.com.sg/resources/coe/coe-prices.html</ref>
	\|-		\|-
	\|~~'''~~Vehicular Emissions Scheme (VES)~~'''~~		\|Vehicular Emissions Scheme (VES)
	\|VES rebates are given off the ARF if the car emissions do not exceed a certain level. This was put in effect on 1 January 2018.		\|VES rebates are given off the ARF if the car emissions do not exceed a certain level. This was put in effect on 1 January 2018.
	\|-		\|-
	\|~~'''~~Local dealer’s margin~~'''~~		\|Local dealer’s margin
	\|Profit which local dealers make for the successful sale of cars in order to sustain their business.		\|Profit which local dealers make for the successful sale of cars in order to sustain their business.
	\|-		\|-
	\|~~'''~~In-vehicle unit fee~~'''~~		\|In-vehicle unit fee
	\|This device is used to pay ERP and other relevant road parking charges.		\|This device is used to pay ERP and other relevant road parking charges.
	\|-		\|-
	\|~~'''~~Licence plate number~~'''~~		\|Licence plate number
	\|S$1,300 has to be paid for transferring the old licence plate to the new car.		\|S$1,300 has to be paid for transferring the old licence plate to the new car.

Dayana Rizal: /* Immediate costs of buying a car */

2019-04-01T08:30:21Z

Immediate costs of buying a car

← Older revision		Revision as of 16:30, 1 April 2019
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	==Immediate costs of buying a car==		==Immediate costs of buying a car==
	[[File:Cost of cars in Singapore.jpg\|link=\|thumb\|''The immediate costs of buying a car in Singapore as illustrated on a 2017 Toyota Corolla Altis 1.6 . Infographic from MustShareNews.'']]		[[File:Cost of cars in Singapore.jpg\|link=\|thumb\|''The immediate costs of buying a car in Singapore as illustrated on a 2017 Toyota Corolla Altis 1.6 . Infographic from MustShareNews.'']]
	When purchasing a car, there are different types of fees to pay. These factors make up the immediate cost of buying a car.<ref>“Singapore Car Prices – Breakdown of Car Costs & How to Save Money”. ''MoneySmart''. September 13, 2017. September 11, 2018. Accessed on 4 February 2019. Retrieved from: https://blog.moneysmart.sg/transportation/singapore-car-prices-breakdown-car-costs-save-money/</ref> Bearing in mind the additional cost factors, a car with an OMV of '''S$50,000''' will have a total base price of approximately '''S$153,079''' = S$50,000 (OMV) + S$220 (RF) + S$62,000 (ARF) + S$10,000 (Excise Duty) + S$4,200 (GST) + S$26,659 (COE).		When purchasing a car, there are different types of fees to pay. These factors make up the immediate cost of buying a car.<ref>“Singapore Car Prices – Breakdown of Car Costs & How to Save Money”. ''MoneySmart''. September 13, 2017. September 11, 2018. Accessed on 4 February 2019. Retrieved from: https://blog.moneysmart.sg/transportation/singapore-car-prices-breakdown-car-costs-save-money/</ref>


			Bearing in mind the additional cost factors, a car with an OMV of '''S$50,000''' will have a total base price of approximately '''S$153,079''' = S$50,000 (OMV) + S$220 (RF) + S$62,000 (ARF) + S$10,000 (Excise Duty) + S$4,200 (GST) + S$26,659 (COE).
	{\| class="wikitable"		{\| class="wikitable"
	\|'''Factors'''		\|'''Factors'''

Dayana Rizal: /* Immediate cost of buying a car */

2019-04-01T08:28:41Z

Immediate cost of buying a car

← Older revision		Revision as of 16:28, 1 April 2019
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	For car registration, an administrative fee of S$25 (not inclusive of GST) will be incurred.<ref>“Registration of cars”. ''Land Transport Authority''. Updated November 20, 2018. Accessed on 7 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/registering-your-vehicle/registration-of-cars.html</ref>		For car registration, an administrative fee of S$25 (not inclusive of GST) will be incurred.<ref>“Registration of cars”. ''Land Transport Authority''. Updated November 20, 2018. Accessed on 7 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/registering-your-vehicle/registration-of-cars.html</ref>

