Ah, Toyota—a beacon of assurance in the car realm. A promise that your trusty steed is a car that means business and will bring you to places, worry-free. Toyota has always had a reputable record for offering reliability and durability—regardless whether you choose a new or an used Toyota.
New or used?
This age-old question narrows down to this: understanding your financial capability, and choosing a quality-assured car for the long haul.
Imagine you want to buy a new car that costs roughly RM80,000 and you earn about RM100,000 a year. Ideally, you need to put at most a down payment of RM20,000 (~20% of the cost) and take up a five year loan to repay the rest. You’d have to spend no more than RM1,500 a month (which should be about 20% of your salary) on expenses for it.
Now, this should be a realistic and comfortable scenario for you and your wallet – but that’s not always the case. Incomes and spending can fluctuate, so it’s always best to keep commitments the lowest possible. A RM1,500 commitment might seem okay in the beginning, and sure you can opt not to have your 15 cups of cappuccinos anymore. But remember: you have to pay that amount on a monthly-basis for the next five years.
This is where the solution of buying used cars come in.
Used Cars Plus Points
Used cars offer you the option of an attractive and more affordable price point, which means a more relieved and happier wallet.
Just take a look at this scenario:
The same Toyota model you’re eyeing has reduced in value and depreciated over, let’s say, three years. The used car then becomes approximately 30% cheaper, making it RM56,000. That’s more than RM20,000 in savings, and reduces your monthly repayment to RM1,000 if you still go for a five year loan to finance the purchase. Or you can even shorten the timeline.
Buying a used car also gives lower car insurance rates as well as registry renewals. And if you’ve saved a lot on your overall value with your used car, you can even consider moving up to a higher class.
The result: You get to own and drive that amazing Toyota you want, while also doing the things you love. Like having those cups of coffee, without feeling guilty. Choose your favourite used Toyota here.