Life can be rather hard at times. It can also be full of wonderful adventures. It never stands still and is constantly evolving as we grow older. The vehicle you choose to have in your life is a result of your current conditions and the situation you find yourself in, but things can change, and often they do. What worked for you 6 months ago may not fit the bill anymore, so how do you go about adjusting to a lifestyle change or an alteration of your personal circumstances?
Related: Should you use cash or savings to buy a car
These changes don't always have to carry a negative connotation. An increase, promotion, new job or the arrival of a little bundle of joy can all signify a welcomed change in one's life. In order to make the best decision going forward, it's handy to consider the following key points.
Downscaling
Hard times are, as the name suggests, never easy. They will test you and try you but you've made it so far, so why shouldn't you make it through this as well? Life will sometimes throw us an unexpected curve ball, and it's how we react to these challenges that determine how well we come out on the other end of it.
Perhaps you've lost your job or you're in the unfortunate position of getting divorced. Maybe it's simply a change in job that means you're having to travel further to work every day. Whatever the situation, it's important to remember the following:
- Be honest with yourself
Sit down and take an honest look at your finances. Calculate what you can afford and remember to include all your expenses. Do it and then do it again. Only when you are absolutely certain with your final amount, can you make a responsible decision going forward. You won't be cheating anyone but yourself if you're not honest about it.
- Avoid brand bias
This is a big one in South Africa. Cars are regarded as status symbols and we find ourselves gravitating toward the premium makes. These premium makes also cost more to maintain and repair. Steer clear of the BMWs, Mercedes-Benz', Audis and even the VWs and look at something that you possibly haven't considered. You'll often find the same amount of features for a lot less.
- Do your homework
There's no point in climbing into a cheaper, more affordable vehicle if the reliability is going to suffer. Look through our articles to find out which vehicles are cheaper to service and what they cost to maintain. Call up a dealership and ask what the average service costs are and what basic parts cost; items like brake pads, shock absorbers, clutches.
- Factor in fuel
A more affordable vehicle should also be lighter on fuel, otherwise, you're just doing yourself an injustice. Don't be scared to switch to a smaller engine - modern technology means that smaller engine make more power these days and still manage to return excellent fuel economy.
Levelling up
Getting that new job or that promotion is an exciting event. You feel on top of the world and want to celebrate. A new car is a great way of doing this but the excitement can be short-lived if you don't do it right. Very much the same consideration needs to be taken when looking at upgrading and changing cars.
- Assess your needs
Maybe it's not a new job and rather a new family member. Switching to a different car because a kid is on the way is a very common reason for changing cars. Make sure that whatever you're considering buying will be in the best interest of your future needs, not just those of the moment. Make sure that the safety rating of the vehicle is good, and that it has enough space for all the prams, bags and child seats.
- Stay humble
You may want to try and make a statement but statements cost money. There's the old saying that says; "The best car is a paid-off one". If there's no immediate need to change your car, you will be able to enjoy the additional money every month without it all being wasted on a new car, especially if your old car wasn't problematic. More often than not, a new car is a want, not a need.
- Calculate your affordability
If you're dead set on getting a new car, do careful calculations to see what your true affordability is. Factor in the higher insurance, the additional coverage required and possibly even the additional fuel usage if you're going to a larger engine or more powerful offering.
- Be patient
You may just have started that new job and things are going well. All new brooms sweep clean, but after a while, things may not seem as rosy. We highly recommend waiting at least a few months to see if things pan out. If you're on a probation period, wait until you sign a permanent letter of appointment before committing to long-term purchases. The position you're in right now may not be the position you're in, in 12 months time.
