Give Car for Uber/Ola/DiDi and Generate Passive income

zaki89 on 21/09/2019 - 09:41
Last edited 23/09/2019 - 12:07

I have pretty Excellent condition car Hyundai Elantra 2012 with just 22,000 kms but I don't use it anymore because I have HSV V8 car for my own use. I was thinking generate some passive income while I am not using that car for next 3 years. Through giving my car to someone who drive Uber / Ola / DiDi and pays me $200 per week as Rental income. Has Anyone done it before? What is procedure for this and what documents do I need for it or Is there any company who can do this for me?

FYI. I don't want to sell this car.

Automotive

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Comments

  • jimbobaus on 21/09/2019 - 09:48
    -2

    Pretty sure a 2012 car is too old to be used for most Rideshare services.
    Think its 5 or 6 years.

  • Ocker on 21/09/2019 - 10:35
    +2

    Check your insurance policy restrictions on using the car for such a purpose - probably not covered

    • zaki89 on 21/09/2019 - 10:44

      I will buy different rideshare Insurance for it.

  • Randxyz123 on 21/09/2019 - 12:43
    +8

    Why not sign up to car next door and similar sites instead? Basically air bnb for cars. With Uber the car will get driven a lot and you’ll have drunk people possibly spewing in there. You don’t want to deal with that.

    At least with car next door it’ll be a student or tourist driving it to the coast for a few days at the most.

    • zaki89 on 22/09/2019 - 17:01

      have you tried this before How much I could make monthly from it?

      • Randxyz123 on 22/09/2019 - 17:51

        No idea.

        I’ve got a mate who does it. It works alright. It doesn’t cost you anything to put your car on there.

  • Davo1111 on 21/09/2019 - 17:35
    +1

    probs worth reading how much you're going to get paid.

    It's an open market/low barrier to entry, so i'd expect the money to be quite small.

    FYI. I don't want to sell this car.

    I think you should.

    • RyanMK on 21/09/2019 - 19:51

      This. Is there a reason you're not wanting to sell the car?

    • H E B on 22/09/2019 - 14:42

      +1.

      So for $200 a week you are going to maintain and repair everything on that car which could be high mileage?

      If so, it doesn't seem like a bad deal at all for the person doing the rideshare. $200 a week rental unlimited ks.

      For you the car will depreciate a lot quicker. That and ongoing maintenace, rego costs not sure if you thought this through much…

    • zaki89 on 22/09/2019 - 17:00

      I can't sell it because company own this car and Company will take away this car anyway after 3 year and so I want to earn some money while it's sitting their in my garage.

      • Davo1111 on 22/09/2019 - 20:26

        3 years of depreciation and 3 years of rego, insurance/upkeep. Will be worth well over half the value of the car.

      • Euphemistic on 23/09/2019 - 05:30

        You have 2 company cars?

        • zaki89 on 23/09/2019 - 07:23
          -2

          I have only have one company. Other is HSV Supercharged v8. I prefer to drive HSV. I only used my company first two years since then it's been sitting in my garage. Company will sell these vehicle after 10 years of use.

          • bawdygeorge on 23/09/2019 - 07:48
            +1

            @zaki89: You’re going to rent out your company’s car?

  • zaki89 on 22/09/2019 - 16:59
    -2

    I can't sell it because company own this car and Company will take away this car anyway after 3 year and so I want to earn some money while it's sitting their in my garage.

    • Euphemistic on 23/09/2019 - 05:33

      So you have a company car that you drive that prevent you from using another company car? I don’t get it, why two cars belonging to s comsny?

      Whet will the owner of the car think of you renting it out to someone else? Let the company store it somewhere else.

      • zaki89 on 23/09/2019 - 07:22

        I have only have one company. Other is HSV Supercharged v8. I prefer to drive HSV. I only used my company first two years since then it's been sitting in my garage. Company will sell these vehicle after 10 years of use.