	==Immediate ~~cost~~ of buying a car==		==Immediate costs of buying a car==
	[[File:Cost of cars in Singapore.jpg\|link=\|thumb\|''The immediate costs of buying a car in Singapore as illustrated on a 2017 Toyota Corolla Altis 1.6 . Infographic from MustShareNews.'']]		[[File:Cost of cars in Singapore.jpg\|link=\|thumb\|''The immediate costs of buying a car in Singapore as illustrated on a 2017 Toyota Corolla Altis 1.6 . Infographic from MustShareNews.'']]
	When purchasing a car, there are different types of fees to pay. These factors make up the immediate cost of buying a car.<ref>“Singapore Car Prices – Breakdown of Car Costs & How to Save Money”. ''MoneySmart''. September 13, 2017. September 11, 2018. Accessed on 4 February 2019. Retrieved from: https://blog.moneysmart.sg/transportation/singapore-car-prices-breakdown-car-costs-save-money/</ref> Bearing in mind the additional cost factors, a car with an OMV of '''S$50,000''' will have a total base price of approximately '''S$153,079''' = S$50,000 (OMV) + S$220 (RF) + S$62,000 (ARF) + S$10,000 (Excise Duty) + S$4,200 (GST) + S$26,659 (COE).		When purchasing a car, there are different types of fees to pay. These factors make up the immediate cost of buying a car.<ref>“Singapore Car Prices – Breakdown of Car Costs & How to Save Money”. ''MoneySmart''. September 13, 2017. September 11, 2018. Accessed on 4 February 2019. Retrieved from: https://blog.moneysmart.sg/transportation/singapore-car-prices-breakdown-car-costs-save-money/</ref> Bearing in mind the additional cost factors, a car with an OMV of '''S$50,000''' will have a total base price of approximately '''S$153,079''' = S$50,000 (OMV) + S$220 (RF) + S$62,000 (ARF) + S$10,000 (Excise Duty) + S$4,200 (GST) + S$26,659 (COE).
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	After paying the immediate cost of purchasing a car, there are still certain charges which a car owner will need to pay for throughout the years of owning a car. These can be known as either the long term costs or the ongoing costs.		After paying the immediate cost of purchasing a car, there are still certain charges which a car owner will need to pay for throughout the years of owning a car. These can be known as either the long term costs or the ongoing costs.

	=== '''Electronic Road Pricing (ERP)''' ===		==='''Electronic Road Pricing (ERP)'''===
	The ERP is meant to ease traffic congestion on Singapore roads by charging drivers for using crowded roads during peak hours.<ref>“Electronic Road Pricing (ERP)”. Land Transport Authority. Updated November 14, 2018. Accessed on 4 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/managing-traffic-and-congestion/electronic-road-pricing-erp.html</ref> A comprehensive list of ERP locations and their respective charges during peak and non-peak hours can be accessed on the LTA website ([https://www.onemotoring.com.sg/content/onemotoring/home/driving/traffic_information/traffic-smart.html ERP digital service]).		The ERP is meant to ease traffic congestion on Singapore roads by charging drivers for using crowded roads during peak hours.<ref>“Electronic Road Pricing (ERP)”. Land Transport Authority. Updated November 14, 2018. Accessed on 4 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/managing-traffic-and-congestion/electronic-road-pricing-erp.html</ref> A comprehensive list of ERP locations and their respective charges during peak and non-peak hours can be accessed on the LTA website ([https://www.onemotoring.com.sg/content/onemotoring/home/driving/traffic_information/traffic-smart.html ERP digital service]).

