Hello everyone,
I'm on the hunt for my next car and could use some advice. My current vehicle is showing signs of aging (it's 11 years old) and the mechanic suggested that it's time for a replacement.
My employer offers novated leases and there's an appealing price for EV and/or PHEV cars, thanks to their exemption from FBT. I've narrowed down my options to a few choices within my budget (~200 PW), including EVs, PHEVs, and a traditional petrol car. Here they are:
- EV - BYD ATTO-3 Extended Range (53K) ~180PW
- PHEV - Ford Escape ST-Live PHEV (59K) ~200-210PW
- PHEV - Mitsubishi Outlander PHEV 5 seats (61K) ~ 200-210PW
- Petrol - Toyota RAV 4 (~44K) ~ 230 PW
- EV - Tesla Model Y (69K) ~ 230-240PW
My goal is to find a cost-effective, economical, and durable car that will ideally last for the next 10 years. I'm drawn towards a Toyota RAV4 EV, but unfortunately, it doesn't exist yet.
It's worth noting that I'm planning to buy the car at the end of the lease, which will be 3 years at the residual value (46.88% of the original price).
Each option has its own set of concerns, and I'm trying to weigh the pros and cons. Here are some of the key points I'm considering:
EV Concerns:
- BYD: While it's reasonably priced, it is a Chinese brand, and there's a stigma associated with the durability of Chinese-made cars. I'm worried it might not last 10 years, and if I decide to sell after 3 years (post lease), it might not recover the residual value (46.88%).
- BYD: The car has a smaller trunk than I'd prefer, and the warranty is fragmented, with different components covered for varying lengths of time. Additionally, BYD's local network of service/support is just starting.
- Upcoming EVs: Numerous promising EV models are expected to hit the Australian market in the next 12 months.
- EV Price: Prices have been trending downward, largely thanks to Elon Musk's influence, but this seems to have plateaued recently due to what appears to be an oligopoly in the market.
- Technology Advancements: There's a high chance of a major battery breakthrough in the next few years, which could make current EV technology obsolete, much like older iPhone models once a new one is released.
PHEV Concerns:
- Cost-Benefit: Is the additional cost of a PHEV worth it, especially when considering long-term durability and potential resale value?
- Future Regulations: PHEVs might lose their "low-emission vehicle" status soon, and their FBT benefits could disappear.
- Mitsubishi's Future: There's uncertainty about Mitsubishi's plans, as it has been pulling out of major markets like Europe, India, and China. It's unclear if they will maintain their quality as they seem to be targeting the economy segment.
Petrol Concerns:
- Price Fluctuation: Will petrol prices continue their upward trend? It's hard to say.
- FBT Benefits: Since petrol cars are not FBT exempt, I end up paying the same for a Toyota RAV 4 as for a base model Tesla Model Y, which changes the cost-benefit calculation.
So, I'd love to hear your thoughts on which option you would choose and why.
@Euphemistic: Meaning you can't reach my standards = failure on your part.