If you live in Singapore or are planning to move to Singapore either permanently or for work, it is important to look into the benefits of hiring and purchasing a vehicle. Living in Singapore, having a vehicle can be vital for getting around.
However, as with most things, there are benefits and setbacks for either hiring or purchasing a vehicle. In this article, we will discuss your different options and what effect this may have.
Also read: 5 Things to Consider Before Buying a Bike or Car Insurance Online
1. Rental
Buying a car is expensive in Singapore due to how many people want to own one; this is where leasing a car will benefit some. However, this can become expensive; on average, it costs around $1,700 a month to hire a vehicle. With this, you may not have as many options as if you were purchasing.
However, if you choose to hire a vehicle rather than purchase one, this can leave you stuck with the same vehicle for the term of the lease. The other drawbacks include you may not be able to drive this outside of Singapore, and you may not be allowed to have additional drivers drive the vehicle; this can limit you if you need one car for a household.
Where being tied into one car for a set amount of time may seem like a drawback, as previously mentioned, for some, this may be a benefit. If you are in Singapore for work, you may find hiring for the length of your stay more beneficial than looking into purchasing.
2. Purchasing
When you live in Singapore and need a vehicle to get around, you may find it more beneficial to make a large purchase using a car loan. Car loans can be very beneficial as they allow you to purchase the car you want and pay over an agreed length of time. Whether this is a year or two depends on your circumstance.
All you need to get car loans is proof you are living in Singapore, proof of income, and proof of age, all to show you can afford to pay for the loan. This option, however, is only available to people who live in Singapore or are moving there.
If you are just visiting or working for a fixed term, you may find purchasing a vehicle through a car loan more difficult. It is, however, a fantastic option if you are moving or living in Singapore, Making owning a car more affordable.
Another benefit to purchasing a vehicle over hiring would be that you can travel outside of Singapore, which many hire vehicles may not allow. You will also be able to share the car with members of your family as you will own the car and not have to hold to restrictions over how you drive the car. You will only need to adhere to the terms of your loan.
Summary
Whether you are living in Singapore or just visiting with the prospect of staying longer, there are benefits and drawbacks to both hiring and purchasing a car. It is, however, much easier to purchase a vehicle using car loans rather than trying to pay outright due to how expensive vehicles are in the city.
