[arunabh002]

First of all I would like to express my happiness of getting approved as a Team-BHP member! I discovered this forum recently and it is so good to see that there are people who love automobiles as much as I do (and even more!) and I can find all of them here.

Background
People (family and better half) say that car/bike is just a tool to get you from point A to point B.
The only vehicle I have currenlty is a 2019 Dominar 400 UG (long term ownership review coming soon) and I thoroughly enjoy each and every bit of being with her:
- When I am heading towards her in the parking lot and imagining what a good time I am going to have in next few hours
- Pressing the red button and hearing her bass heavy heart beat
- The feeling of being 'mightier' in the city among all the activas and splendors
- How with one little twist of wrist, I can overtake 99.9% of the vehicles on the highway
- How I have so much control and agility on the road (thanks to Pirelli and EBC)
- When I look back at her after parking
The amount of happines this vehicle generates for me is unbelievable. My mental health has significantly improved since I bought her.

Road trips are awesome but I believe that doing a road trip on a vehicle with which you are in love with doubles that awesomeness.
So no, I refuse to give in to the 'point A to point B' funda.

Now I am 29 and it is a time in life when I am planning to buy my first car. For past few years, I was set on Nexon Petrol (family purchased one in Dec 2020 and I love it!), the sensible, logical, VFM and safe (see what I did there) choice. I settled for this 'sensible' car because the car that could make me fall in love (like dominar does) is Octavia RS (I'll be happy with the current gen 2L Octavia too) and that car is well beyond what I can afford.
But something good happened recently: Skoda launch a mini octavia with a masterpiece of 1.5L engine which I CAN afford (I think?) and that Slavia 1.5 MT has stole my heart.

So now the dilemma begins:
Should I buy the car that has stole my heart for ₹20 lakhs or go with something which costs half and can deliver 80% of what the Slavia can in terms of specs and features, something like Nexon or Altros or even Tiago (yes, a lot of Tata because I am a firm believer in NCAP Ratings).

Here are some points that keep playing in my mind and I can't make a decision:
- Should I throw so much money at a depreciating asset at such a young age?
- If I buy the ₹20L Slavia, it will not hurt my investment plans or lifestyle, but the amount of liquid money I accumulate each month will reduce to 50% (for next 4 years) of what it is currently. Is that a bad financial move?
- If I buy something sensible for ₹10-12L , I think I won't feel the things my Dominar makes me feel. I'll treat it as just a tool and the only things I would enjoy on a car road trip are conversations with the passengers and the scenery. Is that so bad though?
- What is the point of making money if I don't buy things that make me happy?
- I intend to keep the car for 8-10 years - Slavia is future proof in that way in terms of reliability (manual gearbox, of course) and space (as family grows)
- I could imagine buying a small and cheap car for now and upgrading big in future but who knows what will happen in 5 years? What if this is the last ICE car I buy?
- Should I treat cars as tools and derive all the pleasure from motorcycles? For 20L, I can fund and upgrade my motorcycling happiness for a very long time.
- When I floor the throttle on that 1.5 TSI, will the feeling of "wow! this car is freaking amazing" trump the feeling of "damn, this car costs ₹20L"?
- Which regret will be more painful in the future? "I wish I had more money" vs "I wish I had more power.. (or boot space )"

I would love to hear what our BHPians would suggest I should do or think about this.

[AJ56]

To be honest, if I were you I’d consider pre owned cars as I just don’t find value in the new car market anymore (specially this side of 75L). Since you’re into cars and bikes I’ll assume you know your basics mechanically and have a mechanic who can do a through check for you before you put money down on the used car.

That being said, if you’re keeping it for 10 years+ it makes sense to buy new as you’ll get your moneys worth. Assuming a resale value of 6L, 14L spread over 10 years is 1.4L/year in depreciation, which is not bad at all if the car makes you happy.

148hp and 8.9 secs to 100 is not that great either, it’s not going to put a smile on your face like a true performance 250-300hp car will. Although I understand what one considers satisfactory performance is highly subjective and varies person to person.

There are two approaches you can take: buy the beater car now for 8-10L (again get a lightly used one to lower this cost further), and 5-6 years later buy a proper performance car, I’m certain the M340i’s being sold today will have good deals on them 5 years later in the used market.

Or, buy the Slavia 1.5 today and happily drive it for the next 9-10 years. Personally I’d pick the first one but hey everyone’s preferences vary. Cheers.

[IshaanIan]

I say go for it. I'm sure you bought the Dominar also disregarding several cheaper possibly more "sensible" options so if you can afford it and the Slavia really is something that does it for you, then why not? The automotive scene is only going to get duller atleast in the sub 20 lac segment so may as well pick up what you want to right now.

