Need Help Buying a New Car (Budget $20k)

nova2k on 23/08/2021 - 08:11
Last edited 23/08/2021 - 11:31 by 1 other user

Hi all,

I'm looking to purchase a new car for small trips such as school drop-off/pickup and grocery shopping. I'm located in Brisbane.

Currently, there're two cars on my watchlist:
Kia Picanto S Auto 2021 - $18,990.00 Drive Away
Mitsubishi Mirage LS Auto 2021 - $19,990 Drive Away

Both cars are packed with similar safety features like AEB with Forward Collision Warning and their fuel consumption is about the same.

The Picanto has more modern look in and out. 7 years warranty with unlimited Kms. $1000 cheaper.
The Mirage has 10 years warranty or 150,000 Kms with cheaper capped price servicing for 10 years. A little bit higher ground clearance (160mm vs 140mm).

I've never purchased a new vehicle before and I plan to pay with my Amex this time. Anyone knows a car deal who accepts Amex around Brisbane and Gold Coast?

Any advice or suggestions would be greatly appreciated.

Edited: changed from Suzuki to Mitsubishi. I was looking at the Suzuki too :)

Automotive Car

Comments

  • Euphemistic on 23/08/2021 - 08:18
    +11

    You sure it’s a Suzuki mirage?

  • pharkurnell on 23/08/2021 - 08:35
    +7

    Buy the Suzuki mirage … you'll have the only one on earth and will be worth a fortune one day

    • SF3 on 23/08/2021 - 08:58
      +3

      It's a mirage or "is it legal to swap badges"?

  • jonagrah on 23/08/2021 - 08:36
    +5

    Also checkout the Hyundai Yaris & the Toyota i20.

    • GoldenDragon888 on 23/08/2021 - 09:05
      +1

      I want a Holden Camry, Holden Corolla or maybe a Toyota Commodore. ;-)

      • skid on 23/08/2021 - 09:12

        Not exactly a Holden Camry, but there's a Camry Astra here.

      • scotty on 23/08/2021 - 09:37
        +5

        Back in the day there used to be Holden Apollo and Holden Nova that are actually Camry and Corolla…

        • jonagrah on 23/08/2021 - 09:48
          +2

          Don't forget the Toyota Lexcen!

        • GoldenDragon888 on 23/08/2021 - 10:47

          I thought the people who knew this would also see my winky face.

        • [Deactivated] on 24/08/2021 - 00:50
          +4

          Prob the most reliable holden ever made

    • 82norm on 24/08/2021 - 09:33

      Good luck finding a base model Yaris under 20k.

  • dasher86 on 23/08/2021 - 08:53
    +11

    Expect a massive CC fee on top for Amex if anyone accepts

    • spackbace on 23/08/2021 - 09:21

      Yep, 2-3% I'd be guessing, so could be up to $600

  • BOGOF on 23/08/2021 - 08:55

    I plan to pay with my Amex this time

    I've paid deposits with dealers with Amex/Visa/MCard, but whenever I've offered to pay the balance they always included their merchant fee…..which is fair enough.

    So, yes most dealers will accept card as payment but expect to pay their merchant fee. Amex is typically 1.5%.

    • dasher86 on 23/08/2021 - 09:21
      +1

      this seems to be normal practice to secure the sale.

      • Ade99 on 24/08/2021 - 08:10

        I have paid a deposit with out any extra fees on AMEX. However like paying in cash they prefer bank / osko transfers for the maon payment

  • Tovers93 on 23/08/2021 - 09:25
    +5

    For such minimal use, is it really worth spending $20k on a new car?
    Is there a chance you'd be better off with a 2nd hand Yaris / i20 / similar or even GoGet?

    • netjock on 23/08/2021 - 10:09

      GoGet?

      If OP lives near a car share scheme given it is time based and if there is kids in car seats probably not ideal.

      Do agree with second hand idea but not sure the state of the second hand market right now.

    • nova2k on 23/08/2021 - 11:28

      Hi Tovers93, I've replied to dchurch1 below.