	=== '''Fuel costs''' ===		==='''Fuel costs'''===
	Different cars run on different types of fuel (such as gasoline, diesel and petrol) and require different amounts of fuel as well. The type and cost of fuel a car consumes can be calculated on the LTA digital service ([https://vrl.lta.gov.sg/lta/vrl/action/pubfunc?ID=FuelCostCalculator Fuel Cost Calculator digital service]).		Different cars run on different types of fuel (such as gasoline, diesel and petrol) and require different amounts of fuel as well. The type and cost of fuel a car consumes can be calculated on the LTA digital service ([https://vrl.lta.gov.sg/lta/vrl/action/pubfunc?ID=FuelCostCalculator Fuel Cost Calculator digital service]).

	=== '''Road taxes''' ===		==='''Road taxes'''===
	Car owners have to pay annual road taxes for their road usage. Road taxes differ according to the vehicle's engine capacity. As of March 2019, the annual road tax for cars of 1600cc is S$744.<ref>"Road Tax Calculator". ''ST Cars.'' Retrieved from: https://www.stcars.sg/road-tax-calculator</ref> Individual car owners may calculate their road tax on an online digital service ([https://www.stcars.sg/road-tax-calculator STCars road tax calculator]).		Car owners have to pay annual road taxes for their road usage. Road taxes differ according to the vehicle's engine capacity. As of March 2019, the annual road tax for cars of 1600cc is S$744.<ref>"Road Tax Calculator". ''ST Cars.'' Retrieved from: https://www.stcars.sg/road-tax-calculator</ref> Individual car owners may calculate their road tax on an online digital service ([https://www.stcars.sg/road-tax-calculator STCars road tax calculator]).

	=== '''Parking fees''' ===		==='''Parking fees'''===
	Car owners have to pay parking fees at shopping mall car parks and season parking tickets to park at HDB car parks on a long term basis without having to use parking coupons. Individual owners may apply for season parking on HDB's e-service portal ([https://services2.hdb.gov.sg/webapp/SX05AWSPCP/SX05PSPCPLogin.jsp Season Parking portal]).		Car owners have to pay parking fees at shopping mall car parks and season parking tickets to park at HDB car parks on a long term basis without having to use parking coupons. Individual owners may apply for season parking on HDB's e-service portal ([https://services2.hdb.gov.sg/webapp/SX05AWSPCP/SX05PSPCPLogin.jsp Season Parking portal]).

	=== '''Repair''' ===		==='''Repair'''===
	Even if the car does not require major repairs throughout the years, it is quite certain that minor repairs will need to be made to the car such as the changing of tyres. Additional costs will also be incurred if the car owner does not wash the car themselves and sent it to the car wash instead.		Even if the car does not require major repairs throughout the years, it is quite certain that minor repairs will need to be made to the car such as the changing of tyres. Additional costs will also be incurred if the car owner does not wash the car themselves and sent it to the car wash instead.

	=== '''Car loan repayments''' ===		==='''Car loan repayments'''===
	It is difficult to be able to pay the immediate cost of the car in full as it is a hefty sum. Thus, many take up car loans which will be paid back by the owner in installments, with interest included.		It is difficult to be able to pay the immediate cost of the car in full as it is a hefty sum. Thus, many take up car loans which will be paid back by the owner in installments, with interest included.

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	Potential car owners can borrow up to a Loan-to-value (LTV) ratio of 70% of the car’s OMV, provided that the OMV is not more than S$20,000.<ref>“Can you afford a car loan in Singapore”. ''Gobear''. October 31, 2017. Accessed on 4 February 2019. Retrieved from: https://www.gobear.com/sg/blog/can-you-afford-a-car-loan-in-singapore</ref> Otherwise, the maximum amount that the owner can borrow would be 60% of the OMV. The maximum loan tenure is fixed at 7 years. The interest rate will depend on the company’s terms and conditions.		Potential car owners can borrow up to a Loan-to-value (LTV) ratio of 70% of the car’s OMV, provided that the OMV is not more than S$20,000.<ref>“Can you afford a car loan in Singapore”. ''Gobear''. October 31, 2017. Accessed on 4 February 2019. Retrieved from: https://www.gobear.com/sg/blog/can-you-afford-a-car-loan-in-singapore</ref> Otherwise, the maximum amount that the owner can borrow would be 60% of the OMV. The maximum loan tenure is fixed at 7 years. The interest rate will depend on the company’s terms and conditions.

