The Pros & Cons Of Owning A Car In Singapore

Lynette Tan
Updated

This article was originally on GET.com at: The Pros & Cons Of Owning A Car In Singapore

Is it your dream to have your own car? As we all know, owning a car in Singapore is not cheap, but that might not deter you from having one, and although it's expensive, having a car can be very practical. In fact, owning a car can greatly improve your quality of life in many ways.

What are the advantages of having a car in Singapore? We have one of the most easily navigable roads and some of our most beautiful skyscrapers that can only be appreciated from cruising the expressways.

With a car to call your own, there will be no more waiting under the crazy sun for your public transport or squeezing in the MRT. But still, considering the cost of owning a car, is it really worth it? We at GET.com will show you the pros and cons of owning a car in Singapore so that you can decide if it will be a good idea for your own situation.

So You Want To Own A Car?

If you really want to own a car in Singapore, then be prepared to overcome some of the most punishing hurdles which made our road system uniquely Singapore – car loan, road tax, comprehensive car insurance, petrol, maintenance, parking and Certificate of Entitlement (COE), just to name a few.

To quote an example, a budget car in Singapore will most likely cost over $70,000. Other than forking out over $1300 each month for the car loan, another $500 or so would have to be set aside for its variable costs (Petrol $300, car insurance $150, road tax around $60). And that's excluding maintenance, road summons or accidents.

Besides, due to our land scarcity, COE is rising. So unless you really need it or have a lot of extra cash to burn, owning a car can easily eat up half of your income.

You could also opt for a second-hand car, which is definitely a lot cheaper than a new car. However, keep in mind that you will need to spend a lot more money on maintenance.

What About Public Transport?

The MRT has got to be the ride of choice for most Singaporeans. Over the years, our government has been relentless in extending its reach to connect people to more places in the most economical way.

The bus services are also another reliable type of transport to get around in Singapore. If you were to take two bus rides everyday, the cost would only be around $3 each day (depending on the distance). In a year, that adds up to around $1,095, which is a stark contrast to the cost of having a car.

So Now What?

It is not difficult to see which mode of transport is friendlier on our pockets. But we all know that life is not a straightforward route. Many people lead a rather mobile lifestyle or have jobs that really require them to have a car. Can a salesman rely on bus schedules to get him to his destination in 15 minutes?

For individuals who crave the convenience of a car, you can choose to alternate between taxis and buses if owning one is too expensive.

For individuals who need a car to earn a livelihood, they may choose to rent or co-own a car with family members.

But options aren't only limited to cars, taxis and public transport, recently there has been a surge of many new car-sharing options like Uber or GrabCar.

These new options provide money-saving tools for both drivers and commuters alike. If you do decide to buy a car, you could become a part-time Uber driver to earn some extra cash towards your car expenses.

If you're a commuter you could save money by sharing a ride with several people so that you can get the best rates.

Here you can read more about some of the different car-sharing companies in Singapore to find out the differences between Uber, Hailo and GrabTaxi.

Before taking your final decision, make sure to choose the mode of transport that will allow you to live your life in the most productive way possible!

What do you think? Share your comments with us below!

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