      "I don't mind a good used car and I've been looking at carsales too but even 10 year old hatchback are usually > $10k price tag. Their safety and reliability also a question. I'm no mechanic and I don't want to end up buying a lemon. So in my case, a new car seems to be a better bet."

      It's not actually minimal use. I've recently moved house and my kids school is now 18Km away and they don't want to change school.

      • Euphemistic on 23/08/2021 - 12:11
        -3

        Kids change school all the time and they survive. If you are going to stay where you are you’d be better to bet the bullet mad change schools. Overall it just makes it easier, especially when they socialise outside school.

  • Euphemistic on 23/08/2021 - 09:28
    +2

    I’m guessing it’s mean to to be a Mitsubishi Mirage.

    Drive both, pick one YOU like. There probably isn’t much between them in spec. Both are built down to a price. Both have a decent warranty economy and you point out. Both reasonably reliable brands, just not ‘cool’. $1k over 5 wars of ownership is nothing, they’ll both likely from the same amount in depreciation.

    Use your own criteria to choose. Might be your favourite style, better sales person, favourite colour or the drive. WE don’t have to like it for he same reasons, WE don’t have to drive it.

  • coffeeinmyveins on 23/08/2021 - 09:47

    I'm looking to purchase a new car for small trips such as school drop-off/pickup and grocery shopping

    Why a NEW car? Can you get a second hand one that is half the price?

    • nova2k on 23/08/2021 - 11:08
      +1

      Hi dchurch1, I don't mind a good used car and I've been looking at carsales too but even 10 year old hatchback are usually > $10k price tag. Their safety and reliability also a question. I'm no mechanic and I don't want to end up buying a lemon. So in my case, a new car seems to be a better bet.

      • dazeet on 24/08/2021 - 22:24
        +3

        Good evening nova2k,

        If it is my $20k, and I do value reliability, longevity, and both active and passive safeties, then I would look at a well maintained used Mazda 3 BM or BN series, well before any light cars, even if they are new.

        You may have great situational awareness as you drive, but watch some Dash Cam Owners Australia crash compilation videos of inattentive drivers rear ending other vehicles, and think of the lack of passive/crash safety if - God forbid - you and your loved one(s) seated in the second row become one of their victims, especially in a light hatchback with no "tail". Or any other kinds of collisions, for that matter!

        We can't completely prevent other road users from crashing into us. But we can try to make wiser choices so the odds are stacked more in our favour if and when it happens.

        Even just looking at the passive safety for the driver alone based on real world crashes, the Used Car Safety Ratings (UCSR) for light cars are generally far from great. See here for the latest result: https://roadsafety.transport.nsw.gov.au/downloads/ucsr-2020.…

        Car makers need to make money, and ultra high tensile steel costs money. How much of the safer but costlier metal do we think a car maker will use in their light cars in order to keep their weight down (aka at the bottom of the food chain - everything else is pretty much bigger and heavier!) and still make money at their price points? And still spend money to not skimp on, say, passenger compartment structural strength and brakes, provide factory wear and tear items that are good quality and last a reasonable distance when not abused, and properly tune their suspension and active safety systems to work harmoniously and seamlessly to help (and not work against) the driver in getting out of tricky situations?

        BM and BN Mazda 3s are rated 4 stars out of 5 UCSR. It is a far more substantial vehicle, and its dependability is quite proven. With your relatively low km/year, is the safety of you and your loved one(s) worth spending the equivalent of a few more cups of coffee each week for re: fuel costs?

        In terms of body styles, I would pick sedan over hatch for its superior rear rigidity and lower noise vibration and harshness (NVH) levels, thanks to a longer "tail" and a fixed rear glass and parcel shelf. And whatever items you'll need to remove the hatchback's parcel shelf to fit vertically, should fit horizontally inside the sedan's boot without having to move the child seats and fold down the second row seat backs so everyone can look in and see what you are carrying. But take the items you usually need to carry and/or take in and out with you to your first inspection/test drive, and see which body style works better for you.

