Buy a Car or Rent:
As the cost of owning a car continues to rise, many urban professionals are rethinking their choices. The decision is no longer as simple as Should I buy a car? but instead, Will I use it enough to justify the cost? With fluctuating fuel prices, rising insurance premiums, and long-term commitments, buying, leasing, or relying on ride-hailing services have become more complex options.

Buy a Car or Rent:

For people who commute 15,000 km or more annually, owning a car can make financial sense. The fixed costs of owning a car, such as loan EMIs, maintenance, and insurance, are spread out over your total mileage. This means, the more you drive, the cheaper the car becomes in terms of cost per kilometre.

For instance, if you buy a car like a Maruti Suzuki Swift and finance it for five years, you can spread out the costs of the loan, fuel, and maintenance, making it more economical for frequent drivers. If your daily commute requires travelling to multiple places or if you live in areas with unreliable taxi services, owning a car is often the better choice.

When Should You Rent a Car or Use a Ride-Hailing Service?

For those driving fewer than 9,000 km a year, ride-hailing services like Uber or Ola tend to be more cost-effective. Ride-hailing costs range from ₹20 to ₹22 per kilometre, and if you only travel short distances or need a vehicle occasionally, renting a car or using ride-hailing services can save you money.

In cases where you lack parking space or have frequent travel to different cities, renting or hailing a cab is a flexible and cost-effective alternative. This option allows you to avoid the fixed costs associated with car ownership.

The decision depends on your driving habits and lifestyle. If you drive often, owning a car is a more cost-effective choice, especially when you consider the long-term expenses. However, if you’re a light driver or need a vehicle occasionally, renting or using ride-hailing services can provide more flexibility and save you money. The key is to evaluate your usage carefully to make an informed decision.

Also Read: Top 10 Post Office Savings Schemes 2025 For High Returns

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