Which car for someone with an income of Rs 2lacs per month EDIT: Decided on BMW 530D

ThE Godfather · 21st August 2009, 00:53

I am posting this on one of my friend.

He is earning some 2 lacs per month on a regular basis.

He's looking for a luxury car, particularly a Sedan, no defined requirements for a car.

City diriving, Status Symbol, Highway driving occassionaly can be put on the line.

Suggestions are welcomed

shankar.balan · 21st August 2009, 07:08

maybe he should consider the merc C Class - available now with the downpayment of about 5 lacs and the rest on progressive loan - first year monthly emi 45999, second year monthly emi 65999 and third year monthly emi 75999.

what he will get is a first class engineered vehicle and a truly solid, safe, enjoyable ride. Not to mention the understated elegance and status associated with the merc badge.

plus most importantly merc has been around so long in India that there will be no trouble with servicing, parts and so on.

cheers

Takumi-san · 21st August 2009, 07:09

I would so love to recommend a Skoda here. The Superb fits the bill perfectly. BUT as you may be aware of the problems that people have faced, you may want to avoid that.

MileCruncher · 21st August 2009, 07:42

With 24 lACS pa Income, I think your friend can afford the E-Class as well. Plus Ludhiana being the Merc Capital of the country, service should not be a problem.

Guna · 21st August 2009, 08:11

Quote:

Originally Posted by shankar.balan

maybe he should consider the merc C Class - available now with the downpayment of about 5 lacs and the rest on progressive loan - first year monthly emi 45999, second year monthly emi 65999 and third year monthly emi 75999.

Quote:

Originally Posted by MileCruncher

With 24 lACS pa Income, I think your friend can afford the E-Class as well.

Guys, are you very sure? 50 k out of 200 k going just towards car EMI in case of C class, and it will wipe out more then half of his income in case of E class!
I would imagine he can think up to Skoda Superb at the max.

sudev · 21st August 2009, 08:20

Why the income has to relate to car you have? If you want to make a statement buy one with max EMI.

My $0.02 worth - I would be happy to buy two or three vehicles with varying need / use approach than a single luxury car which will be driven by chauffeur most of the time.

That said I wonder if people who buy Merc / BMW are really able to enjoy them in traffic conditions of Ludhiana - potholes (or is it craters?), no wide roads, cyclists and autos vying for each inch of space....etc.....

JVH · 21st August 2009, 08:21

Toyota Corrolla Altis, VW Jetta top end models if not the Mercs.

Agree that he need not spend a lot just because he's got the income but what to do? We are all car nuts

.

Samurai · 21st August 2009, 08:21

Just a doubt, is this two lakh amount gross or net, I mean before deduction or after deduction? I am asking this because everybody is assuming after deduction.

NevGin · 21st August 2009, 08:28

My recommendation: BMW 320d/i. Solid driving machines with superb motors and driving dynamics and your friend has the added benefit of BMW secure which is basically a comprehensive car care plan which takes case or your car FREE for 3 years.

TCX · 21st August 2009, 08:38

How about a VW Passat? It's a wonderful car, at a reasonable price. But it won't have 'status' to that extent.

aneeshanand · 21st August 2009, 08:46

I recommend the Merc C Class. Go for it, you will have an enjoyable ride

shivshanker · 21st August 2009, 09:06

Any such recommendation should be based upon.

1. Proposed owner's age
2. Propencity to Change (Retention Period of the vehicle)
3. Financial Status, Net worth, Own House, Married working Spouse etc.
4. Self Driven .?

Etc.Etc.. There are lots of other parameters too, the above points should be kept in mind, while making any such decision.

After all we are talking about writing off over 50% of EMI Paid over 4 year peiod. Since your friend is a salaried man, there exists no TAX rebates for him.

Hence, if current financial status of your friend can permit a write off of over 3-5 lakhs a year and he has broken the glass ceiling (has arrived in life) then IMHO the salary can decide on the Car.

Else, there are plenty of options, ALTIS, ANHC, Fiat etc.

shatrughna · 21st August 2009, 09:23

Ask him a lot of questions about his inclination as to why he needs a car ( need)- for commute, distance covered, chauffeur or self driven, family size-( if he is married - first he must ask his wife), how much can he (afford to) pay for the car, how long would he plan to keep it and what he likes- a sedan or a SUVish vehicle? Does he have sufficient savings? a house? Buy on EMI - then how much downpayment?

Assuming that all the right questions are favourably ticked- then a lot many brands and models may be affordable at the income level quoted and some have been quoted earlier - from utilitarian to aspirational drives. IMO- Skoda Superb, Camry, Accord , Passat, Teana among sedans are targetted at such income group. Slightly higher - GV , Outlander, Captiva, Fortuner, CRV etc. may be considered in SUV.
My personal choices - since he can afford -would be VW Touareg, Q5/ 7 , X5, M series take anywhere, anyhow, self drive or chauffeur- choice is his.

vasudeva · 21st August 2009, 09:34

Two lakhs is the income, but what are the loans. I earn more than that, but have a home loan which takes away close to 44K (gross, but 24K after receiving rent). That seems a better use of the money for a hopefully appreciating asset than spending huge amounts on a depreciating asset, which however good it is, people get bored. Big factor: if he is from Ludhiana/Jalandhar/Punjab, then for many people there, spending/showing off a Merc gives greater short-term happiness.

