The right time for a new car is right here, right now

People often ask, "When's the best time to buy a car?"

The reality is that because of the nature of Singapore's car market, as well as your personal expectations, there is no so-called 'best time'. Indeed, the only reasonable answer is, 'right now'.

Playing the waiting game

Understandably, price plays a big factor into people's car buying decision. COE and additional taxes drive up the cost of any car, and as a result buying a car is a huge financial commitment.  

However, trying to anticipate or predict changes in pricing is a fool's errand.

One key factor, of course, is COE. As it is a bidding system, COE premiums are subjected to both demand and supply. The government, setting a hard cap on the total available COEs, controls supply. The shrinkage of COE supply will of course place upward pressure on COE premiums.

Demand is a more fluid thing. Affected by multiple factors like new car launches, revisions to regulations like VES and loan structures, as well as economic growth and general buying sentiment, it is almost impossible to accurately predict changes in COE.

Even disregarding the volatile and unpredictable nature of our COE system, car pricing is always subjected to change. Distributors may tweak prices to try to boost sales, or there might be special promotions going on.

So, playing the 'waiting game' is inevitably never going to work out exactly how you want. There are too many factors beyond your control that can change at the drop of a pin. And, think about it - if you’re doing it, someone else is doing it as well.

Right here, right now

As a result, the best time to buy a car is right now. Instead of waiting for prices to shift, one other way you can approach this process is to consider a broader range of options, as well as to shift or adjust your expectations slightly.

Say, you wanted a big, powerful, premium and high-tech SUV. You have options, of course - maybe the BMW X5 or the Porsche Cayenne. Or, you can also consider the new Volkswagen Touareg. It may not have the same badge clout as the Bimmer or the Porsche, but it certainly stacks up in terms of performance, equipment and capability. And, it's going to cost you less money, too.

Let's say you have been driving a Golf hatchback for some time, but are now looking for something with a little more space. Perhaps a crossover, or an SUV? Sure, there are lots of options out there. Or, you could also check out the Golf Variant, a car that delivers all of the dynamism you come to know from the Golf, while also adding a heavy dose of practicality (and style, in our opinion).

Looking for a practical, comfortable and capable family sedan? The Volkswagen Passat should certainly be considered. Yes, it may not be a spanking new MY2019 model, but it still packs plenty of modern features and creature comforts. And let's be honest, with a 10-year life span of many of the cars on our roads, the additional one or two years of 'newness' isn’t going to make that big of a difference.

As you can see, instead of just waiting for the price of your 'dream' or 'ideal' car to drop to an arbitrary number you have in your head, you can also instead consider some alternative options that still deliver what you desire from a car.

Ultimately, it's important to realise that with the high inherent cost of purchase, high cost of ownership and limited lifespan of cars, there will never be a 'perfect time' to buy a new car. Instead, what you should do is be more creative with your buying conditions and considerations.

With so many options available in the market, there will definitely be a car that's ideal for you, right here, right now.