It’s no secret that cost-of-living pressures are on the rise, with RACV’s latest Annual Driving Cost Survey explaining the extent – in quantitative terms.
The latest iteration of the motor club’s more than 50-year-old annual survey shows that once again Core MG 3 is Victoria’s cheapest new car to own and run.
But the running costs reported in the most recent survey are $100 per month higher than last year’s survey – the equivalent of a minimum 17.5% increase in running costs over the same period alone. 12 month period.
There are 11 vehicle types and more than 80 vehicle models included in this year’s RACV survey. Victoria’s cheapest car to own and operate, best selling car Core MG3 The lightweight bunker, which counts as a cost to car drivers, is currently $734.84 per month.
The MG3 core is closely followed by Kia Picanto WILL and (production is now discontinued) Suzuki Baleno GL, $746.31 and $804.87 per month respectively.
Last year’s ‘Car Operating Cost Survey’ found Victoria’s cheapest car, again the MG3 Core, costs $626.50 per month to own and operate.
Factor in the survey’s variables including purchase price, loan repayment, registration, insurance, fuel or charging costs, tires, maintenance and repair, and auto club membership – all averaged over 5 years.
Calculations from the survey are based on personal vehicle ownership and the average distance traveled by Victorian motorists, which is 15,000 kilometers per year.
James Williams, RACV’s head of policy, said the survey confirmed what Victorians will be acutely aware of – the cost of owning a car has risen across the board.
“It should come as no surprise to anyone that the cost of owning and operating a car has risen in line with the trends we have seen in fuel prices,” Mr. Williams said.
The survey found that fuel is the second biggest expense for car owners, accounting for 13%. The purchase price is the largest upfront cost, accounting for 80% of a car’s ongoing cost.
“When you take into account the increasing price of used cars and the improved fuel efficiency and safety ratings of new cars, there is a very good argument to take a close look at models with higher prices,” says Williams. more affordable than indicated in the survey,” Williams said.
Meanwhile, it is well known that the used car market has also spiked due to a lack of new cars, with transaction prices still 60% higher than pre-pandemic levels. according to this report.
Which says, New data from Moody’s Analytics showed used car prices fell for a fifth straight month and fell an average of 1.8 percent from September to October. But they are still 8.6% higher than last year and 1.7% higher. compared to early 2022.