If he has no loans, then even a Merc C-class/BMW should be affordable (my choice is BMW). However, equally important is what are his prospects for further increases in income. If he is confident, then go for Merc C Class/BMW. E Class will be too expensive to own and maintain.

From my experience, I have always bought a car assuming that my expenditure (and not income) will increase. That resulted in me buying a 800 standard, Zen LX, Corsa, and now Corolla. My viewpoint is to spend on this assumption only.

Equally important are what are his priorities in advertising his status. For example, many people do not mind spending >20K on a mobile after every 12-18 mths, but run away from spending 10-15K on a Prada/Armani etc eye/sun glass. 2 lakhs/month is a lot of money but better to put it in more productive uses than spending on a E class/5 series. Suggest an Accord or BMW 3 series for the best bang. Also Fortuner.

amitk26 · 21st August 2009, 09:35

Well lots of questions need to be answered before anything can be suggested.

1. Is this 2 lakh gross or net ? Is this 2 lakh a salary or agricultural / business income ?

2. What are his monthly expenses and responsibilities / liabilities and where he stays ?
In a city like Bangalore or Mumbai I am sure one can not maintain a merc in net income of 2 lakhs if he has a family.

3. What exactly he want from the car what kind of status symbol means status for him ?

My personal opinion EMI should not be more then 10% of the income.

21st August 2009, 00:53	#1
ThE Godfather BHPian Join Date: Oct 2007 Location: punjab Posts: 213 Thanked: 6 Times	Which car for someone with an income of Rs 2lacs per month EDIT: Decided on BMW 530D I am posting this on one of my friend. He is earning some 2 lacs per month on a regular basis. He's looking for a luxury car, particularly a Sedan, no defined requirements for a car. City diriving, Status Symbol, Highway driving occassionaly can be put on the line. Suggestions are welcomed
	() Thanks

21st August 2009, 07:08	#2
shankar.balan BANNED Join Date: Apr 2008 Location: Bangalore Posts: 11,368 Thanked: 23,138 Times View My Garage Infractions: 0/2 (8)	maybe he should consider the merc C Class - available now with the downpayment of about 5 lacs and the rest on progressive loan - first year monthly emi 45999, second year monthly emi 65999 and third year monthly emi 75999. what he will get is a first class engineered vehicle and a truly solid, safe, enjoyable ride. Not to mention the understated elegance and status associated with the merc badge. plus most importantly merc has been around so long in India that there will be no trouble with servicing, parts and so on. cheers
	() Thanks

21st August 2009, 07:09	#3
Takumi-san BHPian Join Date: Apr 2009 Location: Melbourne Posts: 368 Thanked: 121 Times View My Garage	I would so love to recommend a Skoda here. The Superb fits the bill perfectly. BUT as you may be aware of the problems that people have faced, you may want to avoid that.
	() Thanks

21st August 2009, 07:42	#4
MileCruncher Senior - BHPian Join Date: Jan 2009 Location: MH01 Posts: 4,235 Thanked: 589 Times View My Garage	With 24 lACS pa Income, I think your friend can afford the E-Class as well. Plus Ludhiana being the Merc Capital of the country, service should not be a problem.
	() Thanks

21st August 2009, 08:20	#6
sudev Distinguished - BHPian Join Date: Jan 2008 Location: Gurgaon Posts: 3,838 Thanked: 3,179 Times	Why the income has to relate to car you have? If you want to make a statement buy one with max EMI. My $0.02 worth - I would be happy to buy two or three vehicles with varying need / use approach than a single luxury car which will be driven by chauffeur most of the time. That said I wonder if people who buy Merc / BMW are really able to enjoy them in traffic conditions of Ludhiana - potholes (or is it craters?), no wide roads, cyclists and autos vying for each inch of space....etc.....
	() Thanks

21st August 2009, 08:21	#7
JVH Senior - BHPian Join Date: Aug 2008 Location: Bangalore Posts: 1,045 Thanked: 207 Times	Toyota Corrolla Altis, VW Jetta top end models if not the Mercs. Agree that he need not spend a lot just because he's got the income but what to do? We are all car nuts .
	() Thanks

21st August 2009, 08:21	#8
Samurai Team-BHP Support Join Date: Jan 2005 Location: Bangalore/Udupi Posts: 25,813 Thanked: 45,432 Times View My Garage	Just a doubt, is this two lakh amount gross or net, I mean before deduction or after deduction? I am asking this because everybody is assuming after deduction.
	() Thanks