[Nissan1180]

Originally Posted by arunabh002

- If I buy the ₹20L Slavia, it will not hurt my investment plans or lifestyle, but the amount of liquid money I accumulate each month will reduce to 50% (for next 4 years) of what it is currently. Is that a bad financial move?

This is a significant risk. It may restrict you from other goals, and affect your response in financial emergencies. Four years is a long time to sacrifice for a car.

[GTO]

What car an enthusiast should buy is directly influenced by his / her income, NOT age. If one is early in the career with a humble salary, even a Swift can provide lots of giggles. If someone is making a crore / year, we can look at the German brands. So rather than age, I would say "what car" should be a component of "what income"- related thread 1 and 2. Personally, I tend to be conservative with big ticket purchases; if I can afford a Fortuner, I'll buy a Seltos or Thar. If I can afford an Octavia, I'll buy a Honda City.

Originally Posted by arunabh002

Should I throw so much money at a depreciating asset at such a young age?

Depends on how much money you are making, not the age.

You are clearly smitten by the Slavia 1.5L TSI and rightly so. It is one heck of a sedan, whether in the city or (especially) on the open road. Go for the Slavia 1.5L ONLY if:

- You will keep the car for 10 years. Read my thread on how a more expensive car can work out cheaper. In your case, keeping the Slavia for 10 years will work out cheaper than buying a 10 - 12 lakh car today, then upgrading after 5 - 6 years.

- You are in a career where growth prospects are good (and not - as an example - running a shaky business).

- Take a look at your finances again and ensure you aren't spreading yourself too thin. 20-lakhs is a lot of money.

- If either point 1, 2 or 3 aren't certain, then save money and buy something like an i20 N-Line. It's a misconception that you need to spend money to have fun in a car. I've enjoyed cars of all budgets - right from an S-Presso to a Creta 1.4L, from a Thar to a Ferrari, from a Grand i10 Turbo petrol to an M5. Related thread. I love cars, period. Give me a softly tuned Hector and I'll still enjoy the drive to Goa.

[karanddd]

As you describe yourself as a firm believer in NCAP ratings, you should probably wait for the Slavia to be tested before plonking money on it.

[AKSarkar1]

Originally Posted by AJ56

To be honest, if I were you I’d consider pre owned cars as I just don’t find value in the new car market anymore (specially this side of 75L). Since you’re into cars and bikes I’ll assume you know your basics mechanically and have a mechanic who can do a through check for you before you put money down on the used car.

That being said, if you’re keeping it for 10 years+ it makes sense to buy new as you’ll get your moneys worth. Assuming a resale value of 6L, 14L spread over 10 years is 1.4L/year in depreciation, which is not bad at all if the car makes you happy.

This is the perfect explanation to your dilemma. You can either go in for the Slavia brand new and drive it for the next 10-12 years (the car should last that long) or you can go in for a much cheaper pre-owned version of something that is maybe better than a Slavia e.g. a Jetta.

I completely mirror these thoughts, I have stopped finding value in the new car market when it comes to more generic/mass market offerings. I too wanted to go in for a new Slavia/Virtus but keeping this price in mind vs the offering, I just can't justify the costs because I have been a VAG India owner since the very first lot of Polos came out and for that kind of money I expect a Jetta type of car.

Although I just gave two options from my perspective, I hope this helps! Do make sure that you go your heart's way, the first car should always be that much more special, save the logic for the next couple of cars!

[CR07]

Originally Posted by arunabh002

If I buy the ₹20L Slavia, it will not hurt my investment plans or lifestyle, but the amount of liquid money I accumulate each month will reduce to 50% (for next 4 years) of what it is currently. Is that a bad financial move?

Car buying IMO, is never related to age. It's what you currently make and maybe even what you will be able to make during the life of the car with you.

By the above quoted statement, I believe you will be hurting your finances considerably. I will suggest you look at pre owned cars for now, and maybe 5-7 years down the line go for the car, that you really desire for!

Case in point- MYSELF! Pegged my dad to get a pre owned Ecosport S TDCI in 2020 June and got myself a pre owned Sonet IMT HTX Turbo Petrol in feb this year. Combining both cars, we saved a good deal of about 6L, if we were to buy these brand new! PS- Ecosport was 23 months old when purchased, while the Sonet was just 7 months!

