Lauren | Feb 3, 2018 | 0
Car Finance for Expats in Australia
With the expensive cost of living in Australia today, it’s hard enough to purchase a car for your everyday Joe. Add in being an expat starting with a fresh credit score, and it opens a whole new set of complications to acquiring what is essentially a basic need in today’s world.
Although getting a decent car may be tricky to accomplish through traditional means, expats do have options to go about it.
Know Where to Look
The first step in your search for a vehicle is research. A good place to start is through the Internet. You’re going to want to plot which car yards you can realistically visit in a day as visiting multiple car yards in a day is no easy feat. The truth is that, as in many other countries, dealerships tend to set up shop on the outskirts of CBDs because they need larger lots to fit in a large stock of vehicles.
Doing thorough research will also allow you to find yards, dealers, and financiers who cater to your specific market. There’s no point in going to a dealership if they don’t cater to expats who may not have such a significant credit history in Australia. When you find an institution that will cater to your needs, then you can browse through a selection of vehicles that will suit your needs.
Where to Buy
As we mentioned in the beginning, you do have options when you finally want to buy a vehicle for you. The first choice would be to purchase through a private seller. While the advantage of this is that hardly any credit checks are done, the disadvantage comes when you realise that you’re going to have to handle all of the registration, roadworthy certificates, insurance, and all other paperwork needed to drive a car in Australia.
For the most part, these things are handled by car dealers. However, they’re more likely to bump up the price simply because you’re a new Australian resident. Car finance is also another option which handles all the paperwork and works similar to a leasing or rent-to-own car program. Bad credit car finance institutions in particular, are more lenient in their credit checking and offer lower repayment options to cater to that specific market.
Car Buying Tips for Expats and New Australian Residents
- Learn how to haggle.
As an expat you’re expected to pay more for a vehicle so learning how to negotiate for lower prices is crucial in the buying process. Take note that some dealers will bump the price 15% up the market price so that’s where you should start. Don’t be surprised if you find that the prices are raised when you get to the actual car yard compared to the published price on the Internet.
- Look for a yard that’s far from other dealers.
This would typically mean a car yard that lie in the rural areas. While some people would tell you stay away from them as their prices are typically higher than in places with loads of competition around, these people will probably end up working harder and doing more to get your business because they don’t have as many customers in their doorstep. This is compared to a larger car yard near the metropolitan area with a plethora of business on the daily. If you’re still not sure, just check the Internet for reviews. Read a whole thread of them to find out more about what the advantages and potential problems are.
The team at Alpha Finance provided Sydney Moving Guide the content for this post.
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