Expert offers advice on what to do when buying a new car
SANDTON — 'The car we drive often reflects who the driver is'
With new graduates coming into the job market, many are now in the position of buying a new car.
However, first-time buyers are often baffled by all the choices.
Mike Whitfield, who is president of the National Association of Automobile Manufacturers of South Africa offers some advice. “A new car is at the top of the list of big-ticket purchases. It is generally the next most expensive item after buying property. Yet, we often don’t afford it the homework it deserves. Since I’m often asked for tips on buying a new car, I’d like to share some of them.”
He said it is important to focus on a specific budget. The more an individual can pay, the less the monthly repayment costs will be. This will also determine the length of the finance contract.
“You might want to consider leasing or residual options. The latter keeps the monthly installment cost down, but there’s a large balloon payment at the end. And then there’s the cost of insurance, which will depend on your age, your accident claim history and the value of the car.”
It is important to choose a car that suits the buyers’ individual needs. There is something for everyone in the world of cars, ‘from light commercial to sports utility, to multi-purpose vehicles’.
The car we drive often reflects who the driver is. “Some defining features are colour, design and technology tastes. So you can dress [your car] up or down. My advice is to choose a car you feel comfortable in and that expresses who you are.”
The running costs of the car should also be considered. He stressed that buying a car is a long-term commitment and that the purchase is just the first step. After that there will be visits to the dealership for regular services, possible repairs after the warranty or motor plan expires, or even an accident.
“So what you also have to keep in mind is the availability and affordability of parts. With rand volatility, the price and delivery time of imported parts can vary. South Africa-based brands often have a larger inventory of parts that may also be much cheaper if sourced locally.”
While shopping around for a new car, potential buyers are encouraged to check the after-sale service offers. With so much competition in the car industry, brands are enhancing their warranty and motor plans.
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