[sunikkat]

If I were in your place and 20 lakhs is affordable, I would definitely go for Slavia 1.5. If you pick a Nexon now, after couple of years you might feel like upgrading. But Slavia with that 1.5 TSI is definitely a keeper and you should try to keep it for a longer period. After the warranty ends go for a remap, better suspension and alloys and you will feel like it’s a new car again.
You are anyway spending money, then as well increase your budget and spend on something that your heart likes, provided it’s affordable

[rkv_2401]

Originally Posted by arunabh002

- When I floor the throttle on that 1.5 TSI, will the feeling of "wow! this car is freaking amazing" trump the feeling of "damn, this car costs ₹20L"?

Why don't you take a test drive and find out?

[sunikkat]

Originally Posted by AJ56

There are two approaches you can take: buy the beater car now for 8-10L (again get a lightly used one to lower this cost further), and 5-6 years later buy a proper performance car, I’m certain the M340i’s being sold today will have good deals on them 5 years later in the used market.

The OP being from Bangalore, I doubt he will get good deals on luxury performance cars even after 5 years. And then the maintenance part

@ Mods: Sorry, by mistake created 2 posts. Can you please merge these.

[Sourav13in]

This is a very common predicament where a car enthusiast finds it difficult to decide the segment which he / she intends to target.
My personal opinion is to adopt the following strategies :
1. First of all decide your budget based on your income and possible expenditures which you might incur in the future. For example , in case some other big investments such as house etc. are schduled in the coming years, same shall be kept under consideration of budget and segment.
2. In case budget falls sort of the segment of choice, pre-worshipped vehicles of higher segment shall also be explored.

[Chugh_H]

My first post on this forum was about how I find it difficult to ‘justify’ a car purchase. I was in Bangalore that time and was trying hard to find reasons to spend on what I love. As a kid, I was crazy about automobiles and mobile phones, and spending 2 hours each day dreaming about how I’ll get the best ones when I start earning was routine. Honestly, I have no idea when did the middle class scare to spend big bucks got the best of me and I started chasing logic instead of dreams. Mind you btw, I was financially comfortable even then to afford a decent sedan / sub 4m crossover, I was even looking at options to invest in properties.
Anyway, fast forward an year and my then girlfriend convinced me to get one; we got ourselves a Ford Ecosport, with that lovely dragon series 1.5. I was 29 back then and I admit the one that pulled strings to my heart was much cheaper than the one you are considering. Do I regret though? No, In fact I consider it one of the best purchases I made (along with the Honda CB350RS I bought recently). If I was in your shoes, and let’s say was having a residual income of 60-80k after all my expenses & saving commitments, I would have got the Slavia. If you are in an industry / job profile that is in demand right now (Decision science or Analytics for example) and good at it, I’d say just get that car even if you have nothing left right now after your commitments.

You are obviously smitten by the Slavia and as someone once said ‘What is the point of making money if I don’t buy things that make me happy?’ If you are still confused, toss a coin and you’ll know where your heart is when you see the outcome.

[arunabh002]

Thank you everyone for sharing your experiences and viewpoints!

Reading the replies made me realize two things:

1. The best path for my finances and my heart would be to buy the Slavia 1.5 and keep it for 10+ years.

2. Although I can afford one, I am not financially 'comfortable' doing so at this point in time.

So I have decided to hold off buying a car right now as there is no 'need' currently and I will buy the one my heart wants after I get married in about a year or so. I would be much more comfortable spending that kind of money with a partner than all by myself

Thanks again for helping me make a decision!
I will definitely post about the Slavia 1.5 regularly once I bring her home

[ramnaresh_2000]

I think instead of putting 18L on a petrol sedan, it's better to go used car route and buy a decent 2.0L diesel engine vehicle. A used Harrier, Compass and Hector in diesel avatar can be found at 13-15L range depending on the condition. Nothing like driving a diesel on an open stretch of highway. Assuming you buy 18L vehicle and pay 3 lakhs as down payment and 15 lakhs as loan, at an interest rate of 7% you will be paying 2.82 lakhs interest in 5 years. The vehicle cost now is 20.82 lakhs. Resale of Skoda is no Maruti or Toyota.

A used Hexa which was the best vehicle from Tata (in my personal opinion) till date can be found for around 9-13L. The AT version is much better than the manual one. Just buy a hardly used new vehicle which is still under warranty, then buy extended warranty for peace of mind. Invest the saved money in shares or FD and save them for any long term uncertainties.

The price difference between petrol and diesel in my state is around 15 bucks, diesel gives more mileage. The maintenance of Turbo petrol and Diesel is almost same these days.

There is a stigma around used cars in India, however, when someone buys a used Range Rover suddenly this stigma turns in jealousy . Best of luck.