        • Euphemistic on 23/09/2019 - 07:42
          +2

          Still doesn’t make sense. You own the HSV and prefer driving it and the company owns the Hyundai?

          If you don’t drive the Hyundai and the company owns it, tell them to take it back. I can’t see a company allowing you to rent it out unless it is some dodgy company tax dodge vehicle. Normally a company provides a vehicle so you can use it for work and ‘reasonable’ PRIVATE use, not using it for Uber, not renting it out, but taking it to he shops, beach, holidays yourself. Quite often they will stipulate who can drive it too, immediate family, or persons accompanied by you. Sometimes only fdully licences drivers.

  • HeWhoKnows on 22/09/2019 - 17:42

    3 years use of a company car.
    Just get rid of your car whilst you can get a good price for it.
    Over 3 years you will lose much more through devaluation and depreciation!
    Add the additional cost of wear and tear plus additional maintenance and ownership costs.
    JUST SELL YOUR CAR!
    Buy another car when you don't have a company car.
    Could be much longer than you think.

  • zaki89 on 23/09/2019 - 07:28

    If I can get $800 dollars a month then I can pay for Rego, insurance and maintenance. I can get back more money then value of this car over 3 years of time.

    • Euphemistic on 24/09/2019 - 12:14
      +1

      You aren’t going to get $200 per week for an old car when Splend charge $199 for a new one.

  • H E B on 23/09/2019 - 11:54

    Are you considering the value of depreciation in terms of repairs? More k's = parts break down quicker and more frequent services.

    In theory it sounds like a great idea! Try it and let us know how well it works out.

    I think you might on average be in a similar position financially but I wonder if it's worth the effort for the convenience of having an extra car.

    • zaki89 on 23/09/2019 - 12:05

      if you know about splend they are doing the same thing. Renting out vehicle for uber & ola.

      • H E B on 24/09/2019 - 07:47

        No I had no idea but sounds like a cool business model! www.splend.com.au/plans-pricing/rent/

        2017 Sportage for $199 a week part time sounds like you get a lot of support too and potential replacement car and insurance if something happens. I can see the appeal.

        Thanks for letting me know.

  • DavidG on 24/09/2019 - 21:34
    +1

    As an UBER driver myself, you probably want to think carefully about it. I own my own car (2013 Camry) and the costs you'll be up for based on use of around 20-25 hrs per week is as follows: Insurance ($1350 p.a. as you need ride-share insurance, not normal), and that assumes the person driving it has a perfect record, if not, cost goes up. And if they have an accident, good luck getting them to pay an excess to have your car fixed, as there is no real 'contract' in place with them. So if they do a runner, you're up for the cost yourself, and insurance wont cover you if excess not paid. You would need to pay the approx. $120 p.a. for registering the car as a passenger vehicle with the Taxi Directorate. Cost of maintenance around $500-600 per qtr, so between $2-2.4K p.a.. Tyre fitting & balancing average around $400-600 p.a.. Rego around $880 p.a. If the car is not yours but company owned, I doubt they would be letting a 3rd party drive the car anyway, but only you would know if that's the case. The driver would have to set up the toll account for your car, and if not done properly, or they decide not to pay, the car is registered either with the company or yourself, so one of the 2 of you receives the fines. Roadside assistance if required (another $100 p.a.). And probably most importantly, you'll have no chance of having someone interested in renting a car through you for $200 p.w. when they can get a new one for around $200 p.w. And if they are not making enough money from driving, you've got no chance of getting your money as they'll be paying petrol, car wash, and looking after themselves and rental/living expenses, yet you're footing the bill for all the vehicle overheads. So around $5100 expenses, for an income of say $7200 p.a. based on $150 rental income per week which is probably still on the high side given the Splend cost of $199p.w.. And massive financial risk on so many fronts, including if it doesn't work for them so they pull the pin, and you then need to keep changing drivers for insurance purposes. Not sure it's worth the risk, but up to you

  • zaki89 on 25/09/2019 - 08:39

    excellent explanation. I will drop this idea of renting that car.

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