        Seriously, this is what I would do:
        * watch this: https://youtu.be/9GCkAhaiKkE. Please note that when they talk about passive/crash safety, they are talking about ANCAP and not UCSR. Pretty much everything is 5-star ANCAP - UCSR is what you really want to separate the wheat from the chaff! E.g. the Corolla of similar vintage has half the number of stars for UCSR because they persisted with an aged platform/chassis until the current MZEA12R series that is outside your budget (and no UCSR rating as yet for that shape/generation);
        * if you agree with all of the above (both the video and my info so far), work out if you want the sedan or the hatch;
        * pick a few within your budget that looks OK in the ads and has full service history, with tyre brands that you recognise;
        * try to arrange your inspections to all happen on the one day/weekend so you can test drive them all and suss them all out back-to-back, so their differences are more marked and less likely to be subjective/placebo etc.
        * pick the one that is noticeably and objectively in the best condition for the price i.e. least worn out e.g. the strongest and quietest drivetrain without funny noises especially when going over bumps, not pulling to one side when you try to drive/brake in a straight line etc. Please note that cars cruising at constant speeds have roughly 10% the wear of stop-start cars over the same distance (according to Scotty Kilmer), so don't be surprised if a higher km car can be cheaper and in better condition than lower km ones;
        * pay someone like www.stateroads.com.au to comprehensively pre-purchase inspect the best one. It will be some guarantee against expensive repair bills, and will also give you an idea of how long before the tyres and brake pads need replacing, for instance. It will help you negotiate the final buying price if there are minor or wear and tear things that need fixing. If the inspection report reveals some nasty surprise(s), rinse and repeat for the next best one. In my view, better to spend hundreds than be stuck with a neglected one and pay thousands later. But generally one should get there after the first two at most, for a Mazda 3 of this vintage.

        Hope this helps. Let us know what you decide to do, and how you go.

        P.S.: Perhaps start off by going and inspecting within your budget, a new Picanto, a new Mirage, and a well-maintained used 3 back-to-back, ideally carrying roughly the number people and/or amount stuff that you usually carry, and see which one suits you and/or you like the most. Then narrow things down and continue from there.

    • ColtNoir on 24/08/2021 - 08:55
      +1

      Have you seen the second hand market lately? My 2 year old CX-5 is selling for the same price I purchased it for.

      The semiconductor shortage is really keeping prices up.

  • YRT on 23/08/2021 - 10:11
    -4

    If I had $5k more, I'd definitely consider MG ZST or Haval Jolion.

    We have a Haval H6, it's a very good car to us, coming from VW and BMWs.

    • Euphemistic on 23/08/2021 - 10:17
      +1

      Resale is questionable on these. Depreciation hurts.

      • YRT on 23/08/2021 - 10:21

        Who cares. 7 years warranty means cheap motoring, that's all it should matter.

        Plus, in terms of reliability Haval is the Toyota alternative in China. Once they build a decent reputation here, their value should hold quite well 5 years down the track.

        • Euphemistic on 23/08/2021 - 10:27
          +3

          Who cares. 7 years warranty

          You might not, but most people will consider the total life cost of the vehicle, while will include the value at trade in time. Also just because it is a long warranty doesn’t mean it won’t spend comparatively more time in a workshop getting repairs done.

          Previous iterations of Haval, ie Great Wall, have a ‘cheap and throwaway’ reputation. Their second hand prices are very low.

          Once they build a decent reputation here

          That’s the thing. They haven’t proven yet and people will be wary of buying a second hand one so prices will reflect that.

          • YRT on 23/08/2021 - 11:10

            @Euphemistic: Your logic is sound.

            However, bear in mind once Haval becomes a proven brand, so will it's price and market positioning. You will not have a bargain by that time.

            You ask yourself: are they fundamentally good cars, or are they rubbish? Do you have data to backup your view?

            Most people cannot see a bargain even it's right in front of them. Feel free to be one.

