Total Cost of Buying my FIRST CAR in Canada | Canada Vlog | International Students | Canada

Summary

In this informative video, the host, Evans, shares his experience of purchasing a car in Canada, detailing the costs involved, including the car's price, taxes, registration, and insurance. He emphasizes the importance of winter tires for safety and compliance with insurance requirements, and discusses unexpected expenses such as tire installation and a battery booster. With practical tips on securing good insurance rates and managing fuel costs, the video serves as a comprehensive guide for potential car buyers in Canada.

Takeaways

• 🚗 The cost of purchasing a car in Canada can vary greatly depending on whether it's new or used and whether it's financed or paid upfront.
• 💰 The total car purchase price includes the cost of the car itself plus applicable taxes, such as the 13% GST in Ontario.
• 📋 Registration and number plate costs are often included in the car's purchase price when buying from certain platforms like Canada Drives.
• 🏢 Car insurance is mandatory in Canada and can be a significant monthly expense, especially for younger or less experienced drivers.
• 🎓 Having a longer driving history and taking advantage of discounts, like the University of Alberta graduate discount, can significantly reduce insurance costs.
• 🌡 Winter tires are essential and recommended for safety in Canada due to harsh winter conditions, and they may also be required by some insurance companies.
• 🔄 The cost of winter tires includes the price of the tires and potentially additional costs for installation and storage of all-season tires.
• 💡 A battery booster is a useful accessory for cars, especially in winter, to prevent issues with starting the car due to a drained battery.
• 🛣️ Fuel costs are a variable monthly expense that depends on the price of gas and the amount of driving done.
• 🔄 Additional unexpected costs can arise, such as the need for a battery booster or the costs associated with changing to winter tires.
• 👍 The video provides tips on how to get the best deals on additional car-related purchases and emphasizes the importance of planning for both expected and unexpected car-related expenses.

Q & A

What is the first major expense mentioned in the video script for buying a car in Canada?

The first major expense is the cost of the car itself, which depends on whether it's a brand new or used car, and whether the buyer is taking a loan or paying upfront.

How much did the car cost that the speaker bought in Canada?

The car cost the speaker around 14,000 dollars out of pocket, without taking a loan.

What is the approximate monthly payment if someone takes a loan for a used car around fifteen thousand dollars with an interest rate of 6.5 percent?

The approximate monthly payment would be around 460 dollars for a three-year loan.

What tax did the speaker have to pay on the car purchase in Ontario, and how much was it?

The speaker had to pay the Goods and Services Tax (GST) of 13% on the total purchase price of the car, which amounted to approximately 1,800 dollars.

Why did the speaker not have to pay extra for car registration or number plate?

The speaker did not have to pay extra for car registration or number plate because the car was bought from Canada Drives, an online used car platform, which included these costs in the purchase price.

What is the mandatory recurring expense for owning a car in Canada mentioned in the video?

The mandatory recurring expense for owning a car in Canada is the monthly car insurance payment.

How much does the speaker pay for car and renters insurance each month?

The speaker pays approximately 200 dollars every single month for both car and renters insurance.

What factors helped the speaker get a low insurance amount for their car in Canada?

Factors that helped the speaker get a low insurance amount include the age of their driver's license, a University of Alberta graduate discount, and signing up for an app that tracks driving behavior.

What is the approximate monthly fuel cost for the speaker, and how does it vary?

The approximate monthly fuel cost for the speaker is 125 dollars, but it varies depending on the cost of fuel at the time and how much the speaker drives.

What additional expense did the speaker incur due to the winter season in Canada?

The speaker incurred an additional expense of buying a set of winter tires, which cost around 650 dollars including the rims or wheels.

What was the unexpected expense related to car maintenance that the speaker experienced?

The unexpected expense was buying a booster pack for the car after the car battery got completely drained and needed a jump start.