If you read The New Paper today (15 Jan 2015 page 4), there was a section that talks about the increase of COE for the coming months of February – April 2015. I still remember the last time when COE prices were around the $10k range, it was during the year 2005-2006. 10 years later, most of these vehicles sold during those period are due to expire. After doing a check on the January 2015 COE price on One Motoring , there will be at least double the no. of COEs for Cat A and Cat B vehicle.
Given that the price of the current Jan 15 COE is $66k+ (for CAT A), will we be able to see the COE to drop at least half? Well I guess that is what everyone hopes for. But then again if we apply the fundamentals of economics, price will still be depends on the Demand and Supply. I don’t remember we have a 5 million population back in 2005-2006, hence while the supply of COEs has at least doubled, the population of Singapore has doubled too.
Well I guess for those who are looking to buy or change their vehicles, probably its best to head down to any car dealer and start enquiring now. My view of an ideal and practical price for COE will be less than $40k for Cat A vehicle. Of course I would hope it will do down o $10k, but then buying a car in Singapore require some speculation skills. We won’t know for sure how much the price can drop, but before it starts rising back up again its better to get it than to regret it. Hence as long as the price drops to a comfortable range that you can afford, my advise is to buy and don’t hesitate.
Oh and if you decides to get a new one, you will need motor insurance quotes right? Well just contact me and I be happy to provide you quotations from my two partners, China Taiping and Tokio Marine. No obligation guys and don’t be shy to ask. Because if you don’t, you will never know which insurer will provide you the best coverage and premium for that particular model of you want.