r2i forum

After reading some posts on the topic of cost of living (here's an example http://www.r2iclubforums.com/clubvb/showthread.php?t=1875 ), I'm beginning to winder if it really makes sense to buy a car in India these days, especially if you are living in one of the metro cities. For example, an analysis of the posts indicates that one can spend anywhere from 20-25K per month (EMI + driver + petrol + maint) if you own a car. Given that you can rent a car with a driver for 8 hours for approx. Rs. 800-1000 per day (I'm sure if you rented by the month and shared with someone - carpool - it could be even cheaper), why would anyone buy a car ? For example, if there are 4 people working in an office, and you could rent a car+driver for Rs. 1000 per day and split the cost, your per head monthly cost would work out to Rs. 5K (assuming avg 20 work days per month). It could be even lower if you are in the IT field and the company pays for cab transportation if you work late. What am I missing here, other than the status and convenience factor ?

vishwaGhar;33997After reading some posts on the topic of cost of living (here's an example http://www.r2iclubforums.com/clubvb/showthread.php?t=1875 ), I'm beginning to winder if it really makes sense to buy a car in India these days, especially if you are living in one of the metro cities. For example, an analysis of the posts indicates that one can spend anywhere from 20-25K per month (EMI + driver + petrol + maint) if you own a car. Given that you can rent a car with a driver for 8 hours for approx. Rs. 800-1000 per day (I'm sure if you rented by the month and shared with someone - carpool - it could be even cheaper), why would anyone buy a car ? For example, if there are 4 people working in an office, and you could rent a car+driver for Rs. 1000 per day and split the cost, your per head monthly cost would work out to Rs. 5K (assuming avg 20 work days per month). It could be even lower if you are in the IT field and the company pays for cab transportation if you work late. What am I missing here, other than the status and convenience factor ?

I think you answered your own question.

Depends on the city, location where you live, work hours and family.

If you have a family and live in a place like Bangalore, a car can be helpful.. Particularly if you are living in the outskirts...

Remember, you can get a new car for 3Lacs also,drive yourself and keep your monthly expense to 5k. (usually the gas expense..). Driver is required to drop/pick kids from school and take spouse on shopping trips..

On the other hand, if you have no kids, a bike will be good enough.. Or you can depend on Autos in Bangalore if you live less than 5 kms from city/workplace... In bangalore, i use the autos unless i'm travelling with the whole family.

Delhi and Chennai - car may be a neccesity..

Bombay - Too much of a hassle to own one.

Hyd: No idea..

Good question.
In my opinion one does not need a car in india unless you are concerned about the status and other factors.
But the auto drivers are a pain if you have to travel from outskirts to the city and vice versa.
In chennai near my parents home every other guy has bought a car and most of them travel to work in a 2-wheeler.only on weekends they take the car out for family outing.
A nearby car rental guy has come with a innovative idea of renting these "idle" cars on the week days based on the customer request supplied with a driver.so i travelled on a toyota innova(sienna's indian sister),scorpio,Ford Ikon,Lancer on weekdays and maruti omni(non A/c):emcry: on weekends.This way their EMI,Car insurance cost etc is covered for the whole month.

i am trying to find a guy in bangalore who can give it on rent different brands of cars with a driver as and when needed.
one can extend the debate of buy Vs rent of a home to car also.

It is totally upto u.
In metro's you have buses and trains. Are u going to wait in the line.
I have r2i'ed to chennai. I prefer a 2 wheeler for daily commute. I will get close to 55kmpl to 60kmpl. If I go by car, following will be a nuisance to me
1. Daily commute time - this increases as the traffic is bad
2. Daily gas consumption rate - car gives 15-16kmpl. Bike gives 55kmpl to 60kmpl

Now comes the question, why one needs a 4wheeler?
1. Safety. In India the drivers are driving rash. It is not advisable to go by 2wheeler. If you go via small roads and not major traffic, two wheelers should suffice.
2. During rains, u can drive in ur car. In a bike, u have to take a break.
3. Finally the convenience factor.

I hope this gives u more information

As a newcomer here, I am often lost with some acronyms.

For example, what is EMI?

Also, is there a general link where newbies can peruse to find out what various terms (LIA? - is this living in america?) mean etc. - sort of a newcomer FAQ?

Thanks.

Also, does it make sense to buy an autorickshaw-type vehicle and hire a driver? What are the expenses in such a scenario?

20-25K per month includes EMI. I think people in this forum should be generally able to buy a car outright - at least swapping the car they have in the US for one in India cost wise. Otherwise 4 lacs or so on the low end should not be an issue for 90% of the people in this forum. The problem is when you want a higher end car - that is your call on whether you can afford it etc.


And if you self drive then your cost is only petrol and mtce which should be manageable. Even if you drive 20kms a day (which is a lot in a metro in India and say you burn 2 liters, that is a 100 rs. a day or 3000 a month. Maybe 5000 a month incl. mtce. I think that is comparable to taking an auto. Using these numbers, owning a car doesnt seem so bad eh?? Optimum solution would be to have a car and a 2 wheeler. Use the 2 wheeler for safe local commutes like going to the kirana store and using the car otherwise.

what about the weekends and leisurely activities (movies, restaurants, picnic etc). Metro like delhi, yellow cabs do not go outside city limits (so faridabad, ghaziabad, noida are ruled out.

only advantage to not owning car is the parking hassle

10 years ago in my apartment complex of 20 flats in Mumbai, one person owned a car,
5 years ago, there were around 5 cars
Right now every 2nd house has a car and there is no parking space left in the building. It is not necessary to use the car everyday, as in the case I notice many car's are used on weekends.

In India, a car is more then a convenience, it becomes a status symbol.

The auto-rickshaw option seems pretty attractive :) to someone who R2I's. I wonder what the local's will think :)

I frankly need a car or even two (for both adults for now). I need them for convinience.. Without a car it's like I'm immobile.

OP,
IMO! 20-25K estimate doesn't work. It depends entirely on a person's lifestyle. I for one will not have any EMI when I R2I but, still that figure wouldn't work.