	=== '''Car insurance''' ===		==='''Car insurance'''===
	Getting a car insurance is compulsory in Singapore and are usually paid by car owners in the form of yearly premiums. The amount of car insurance premiums that car owners need to pay depends on factors like driving experience, car engine capacity and sometimes even age.<ref>“ Factors Affecting Car Insurance Premium in Singapore”. ''Sgcarinsurance''. Accessed on 4 February 2019. Retrieved from: https://sgcarinsurance.net/factors-affecting-car-insurance-premium-in-singapore/</ref>		Getting a car insurance is compulsory in Singapore and are usually paid by car owners in the form of yearly premiums. The amount of car insurance premiums that car owners need to pay depends on factors like driving experience, car engine capacity and sometimes even age.<ref>“ Factors Affecting Car Insurance Premium in Singapore”. ''Sgcarinsurance''. Accessed on 4 February 2019. Retrieved from: https://sgcarinsurance.net/factors-affecting-car-insurance-premium-in-singapore/</ref>

Dayana Rizal at 08:27, 1 April 2019

2019-04-01T08:27:22Z

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Dayana Rizal at 08:03, 1 April 2019

2019-04-01T08:03:29Z

← Older revision		Revision as of 16:03, 1 April 2019
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	== Administrative procedure ==		== Administrative procedure ==
	The buyer will need to book the car of their choice using their I/C.<ref>“New car buying guide for first time buyers”. ''Sgcarmart''. Accessed on 7 February 2019. Retrieved from: https://www.sgcarmart.com/news/writeup.php?AID=1</ref> They will also need to provide their income proof, to make sure that they are capable of taking on a loan to buy the car.		The buyer will need to book the car of their choice using their I/C.<ref>“New car buying guide for first time buyers”. ''Sgcarmart''. Accessed on 7 February 2019. Retrieved from: https://www.sgcarmart.com/news/writeup.php?AID=1</ref> They will also need to provide their income proof, to make sure that they are capable of taking on a loan to buy the car.


	The purchasing process can range from 2 weeks to 6 months.The purchase is confirmed when a booking fee is paid. The booking fee is approximately S$2,000, subject to the car model. The rest of the payment is made upon the successful bidding of the COE (Certificate of Entitlement) and 1 week before the car collection.		The purchasing process can range from 2 weeks to 6 months.The purchase is confirmed when a booking fee is paid. The booking fee is approximately S$2,000, subject to the car model. The rest of the payment is made upon the successful bidding of the COE (Certificate of Entitlement) and 1 week before the car collection.


	Upon purchasing the car, the owner will need to register the car so that they can be charged accordingly for their taxes.<ref>“Registration of cars”. ''Land Transport Authority''. Updated November 20, 2018. Accessed on 7 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/registering-your-vehicle/registration-of-cars.html</ref> These taxes are also known the Additional Registration Fee (ARF). The initial selling price of the car will affect the ARF. Registration can be done by the car dealer using the LTA e-Service. Alternatively, new car owners can register by going to the LTA Customer Service Centre at 10 Sin Ming Drive, Singapore 575701 (nearest MRT Marymount). Individuals are required to bring the following documents:		Upon purchasing the car, the owner will need to register the car so that they can be charged accordingly for their taxes.<ref>“Registration of cars”. ''Land Transport Authority''. Updated November 20, 2018. Accessed on 7 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/registering-your-vehicle/registration-of-cars.html</ref> These taxes are also known the Additional Registration Fee (ARF). The initial selling price of the car will affect the ARF. Registration can be done by the car dealer using the LTA e-Service. Alternatively, new car owners can register by going to the LTA Customer Service Centre at 10 Sin Ming Drive, Singapore 575701 (nearest MRT Marymount). Individuals are required to bring the following documents:
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	== References / Citations ==		== References / Citations ==
	~~<br />~~

Dayana Rizal: Created page with "After getting a driving license, the next step would be getting a car. When buying a car in Singapore, potential car owners should t..."

