How Much Should I Spend On My First Car UK?

How much should I spend on a car UK?

If this sounds like you, it’s best to spend about 20 to 25 per cent of your total annual income on a new car.

Using the average UK salary of £26,000 per year, this gives you about £6,500 to spend on a new car..

How much should I spend on my first car UK Reddit?

My first car was a used focus that cost £500, nothing great but reliable and got me more used to driving on my own. Depends where your buying it from a dealer or random private seller then £1-2k is about right. From family and friends your initial £500-£1k is about right. No more than £1500.

How do people afford expensive cars?

If you do finance, keep the terms at four years or less. Banks and car dealerships keep on extending the terms of car loans. … Or pick a card that doesn’t depreciate as fast. … Luxury models cost significantly less when they’re used. … Avoid extended warranties. … Pick-up trucks and Japanese cars. … Rare cars. … Read more.

What is the best first car to buy UK?

The 10 best first cars on the UK market are reviewed below:Dacia Sandero.Volkswagen Polo.Hyundai i10.Toyota Aygo.Ford Fiesta.Fiat 500.Vauxhall Corsa.SEAT Ibiza.More items…

What is a good first car 2020?

The 2020 Toyota Camry scores a spot near the top of our ranking of midsize cars. It is the winner of both our 2020 Best Midsize Car for the Money and Midsize Car for Families awards. In addition to an above-average predicted reliability mark, it earns a perfect 10 out of 10 safety score.

What is cheapest way to buy a car?

What is the Cheapest Way to Buy a Car?Buy A Cheap Car With Cash. Probably the cheapest way to buy a car is always to pay cash. … Get Pre-approved If You Aren’t Paying All In Cash. … Research Your New Vehicle and Stay Flexible. … Find Out The True Ownership Cost. … Rent Before Buying. … Buy A Car At The Right Time. … Scope Out Old Car Inventory. … Consider Membership Warehouses.More items…•

How much should you spend on a first car for a teenager?

Generally, people are looking to spend under $10,000 on first cars for teens. New cars can be pretty expensive, but for a teenager you don’t need to break the bank to get a good first car.

What is the best first car to buy?

Best First Cars for TeensBEST OVERALL. Volkswagen Golf. See Photos. Starting Price: $21,805. … BEST MIDSIZE. Toyota Camry. See Photos. Starting Price: $24,565. … BEST SPORTS CAR. Mazda 3. See Photos. Starting Price: $18,990. … BEST ALL-WHEEL DRIVE. Subaru Impreza. See Photos. Starting Price: $19,355.

Is 10k too much for a first car?

For US, the general rule of thumb is to buy a car with sticker price no more than half of your annual gross income. But if you are making less than $50k per year, you’ll want to aim for 1/3 or a quarter of your gross.

Is 6000 too much for a first car?

So, if you make about $30,000 per year, you wouldn’t want to spend more than about $6,000 for your first car. This would buy a decent used car. Or, you could put a couple of thousand down and then make monthly payments. If you really want to splurge, you could spend about 35% of your annual income on a car.

Is 500 a month too much for a car?

The average new car payment in America has crept above the $500 per month mark for the fist time, settling in at $503, according to a recent study by Experian. And if that weren’t bad enough, the average length of a car loan now stands at 68 months.

How much money should I spend on my first car?

For many people, I think that will be between 10–15% of your income. So if you earn $25,000 a year, that’s going to be a high-mileage used car for $2,500–$3,000. If you earn $80,000, that’s a used car for around $10,000 or $12,000.

Is a Mercedes a good first car?

Everyone dreams that their first car will have the luxury and style of a Mercedes-Benz. But, a first-time vehicle also needs to be affordable and reliable. The Mercedes-Benz C-Class models combine luxury and style with affordability and reliability, making it a viable option for first-time car owners.

What is the safest car for a 16 year old?

Updated July 30, 2020Small carsModel yearsPriceHonda CR-V2015-16, 2019 or newer$12,200Mazda CX-32017 or newer$12,300Subaru Forester2016 or newer$12,500Nissan Rogue2017 or newer$13,40044 more rows

How old should a first car be?

It really depends more on the maturity level of the teen rather than the actual age. Some are ready at 16, some not until much later. You are, of course, not obligated to buy your child a car. It should be seen as a gift, a privilege, rather than something you must or should do.