How much actually you would spend in buying a car? Let’s know

Go for this one… it’s much better in comfort. Take a test drive of the power of another model. This oneis quite trending these days. That one has got features that you normally get in high-end luxury cars…Stop Now!

You may get such kind of responses the moment you think of buying a new set of wheels and askpeople around you for suggesting something they know.

However, no one would actually tell you about the total cost that you would have to bear while buyinga new car. But we do and here’s a break up of everything where you would be spending your dollars.

First things First. The key factors to consider - Paying less up-front might end up in costing you more It is wise to do a vehicle inspection before finalising the make and model A history report, if any, ensures peace of mind Do not forget to consider stamp duty

A smart move is to sign-up for roadside assistance Spend some time to shop for the right insurance deal

What will be the upfront costs?

1. The Purchase Price of the CarThe car you purchase will be dictated by what you really need and what you actually require, yetabove all else, what you can afford. Primarily, you have to consider the expenses you will have tobear over your car’s lifetime. While a brand new car can be more costly to afford, it ought to be lessexpensive to maintain and service. On the other hand, a used car will probably be less expensiveearlier, however will likely demand more care and service support.

2. The Vehicle InspectionBefore you purchase a used car, get an expert to examine it. It could be your local repairman or youcan also go for a pre-purchase vehicle examination through your State or Territory's motoring clubsuch as - the RACV or the RACQ.

3. The Cost of Stamp dutyStamp duty can be an extensive coincidental cost and is ascertained on the cost of the car you'repurchasing. Be careful that every state has diverse stamp duty price that depends upon what kindof car you're buying. Such as a compact car, SUV or a luxury vehicle. Additionally, if this is yournew car purchase, there are car dealers that might add up the stamp duty to the price of the car.

What will be the ongoing costs?Apart from service and maintenance costs, your new car purchase will add up to certain ongoingexpenses such as fuel, road taxes and the major part of the expense would also include the car loanrepayments if the car you own is financed through a bank or lender.