The reason why COE is so high

[Whispers]

times are good.

can't wait to see nak3d swimmers

 

[RyanJ]

i think new car from AD is quite strict on this. probably is those used car dealer or PI

Some ADs do offer in house loans which bypasses MAS motor financing regulations.

E g Buying car from Cycle and Carriage , one can also choose to get "full loan" financed by I think Mercedes Benz Sg ( the principal / subsidiary prev known as Daimler ) but they still tend to offer bank loans because of ( I suspect ) commissions. Eurokars have in house loans too.

 

[trento]

Sunk cost lor

Assuming 20k/year depreciation, owning a car continuously over 30 years is 600k gone

i asked AI about the cheapest car in SG overall cost, new and one old COE car to compare. Shocking.

The actual total cost of owning the cheapest brand-new car in Singapore—currently the Perodua Bezza 1.3 Premium X—is roughly S$253,300 over 10 years, translating to a massive S$2,111 per month


The actual cost of owning a 10-year renewed COE Toyota Corolla Altis 1.6A in Singapore is roughly S$225,500 over 10 years, which averages out to S$1,879 per month

 

[Botakkid]

i think new car from AD is quite strict on this. probably is those used car dealer or PI

AD 0 down also can chut chia, then full loan 118 months, one bid COE gurantee, one very popular china car EV brand doing that

 

[carey]

i asked AI about the cheapest car in SG overall cost, new and one old COE car to compare. Shocking.

The actual total cost of owning the cheapest brand-new car in Singapore—currently the Perodua Bezza 1.3 Premium X—is roughly S$253,300 over 10 years, translating to a massive S$2,111 per month


The actual cost of owning a 10-year renewed COE Toyota Corolla Altis 1.6A in Singapore is roughly S$225,500 over 10 years, which averages out to S$1,879 per month

Paying the price of a Merc last time to own the cheapest car in SG these days

 

[Hello_Kitty]

loans always make things look affordable:

1. HDB house loan over 30 years , each month pay only so little, feel affordable
2. iphone 18 pro max over 2 years installment , every month only pay little , feel affordable
3. $500k renovation loan over 2 years will feel affordable every month

 

[zetraw]

There is no will to stop us buying cars.


Enforced 50% loan only and employ 5000 people going around the island to check.

And then offer FREE public transport. This will make scholars think how to make money to cover the expense.

 

[Deathzz]

the only true reason is stock market at ATH. everyone getting easy money and can afford cars.

 

[Hello_Kitty]

the only true reason is stock market at ATH. everyone getting easy money and can afford cars.

MSFT and NVDA like not performing well leh

 

[Magnificent7]

High COE is partly supported by buyers who are willing to take on large loans for convenience or necessity, especially when they feel they have few alternatives. Fixed limited COE supply combined with strong demand led some buyers do take on large loans because they need a car badly enough to accept the cost, even if it strains their finances.
When private financing is easy, some buyers may focus on the monthly payment instead of the full cost of ownership. That can make a very expensive car feel “manageable:
This is especially true for buyers who value:
convenience,
family needs,
work-related mobility,
avoiding long public transport commutes,
social or lifestyle preferences.
If current demands are mainly loan-supported prohibiting financing from private non-bank lenders and restrict car loans to regulated bank lending only might lower COE prices accordingly.

 

[trento]

Some ADs do offer in house loans which bypasses MAS motor financing regulations.

E g Buying car from Cycle and Carriage , one can also choose to get "full loan" financed by I think Mercedes Benz Sg ( the principal / subsidiary prev known as Daimler ) but they still tend to offer bank loans because of ( I suspect ) commissions. Eurokars have in house loans too.

in house got higher interest and admin fees. in house loan also means dealer loan on your behalf and lease to u. so jialat y bother

 

[trento]

There is no will to stop us buying cars.


Enforced 50% loan only and employ 5000 people going around the island to check.

And then offer FREE public transport. This will make scholars think how to make money to cover the expense.

this may collapse the car industry. maybe pap wants sinkies to work super hard to pay off car loans

 

[cet87]

i think new car from AD is quite strict on this. probably is those used car dealer or PI

you checked with B'YD?

 

[trento]

you checked with B'YD?

No but even so, higher interest rates for in house loans. No thanks

 

[Deathzz]

MSFT and NVDA like not performing well leh

u never quote our local banks, micron, sandisk and all the semi con stocks.

 

[carey]

loans always make things look affordable:

1. HDB house loan over 30 years , each month pay only so little, feel affordable
2. iphone 18 pro max over 2 years installment , every month only pay little , feel affordable
3. $500k renovation loan over 2 years will feel affordable every month

Almost like girl mathing hor

 

[RyanJ]

in house got higher interest and admin fees. in house loan also means dealer loan on your behalf and lease to u. so jialat y bother

Private in-house loans do not affect TDSR, and lax financial assessment. Heard of some cases just a CBS report will do.

Of course it means it can be an uncontrolled debt trap if not careful, but there are some folks that will 'benefit' from such an arrangement esp when already maxed out housing loans on TDSR, or will be buying a house.

 

[cet87]

No but even so, higher interest rates for in house loans. No thanks

but many is tanking the high interest.

 

[Lchlch]

Is because people can afford it. By taking loans.

This is a typical ad.

$1700 x 12 months x 10 years = $204k.

As long as he can pay $1700 a month, he can drive a $200k car.

So if he / he & spouse take home >$7k celery, buyed a car is no problem.

A very good form of revenue.

 

[PARKRANGER]

There are many stupid ppl around to take loan like this for depreciating item (wouldn’t call car is asset)