2019-04-01T08:01:36Z

Created page with "After getting a driving license, the next step would be getting a car. When buying a car in Singapore, potential car owners should t..."

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After [[Getting a driving license in Singapore|getting a driving license]], the next step would be getting a car. When buying a car in Singapore, potential car owners should think of the immediate and long-term cost of owning a car throughout the years. There are also other options for those who are able and want to drive but choose not to buy a car.

== Administrative procedure ==
The buyer will need to book the car of their choice using their I/C.<ref>“New car buying guide for first time buyers”. ''Sgcarmart''. Accessed on 7 February 2019. Retrieved from: https://www.sgcarmart.com/news/writeup.php?AID=1</ref> They will also need to provide their income proof, to make sure that they are capable of taking on a loan to buy the car.

The purchasing process can range from 2 weeks to 6 months.The purchase is confirmed when a booking fee is paid. The booking fee is approximately S$2,000, subject to the car model. The rest of the payment is made upon the successful bidding of the COE (Certificate of Entitlement) and 1 week before the car collection.

Upon purchasing the car, the owner will need to register the car so that they can be charged accordingly for their taxes.<ref>“Registration of cars”. ''Land Transport Authority''. Updated November 20, 2018. Accessed on 7 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/registering-your-vehicle/registration-of-cars.html</ref> These taxes are also known the Additional Registration Fee (ARF). The initial selling price of the car will affect the ARF. Registration can be done by the car dealer using the LTA e-Service. Alternatively, new car owners can register by going to the LTA Customer Service Centre at 10 Sin Ming Drive, Singapore 575701 (nearest MRT Marymount). Individuals are required to bring the following documents:
<br />

* Identity card
* Car insurance certificate
* Notice of Vehicle Approval Code (VAC)
* Inward Cargo Clearance Permit (CCP)
* Original manufacturer’s invoice

For car registration, an administrative fee of S$25 (not inclusive of GST) will be incurred.<ref>“Registration of cars”. ''Land Transport Authority''. Updated November 20, 2018. Accessed on 7 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/registering-your-vehicle/registration-of-cars.html</ref>

== Immediate cost of buying a car ==
[[File:Cost of cars in Singapore.jpg|link=https://wiki.sg/p/File:Cost%20of%20cars%20in%20Singapore.jpg|thumb|''The immediate costs of buying a car in Singapore as illustrated on a 2017 Toyota Corolla Altis 1.6 . Infographic from MustShareNews.'']]
When purchasing a car, there are different types of fees to pay. These factors make up the immediate cost of buying a car.<ref>“Singapore Car Prices – Breakdown of Car Costs & How to Save Money”. ''MoneySmart''. September 13, 2017. September 11, 2018. Accessed on 4 February 2019. Retrieved from: https://blog.moneysmart.sg/transportation/singapore-car-prices-breakdown-car-costs-save-money/</ref> Bearing in mind the additional cost factors, a car with an OMV of '''S$50,000''' will have a total base price of approximately '''S$153,079''' = S$50,000 (OMV) + S$220 (RF) + S$62,000 (ARF) + S$10,000 (Excise Duty) + S$4,200 (GST) + S$26,659 (COE).
{| class="wikitable"
|'''Factors'''
|'''Details'''
|-
|'''Open Market Value (OMV)'''
|The initial selling price of the car without any additional costs.
|-
|'''Registration Fee (RF)'''
|S$220
|-
|'''Additional Registration Fee (ARF)'''
|The ARF is significantly more expensive than the RF. The more expensive the car, the higher the ARF.
<br />

* '''First S$20,000''' of OMV, the ARF rate is 100%.
* Eg. A car that costs S$18,000 will have an ARF of S$18,000 (100% x 18,000)

* '''Next S$30,000''' of OMV, the ARF rate is 140%.
* Eg. A car that costs S$50,000 will have an ARF of S$20,000 (100% x 20,000) + S$42,000 (140% x 30,000) = S$62,000

* '''Above S$50,000''' of OMV, the ARF rate is 180%.
* Eg. A car that costs S$90,000 will have an ARF of S$20,000 + S$42,000 + S$72,000 (180% x 40,000) = S$134,000
|-
|'''Excise Duty'''
|The Singapore customs charges an excise duty that is 20% of OMV.

