To Own (or Not to Own) a Car in Singapore

Despite being a small country, the sheer joy of convenience makes owning a car in Singapore one of the #lifegoals for many of us.

Car ownership in Singapore may be a mind-boggling process due to its complicated list of costs. However, we can easily minimise the confusion by making sense of the various costs involved and then decide if car ownership is the way to go for us.

Here’s a sneak peek at how much it costs to get your own car in Singapore:

1) Certificate of Entitlement

All vehicles in Singapore require a COE. To register a vehicle, you must first place a bid for a Certificate of Entitlement (COE) in the corresponding vehicle category. A successful COE bid gives you the right to own a vehicle that can be used on the road for 10 years.

2) Open Market Value (OMV)

The OMV of a vehicle is the price paid or payable when a vehicle is imported into Singapore. This is assessed by the Singapore Customs and includes purchase price, freight, insurance and all other charges incidental to the sale and delivery of the car to Singapore.

3) Additional Registration fee (ARF)

The ARF is a tax imposed when you register a vehicle. It is calculated based on a percentage of the Open Market Value (OMV) of your vehicle.