The Real-World Cost of Car Ownership in Singapore: By Venture Cars
Owning a car in Singapore is often considered a luxury, given the high costs of vehicle ownership. Beyond the initial purchase price, there are ongoing expenses that every potential car buyer should factor in before making a decision. As the saying goes: “Buying a car is easy, but maintaining it is hard.”
So, let’s break it down with some quick math, using the Honda Fit 1.5 Basic as a reference.
Upfront Costs
To start, the Honda Fit 1.5 Basic is priced at $133,088 (as of 3/4/2025). With a standard bank loan, you can finance up to 70% of the car’s cost, as its Open Market Value (OMV) is below $20,000.
This means you’ll need to make a downpayment of $39,926, with an estimated monthly instalment of $1,325.
Once you clear the first hurdle—coming up with $40,000 in cash—the next challenge is managing the various additional costs that come with owning a vehicle.
Insurance
By law, all registered vehicles must have valid insurance. If you’re thinking of buying a brand-new car, be prepared for a slightly higher annual premium compared to a pre-owned vehicle.
For context, let’s say you’re a 28-year-old single male with 10 years of driving experience, planning to buy a brand-new Honda Fit 1.5 Basic. The car won’t be registered as an off-peak car, won’t be modified, and you have a 0% no-claims discount.
According to FWD car insurance, the annual premium for a Honda Fit is $2,369.52, or about $197.46 per month, assuming you choose the most affordable third-party only policy.
These numbers should give you a better understanding of what to expect when it comes to vehicle insurance.
Road Tax
The annual road tax for a Honda Fit 1.5 Basic is quite affordable at $682 per year, or you can opt to pay $341 every 6 months instead.
Both car insurance and road tax are linked, meaning you’ll need to renew your insurance before you can renew your road tax.
Based on the insurance cost we mentioned earlier, you’ll be paying $3,051.52 annually—and that’s just for the insurance and road tax.
Season Parking
Season parking at HDB multi-storey carparks costs $110 per month, while surface or roadside parking is $80 per month.
At first, these amounts may seem manageable—but when you calculate the yearly total, the costs add up quickly. Sheltered parking totals $1,320 per year, while surface parking comes to $960 annually.
CashCard Top-ups
Beyond season parking, you’ll also need to factor in parking fees at malls, commercial buildings, and your workplace. Unless your company provides or reimburses parking, then you’re in luck!
Owning a car means driving after work and on weekends for errands, groceries, and more. For estimation, let’s assume you top up $200 to your CashCard each month.
If dollars and cents matter, you can do some research ahead of time and look for cheaper parking options through SGCarmart’s Carpark & Parking Rates Guide. It could help you save a bit more on every trip!
Petrol
With petrol prices at an all-time high, fuel costs become a significant factor in vehicle ownership. Since everyone has different driving habits and usage varies, let’s assume you’ll be driving 15,000 km per year.
The Honda Fit claims a fuel economy of 18.7 km/L. However, achieving this exact figure can be challenging due to factors like traffic conditions and driving style. So, let’s assume you manage to get 15 km/L.
To travel 15,000 km a year at 15 km/L, you’ll need 1,072 litres of fuel. With RON 95 petrol priced at $2.90/L (as of the date of writing, before any discounts), your annual fuel cost will be approximately $3,108.80.
If you’re looking to save on petrol costs, hybrid models could be a more wallet-friendly option. Want to learn more about hybrid vehicles? Check out our previous article for a deeper dive!
For the most up-to-date fuel prices, visit the Motorist website to easily compare pump prices.
ERP
Your ERP (Electronic Road Pricing) costs depend not only on your home and workplace locations but also on the time you commute.
For a more accurate estimate, visit the OneMotoring website, where an interactive map allows you to check ERP charges at different gantries throughout the day.
That said, most drivers can expect to budget between $50 and $100 per month for ERP charges.
Maintenance & servicing
With Venture’s 5-year warranty and 10 free servicing, your engine oil and oil filter will be covered, helping to reduce overall maintenance costs. However, it’s important to note that the free servicing only covers the fundamentals—wear and tear parts will still need to be considered separately.
Once the free servicing period ends, getting your car serviced at an authorised workshop every six months could cost between $200 and $300. To maintain your warranty, servicing must be carried out at an authorised workshop.
Miscellaneous charges
Beyond fuel, insurance, road tax, parking, and maintenance, it’s important to set aside extra funds for unexpected expenses.
Car grooming is unavoidable. Even if it’s just a monthly car wash at the petrol station. If you prefer to DIY, you’ll still need essentials like car shampoo, a bucket, a wash mitt, and a drying cloth.
Other potential costs include repairs for minor dents and scratches, new tyres, and battery replacements, which can add up over time.
For hybrid vehicles like the Toyota Prius in Singapore, it’s also worth considering the long-term cost of hybrid battery replacements — while infrequent, they can be a significant expense if not covered under warranty.
Costing Summary
In summary, here are the potential annual running costs of car ownership. These estimates provide a general guideline. Keep in mind that actual expenses may vary based on your driving habits and maintenance choices. Furthermore, it does not include the yearly depreciation for the vehicle itself.
| Expense | Cost |
| Car Instalment | $15,900.00 |
| Insurance | $2,369.52 |
| Road Tax | $682.00 |
| Season Parking | $1,320.00 |
| Cash Card | $2,400.00 |
| Petrol | $3,108.80 |
| ERP | $1,200.00 |
| Miscellaneous Expenses | $1,200.00 |
| Total | $28,180.32 |
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