* Eg. A car that costs S$50,000 will have an excise duty of S$10,000 (20% x 50,000).
|-
|'''GST'''
|There is a 7% GST on the OMV and Excise duty.

* Eg. A car that costs S$50,000 will have a total GST charge of S$3,500 (7% x 50,000) + S$700 (7% x 10,000) = S$4,200
|-
|'''Certificate Of Entitlement (COE)'''
|Those with a COE are allowed to own a vehicle and use Singapore roads for 10 years. COE prices are usually very high due to the limited supply released by the government and the excess demand from the public. COE prices change from month to month. As of March 2019, the prices are as such:<ref>"COE Prices". ''Automobile Association of Singapore.'' Accessed on 1 April 2019. Retrieved from: https://www.aas.com.sg/resources/coe/coe-prices.html</ref>
<br />

* Category A (Cars 1600 CC below & Taxi) - S$26,659
* Category B (Cars above 1600 CC) - S$39,401
* Category C (Goods Vehicle & Bus) - S$27,021
* Category D (Motorcycles) - S$3,602
* Category E (Open) - S$41,000

When a COE expires, car owners have the choice of de-registering their vehicle or to renew the COE for another 5 or 10 years by paying a Prevailing Quota Premium (PQP). The PQP of a vehicle is costs more or less the same as the original COE price.<ref>"Prevailing Quota Premiums". ''Automobile Association of Singapore.'' Accessed on 1 April 2019. Retrieved from: https://www.aas.com.sg/resources/coe/coe-prices.html</ref>
|-
|'''Vehicular Emissions Scheme (VES)'''
|VES rebates are given off the ARF if the car emissions do not exceed a certain level. This was put in effect on 1 January 2018.
|-
|'''Local dealer’s margin'''
|Profit which local dealers make for the successful sale of cars in order to sustain their business.
|-
|'''In-vehicle unit fee'''
|This device is used to pay ERP and other relevant road parking charges.
|-
|'''Licence plate number'''
|S$1,300 has to be paid for transferring the old licence plate to the new car.

For those that choose to bid for a specific plate number, the cost depends on the popularity and demand for the number.
|}

== Long term cost of buying a car ==
After paying the immediate cost of purchasing a car, there are still certain charges which a car owner will need to pay for throughout the years of owning a car. These can be known as either the long term costs or the ongoing costs.
{| class="wikitable"
|'''Factors'''
|'''Details'''
|-
|'''Electronic Road Pricing (ERP)'''
|The ERP is meant to ease traffic congestion on Singapore roads by charging drivers for using crowded roads during peak hours.<ref>“Electronic Road Pricing (ERP)”. Land Transport Authority. Updated November 14, 2018. Accessed on 4 February 2019. Retrieved from: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/managing-traffic-and-congestion/electronic-road-pricing-erp.html</ref> A comprehensive list of ERP locations and their respective charges during peak and non-peak hours can be accessed on the LTA website ([https://www.onemotoring.com.sg/content/onemotoring/home/driving/traffic_information/traffic-smart.html ERP digital service]).
|-
|'''Fuel costs'''
|Different cars run on different types of fuel (such as gasoline, diesel and petrol) and require different amounts of fuel as well. The type and cost of fuel a car consumes can be calculated on the LTA digital service ([https://vrl.lta.gov.sg/lta/vrl/action/pubfunc?ID=FuelCostCalculator Fuel Cost Calculator digital service])
|-
|'''Road taxes'''
|Car owners have to pay annual road taxes for their road usage. Road taxes differ according to the vehicle's engine capacity. As of March 2019, the annual road tax for cars of 1600cc is S$744.<ref>"Road Tax Calculator". ''ST Cars.'' Retrieved from: https://www.stcars.sg/road-tax-calculator</ref> Individual car owners may calculate their road tax on an online digital service ([https://www.stcars.sg/road-tax-calculator STCars road tax calculator]).
|-
|'''Parking fees'''
|Car owners have to pay parking fees at shopping mall car parks and season parking tickets to park at HDB car parks on a long term basis without having to use parking coupons. Individual owners may apply for season parking on HDB's e-service portal ([https://services2.hdb.gov.sg/webapp/SX05AWSPCP/SX05PSPCPLogin.jsp Season Parking portal]).
|-
|'''Repair'''
|Even if the car does not require major repairs throughout the years, it is quite certain that minor repairs will need to be made to the car such as the changing of tyres. Additional costs will also be incurred if the car owner does not wash the car themselves and sent it to the car wash instead.
|-
|'''Car loan repayments'''
|It is difficult to be able to pay the immediate cost of the car in full as it is a hefty sum. Thus, many take up car loans which will be paid back by the owner in instalments, with interest included.

