(26-02-2013, 01:15 PM)yeokiwi Wrote: [ -> ] (26-02-2013, 11:39 AM)Musicwhiz Wrote: [ -> ]Still waiting for the day when I can proclaim that a car is "affordable". My budget for a new car would be about $50,000 to $60,000 total cost for a 1.6L Toyota sedan. Wishful thinking? Haha.....
It was selling at that price in 2006-2007???
I believe MW is probably referring to a 1.6L car
now that cost ard $60K. 6-7 yrs back, I think inflation was not as terrible as it has been for the last couple of yrs. So 60K would probably translate to ard 80K in today's money?
(26-02-2013, 11:39 AM)Musicwhiz Wrote: [ -> ]Still waiting for the day when I can proclaim that a car is "affordable". My budget for a new car would be about $50,000 to $60,000 total cost for a 1.6L Toyota sedan. Wishful thinking? Haha.....
That price today (60k) imply a depreciation of about 5k p.a. for the car. Recently my boss got a 6-year old sedan car for a depreciation of about 6k+. 6k is 1k more than 5k, or 20% more than 5k. Both are significant, or not significant depending on how you value 1k, 5k, 6k, or 20%. Also, running costs typically add up another 5-6k (100% of depreciation). 1k more in depreciation is important and 6k in running cost is not?
There are certainly enough affordable pre-owned cars in the market today for buyers who look hard enough. Most do not want because
1) want to drive new
2) prefer to complain about car prices
3) have no idea how the car market works
(26-02-2013, 02:59 PM)thefarside Wrote: [ -> ] (26-02-2013, 11:39 AM)Musicwhiz Wrote: [ -> ]Still waiting for the day when I can proclaim that a car is "affordable". My budget for a new car would be about $50,000 to $60,000 total cost for a 1.6L Toyota sedan. Wishful thinking? Haha.....
That price today (60k) imply a depreciation of about 5k p.a. for the car. Recently my boss got a 6-year old sedan car for a depreciation of about 6k+. 6k is 1k more than 5k, or 20% more than 5k. Both are significant, or not significant depending on how you value 1k, 5k, 6k, or 20%. Also, running costs typically add up another 5-6k (100% of depreciation). 1k more in depreciation is important and 6k in running cost is not?
There are certainly enough affordable pre-owned cars in the market today for buyers who look hard enough. Most do not want because
1) want to drive new
2) prefer to complain about car prices
3) have no idea how the car market works
To purchase a 8 years old car only incur depreciation of ~1k per year, but need to bear higher maintenance cost. But it is not as much as we thought if the car is Toyota IMO
(26-02-2013, 11:39 AM)Musicwhiz Wrote: [ -> ]Still waiting for the day when I can proclaim that a car is "affordable". My budget for a new car would be about $50,000 to $60,000 total cost for a 1.6L Toyota sedan. Wishful thinking? Haha.....
This is the 2006 pricing of a new car. Even then, Toyota corolla selling for ~ $55K.
Either the population goes down to 4 Million, or the train is so good people give up cars, or the road capacity improves a lot.
If car price at this level, maybe condos also go back to 2006 pricing. I rather buy a condo.
(26-02-2013, 11:39 AM)Musicwhiz Wrote: [ -> ]Still waiting for the day when I can proclaim that a car is "affordable". My budget for a new car would be about $50,000 to $60,000 total cost for a 1.6L Toyota sedan. Wishful thinking? Haha.....
a 1.6L Altis was around $60,000 in 2003.
(26-02-2013, 11:39 AM)Musicwhiz Wrote: [ -> ]My budget for a new car would be about $50,000 to $60,000 total cost for a 1.6L Toyota sedan. Wishful thinking? Haha.....
Can tell that the last time you checked car price was in early 2000s.
During early 2008 Altis is around 65k. I bought my civic for 70k no loan.
i hate to drive n i hate to burn so much $ for a stupid piece of paper, but i got no choice.
SINGAPORE: The Monetary Authority of Singapore is imposing restrictions on loans for private cars to safeguard against borrowers defaulting on their repayments.
Beginning on February 26, the central bank said consumers will be limited to borrowing 60 per cent of the purchase price of a motor vehicle when the open market value (OMV) is S$20,000 or less.
A tighter limit of 50 per cent will be imposed when the OMV is more than S$20,000.
The MAS is also capping the tenure of a motor vehicle loan at five years.
"The financing restrictions are necessary to encourage financial prudence among buyers," the MAS said in a statement.
"In this prolonged environment of very low interest rates, there is greater risk of buyers over-extending themselves," it said.
The new restrictions do not apply to loans for either commercial vehicles or for motorcycles.
For re-financing facilities, only the cap on loan tenure applies.
The MAS previously had in place financing restrictions on car loans from February 1995 to January 2003.
(26-02-2013, 06:40 PM)brattzz Wrote: [ -> ]SINGAPORE: The Monetary Authority of Singapore is imposing restrictions on loans for private cars to safeguard against borrowers defaulting on their repayments.
You know, I am happy at this move... but at the same time, mixed feelings because it seems the Government have to intervene directly because people dunno what is common sense.
(26-02-2013, 06:17 PM)WolfT Wrote: [ -> ]During early 2008 Altis is around 65k. I bought my civic for 70k no loan.
I look forward to those days again. My Vios was $50k. Better still if COE can hit $2 again!