            :)

        • spackbace on 23/08/2021 - 11:41
          +3

          7 years warranty

          You assume they'll be in the country that long ;)

          • YRT on 23/08/2021 - 11:54

            @spackbace: No reason to believe they won't. Their reliability is well proven in China by now, assume the same reliability for Australian spec, the warranty cost should be managable for GWM AU.

            If they were Lada, Fiat or Jeep and they offered 7 year warranty, I'd have a laugh.

            • spackbace on 23/08/2021 - 11:58
              +1

              @YRT: For WA in particular, there's only 1 dealership who sells the brand.

              All well and good having a 7yr warranty, but not great to deal with only 1 dealer if you need to claim

              • YRT on 23/08/2021 - 12:12

                @spackbace: There are probably 10+ dealerships in VIC with varying level of service. I'd not buy them if there was only 1 dealership here.

                Better solution: forget WA, move to eastern states ;)

                • spackbace on 23/08/2021 - 12:13
                  +2

                  @YRT:

                  Better solution: forget WA, move to eastern states ;)

                  Nah, I'm good without covid ;)

                • brendanm on 23/08/2021 - 13:30
                  -1

                  @YRT:

                  Better solution: forget WA, move to eastern states ;)

                  WA is the best state in the country.

  • pegaxs on 23/08/2021 - 10:23

    Get a near new or demo model. Does it have to be new? You could save another few thousand by just buying something that is 12 or less months old. Let someone else eat the “dealer delivery” charge.

    And do you mean the Mitsubishi Mirage or the Suzuki Swift/Baleno/Ignis?

    • nova2k on 23/08/2021 - 11:15

      Hi pegaxs, yeah I've been looking at demo but the price different to a brand new car is not very attractive. Only around a few hundred dollars to $1k different.

    • spackbace on 23/08/2021 - 11:42
      +1

      You could save another few thousand by just buying something that is 12 or less months old.

      Not in the current market you couldn't

      • pegaxs on 23/08/2021 - 13:55

        You could get a Picanto S new or a GT Line with under or around 10,000km and 12 months old for the same price or even less. More car, less price. Can’t tell me that isnt saving a thousand or two…

        • spackbace on 23/08/2021 - 14:36
          +1

          New S Auto - $18,990 d/away
          New GT-Line Auto - $20,490 d/away

          Cheapest 2020 GT-Line in the country - $19,164 d/away

          You could save another few thousand

          Not in the current market you couldn't

          • pegaxs on 23/08/2021 - 16:08

            @spackbace: That's literally a better spec vehicle and is $175 more than a new S and $150 away from being $2,000 off the new price (Being metallic grey adds another $520+ to your quoted drive away price.)

            From the Kia website, a Metallic Grey GT Line auto Picanto comes in between $21,048.13 and $22,636.30 then subtract your $19,164 quote for a saving of $1,884 ~ $3,472

            I don't know about you, but it sounds pretty close to saving "a few thousand" to me. And OP would literally get a much better spec'd out vehicle for less than $200 more if they were willing to put up with a few km and it being a year~ish old.

            • spackbace on 23/08/2021 - 16:27
              +1

              @pegaxs:

              From the Kia website, a Metallic Grey GT Line auto Picanto comes in between $21,048.13 and $22,636.30 then subtract your $19,164 quote for a saving of $1,884 ~ $3,472

              You missed that they're on a drive away campaign, hence my initial pricing in the post - $18,990/$20,490 d/away

              So no, you're not saving "a few thousand" by buying 1yo. You're saving $1,326… woop de doo lol

              • pegaxs on 23/08/2021 - 17:54

                @spackbace: Saying this on the same site that were users go apeshit for $3 coupons from a shit company that uses a colander as their basis for securing users private data, I’m pretty sure that $1,326 is not too bad. And outside of “coupons” time, it’s a $3,472 saving.

                And every dollar that is in my pocket is better than an extra dollar in some arsehole dealers pocket. One less ivory back scratcher for the DP’s downstairs toilet on their mega yacht. :P

  • brendanm on 23/08/2021 - 10:27
    +1

    I'd get a picanto gt just because they look cool.