Potential car owners can borrow up to a Loan-to-value (LTV) ratio of 70% of the car’s OMV, provided that the OMV is not more than S$20,000.<ref>“Can you afford a car loan in Singapore”. ''Gobear''. October 31, 2017. Accessed on 4 February 2019. Retrieved from: https://www.gobear.com/sg/blog/can-you-afford-a-car-loan-in-singapore</ref> Otherwise, the maximum amount that the owner can borrow would be 60% of the OMV. The maximum loan tenure is fixed at 7 years. The interest rate will depend on the company’s terms and conditions.
|-
|'''Car insurance'''
|Getting a car insurance is compulsory in Singapore and are usually paid by car owners in the form of yearly premiums. The amount of car insurance premiums that car owners need to pay on a daily basis depends on factors like driving experience, car engine capacity and sometimes even age.<ref>“ Factors Affecting Car Insurance Premium in Singapore”. ''Sgcarinsurance''. Accessed on 4 February 2019. Retrieved from: https://sgcarinsurance.net/factors-affecting-car-insurance-premium-in-singapore/</ref>
|}

== Where to buy ==

=== New cars ===
Car dealers have showrooms of cars from various brands. There are also car dealers in Singapore which only sells second-hand cars. Thus, it is important that potential car owners do their research on the types of cars sold at the different car dealers and find one that is most suitable for them to visit based on their preference. To protect themselves from scams, car buyers should research and check on the reliability of the car dealers.

Ubi is an area in Singapore that is populated with car dealers such as Tan Chong Motor sales, Vincar Pte Ltd and Car Times Automobile Pte Ltd. Alternatively, potential car owners can also visit the Singapore Motor Show which happens on a yearly basis.<ref>Ang, Dawn. “8 things to look out for during the Singapore Motorshow”. ''Channelnewsasia''. Updated January 11, 2018. Accessed on 4 February 2019. Retrieved from:

https://www.channelnewsasia.com/news/lifestyle/8-things-to-look-out-for-during-the-singapore-motorshow-9851834</ref> At the event, many car dealers present car models that are most recent and popular. At the show, car dealers will also have special promotions and deals for car buyers.

=== Second-hand cars ===
As for second hand cars, there are second hand car dealers in Singapore such as Speedo Motoring Pte Ltd, Commonwealth Car Mall and Das WeltAuto Singapore. When buying second hand cars, car buyers should exercise their personal discretion to check if the car is well functioning and suitable for them.

Certain things to check for include the used car’s mileage, the number of previous owners and the age of the car. For example, having many previous owners may indicate that there are certain issues with the car. A potential buyer should do a thorough check before purchasing. The age of the car and the years of ownership will indicate how much the car has depreciated in value from its original price.

== References / Citations ==
<br />