When your vehicle almost reaches the 10-year mark, the question you often ask yourself is: “Should I renew the COE or should I buy a new vehicle instead?”
If finance is not your concern, probably you would choose to buy a new one as who doesn’t want to ride around with the brand new motorcycle? However, with the rising cost of vehicle ownership in Singapore, COE renewal is a more affordable option for everyone.
With the COE renewal option, the owners can choose to extend the vehicle for 5 or 10 years depending on your intention to drive the vehicles. Unlike buying a new vehicle where you need to bid for a new COE and pay for the full price of the vehicle, you only need to pay for the Prevailing Quota Premium (PQP) when you decide to renew your COE.
The COE price keeps increasing as the COE quota for all vehicle categories shows the decreasing trend in the past years. Moreover, even though the COE price is high, you are not able to pay or renew the COE in installments. Fortunately, you can actually take financial institutions or bank loans (i.e DBS, Maybank etc.) to renew your COE. Unlike car loans when you can only loan up to 70% of the car price, you can take 100% for COE renewal.
Moreover, things get expensive than ever when the motorcycle COE price just hits an all-time high of over $9,500 according to the latest update. This upward trend of COE prices definitely worry both new and experienced riders, and seems like it doesn’t stop there.
So, it really depends on your current financial situation to decide if you want to renew the CoE or to buy another vehicle. The cheapest option for you is to renew for only 5 years and then export the vehicle at the end of its duration.
If this decision is too difficult for you, why not rent a motorcycle from AloRide for a commitment hassle-free.
At AloRide, you can rent a motorcycle as low as at $40 per day and $300 per month.