    • pegaxs on 23/08/2021 - 10:41
      +1

      OMG! Same… Not the GT Line either, but the proper GT. 1lt of 3 cylinder turbo charged fury. The engine sounds like a box of angry bees when it's being pushed. I thought about updating the Fiat to either a used Abarth or a new Picanto GT.

      • brendanm on 23/08/2021 - 10:42
        +1

        I think it'll be one of those things to keep an eye out for at the auctions, I reckon it would be a hoot as a cheap track car.

  • sien on 23/08/2021 - 10:33
    -2

    This isn't bad:

    https://www.carsales.com.au/cars/details/2017-suzuki-baleno-…

    2017 Suzuki Baleno GL Auto
    $11,490*
    Excl. Govt. Charges
    28,000 km
    Hatch
    Automatic
    4cyl 1.4L Petrol

    Take the rest and save the money. 28K on a car is very little.

    • nova2k on 23/08/2021 - 11:10
      +1

      Hi sien, from what I can see, the car you've suggested is on WOVI.

  • TwentyTwoCarats on 23/08/2021 - 11:19
    +1

    I would recommend a new Suzuki Baleno GLX if you can go up to 21-22k. They are fantastic.

  • jaffar on 23/08/2021 - 11:30

    Picanto out of the two.

  • Drakesy on 23/08/2021 - 11:32

    Kia any day of the week.

    But i'd go second hand if i had the choice given you won't be taken to the cleaners on parts for either.

  • Slippage on 23/08/2021 - 12:19

    Serious question, why do you want to pay using Amex?

    • nova2k on 23/08/2021 - 12:45

      Hi Slippage, to earn Qantas reward points plus purchase protection. But it looks like the surcharge will outweigh the benefits.

      • pegaxs on 23/08/2021 - 14:30
        +1

        Amex Purchase Protection? So if you lose the car, damage the car or have it stolen, they'll give you $500? Might need a bit more than that to replace the car.

        • nova2k on 23/08/2021 - 16:07

          Well if there was no surcharge then I would not mind that tiny bit extra plus the points. It's the Ozbargain way, isn't it :D

  • ShannonN on 23/08/2021 - 16:10

    if you need to buy a new car to play taxi to kids; in a small car will (all) the kids fit in, incl. friends cadging a lift? Shopping save 20k and shop online and get delivered?

  • md333 on 23/08/2021 - 16:41

    Definitely test drive, we thought the Picanto looked good until we drove it. Old fashioned 4 speed auto with small engine was horrible. I thought the alternative with CVT (like the Mirage) was much better. But some people hate CVTs, so you probably need to try them yourself.

  • Cheeper on 23/08/2021 - 18:22
    +1

    Go in and offer them $18k for this. It may use a little more fuel than a tiny car but in the long run it will be much better… and safer than a very small car if someone ploughs into you…
    https://www.carsales.com.au/cars/details/2016-toyota-camry-a…

  • ColtNoir on 24/08/2021 - 08:58

    Before making a decision, double-check the servicing requirement from the Mitsubishi. For this 10 year warranty I believe I've read some strict conditions such as servicing at the place you purchased it, rather than just any Mitsubishi service centre.

    While this might seem fine in the short term, what if you were to relocate >1hour away. It would make servicing a massive pain and a potential waste of warranty.

    Again, double-check all of this, as I'm going off memory of other posts.

  • Pluto88 on 24/08/2021 - 09:03

    new id get the picanto but id only by the mirage second hand, they deprecate much faster.

  • OzHunterNSW on 24/08/2021 - 10:31
    -2

    I don't think either car will make the 150k mark, so forget about that.

    You seem to be on a budget, and it is in "servicing" that the sale's yard makes their money.

    You aught to look at service intervals.

    And lastly, you will never make the 150k in simple trips to school, shopping, etc. Look for build quality.

  • HeWhoKnows on 24/08/2021 - 11:59
    -1

    $20K does buy much
    Both cars not the best choice unfortunately

    What about Hyundai?

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