21st August 2009, 08:28	#9
NevGin BHPian Join Date: May 2009 Location: Bombay Posts: 503 Thanked: 437 Times	My recommendation: BMW 320d/i. Solid driving machines with superb motors and driving dynamics and your friend has the added benefit of BMW secure which is basically a comprehensive car care plan which takes case or your car FREE for 3 years.
	() Thanks

21st August 2009, 08:38	#10
TCX BHPian Join Date: Apr 2006 Location: Bangalore Posts: 30 Thanked: 0 Times	How about a VW Passat? It's a wonderful car, at a reasonable price. But it won't have 'status' to that extent.
	() Thanks

21st August 2009, 08:46	#11
aneeshanand BHPian Join Date: Jun 2009 Location: Trivandrum Posts: 123 Thanked: 11 Times	go for it I recommend the Merc C Class. Go for it, you will have an enjoyable ride
	() Thanks

21st August 2009, 09:06	#12
shivshanker BHPian Join Date: Jul 2007 Location: Mumbai Posts: 345 Thanked: 201 Times View My Garage	Any such recommendation should be based upon. 1. Proposed owner's age 2. Propencity to Change (Retention Period of the vehicle) 3. Financial Status, Net worth, Own House, Married working Spouse etc. 4. Self Driven .? Etc.Etc.. There are lots of other parameters too, the above points should be kept in mind, while making any such decision. After all we are talking about writing off over 50% of EMI Paid over 4 year peiod. Since your friend is a salaried man, there exists no TAX rebates for him. Hence, if current financial status of your friend can permit a write off of over 3-5 lakhs a year and he has broken the glass ceiling (has arrived in life) then IMHO the salary can decide on the Car. Else, there are plenty of options, ALTIS, ANHC, Fiat etc.
	() Thanks

21st August 2009, 09:23	#13
shatrughna BHPian Join Date: Oct 2007 Location: Mumbai Posts: 894 Thanked: 68 Times	Ask him a lot of questions about his inclination as to why he needs a car ( need)- for commute, distance covered, chauffeur or self driven, family size-( if he is married - first he must ask his wife), how much can he (afford to) pay for the car, how long would he plan to keep it and what he likes- a sedan or a SUVish vehicle? Does he have sufficient savings? a house? Buy on EMI - then how much downpayment? Assuming that all the right questions are favourably ticked- then a lot many brands and models may be affordable at the income level quoted and some have been quoted earlier - from utilitarian to aspirational drives. IMO- Skoda Superb, Camry, Accord , Passat, Teana among sedans are targetted at such income group. Slightly higher - GV , Outlander, Captiva, Fortuner, CRV etc. may be considered in SUV. My personal choices - since he can afford -would be VW Touareg, Q5/ 7 , X5, M series take anywhere, anyhow, self drive or chauffeur- choice is his.
	() Thanks

21st August 2009, 09:34	#14
vasudeva Senior - BHPian Join Date: Mar 2007 Location: Delhi Posts: 2,221 Thanked: 212 Times	Two lakhs is the income, but what are the loans. I earn more than that, but have a home loan which takes away close to 44K (gross, but 24K after receiving rent). That seems a better use of the money for a hopefully appreciating asset than spending huge amounts on a depreciating asset, which however good it is, people get bored. Big factor: if he is from Ludhiana/Jalandhar/Punjab, then for many people there, spending/showing off a Merc gives greater short-term happiness. If he has no loans, then even a Merc C-class/BMW should be affordable (my choice is BMW). However, equally important is what are his prospects for further increases in income. If he is confident, then go for Merc C Class/BMW. E Class will be too expensive to own and maintain. From my experience, I have always bought a car assuming that my expenditure (and not income) will increase. That resulted in me buying a 800 standard, Zen LX, Corsa, and now Corolla. My viewpoint is to spend on this assumption only. Equally important are what are his priorities in advertising his status. For example, many people do not mind spending >20K on a mobile after every 12-18 mths, but run away from spending 10-15K on a Prada/Armani etc eye/sun glass. 2 lakhs/month is a lot of money but better to put it in more productive uses than spending on a E class/5 series. Suggest an Accord or BMW 3 series for the best bang. Also Fortuner. Last edited by vasudeva : 21st August 2009 at 09:42.
	() Thanks

21st August 2009, 09:35	#15
amitk26 Senior - BHPian Join Date: Jul 2008 Location: Bangalore Posts: 2,089 Thanked: 715 Times	Well lots of questions need to be answered before anything can be suggested. 1. Is this 2 lakh gross or net ? Is this 2 lakh a salary or agricultural / business income ? 2. What are his monthly expenses and responsibilities / liabilities and where he stays ? In a city like Bangalore or Mumbai I am sure one can not maintain a merc in net income of 2 lakhs if he has a family. 3. What exactly he want from the car what kind of status symbol means status for him ? My personal opinion EMI should not be more then 10% of the income.
	(1) Thanks

Thread Tools	Search this Thread
	Search this Thread: Advanced Search