There’s more to the cost of a car than the initial MSRP a car salesman quotes you. You need to consider the added dealership fees, the cost of insurance, and maintenance. As the vehicle ages, you also have to add the cost of repair, fuel, interest, and depreciation. These are the top three vehicles with the cheapest 5-year ownership costs.
1. KIA Rio has some of the cheapest 5-year ownership costs
Car Edge broke down the overall cost of owning a Kia Rio over five years, and the findings were very revealing. When it is brand new, the MSRP is $23,105.
The most expensive cost of the Kia Rio is insurance. It can cost a total of $8,565. Owners with decent credit and a good driving record will pay around $1,713 yearly on average for insurance.
Fuel cost is the next most expensive item on this list. Owners can expect to pay $4,480, or 23% of the total cost, over a 5-year period.
Depreciation covers 17% of the cost, with a price of $3,510. It will lose $1,275 the first year, $2,364 the second, $2,773 the third, $3,235 the fourth, and $3,510 by the fifth year. This will leave owners with a resale value of $19,595, depending on the vehicle’s condition.
With a good credit score, a down payment of $4,621, and an interest rate of 4.75%, the interest will cost owners approximately $2,706. This is 13% of the cost.
Maintenance costs the least amount, with only 7% of the total cost. Owners can expect to pay $1,494.
The Mitsubishi Mirage is the second-cheapest vehicle to own over a 5-year period. In fact, it only costs $19,181 straight off the lot.
The insurance will cost around $1,795 per year for those with a decent credit score and no major accidents. This will bring the total to $8,795, for a total of 40% of the 5-year cost.
The depreciation is $5,206, or 23% of the cost. It will drop $788 the first year, $909 the second, $1,841 the third, $2,933 the fourth, and $5,206 the fifth. If you decide to resell the Mitsubishi Mirage after five years, you can expect it to be worth approximately $13,975.
The fuel costs around 21% of the cost over five years, for a total of $4,730. This will fluctuate as the price of gas rises and falls. The interest is $2,246, which is 10% of the cost, and the maintenance is $1,285, or 6% of the price.
The Chevrolet Spark costs $19,660 when purchased brand new. The insurance costs $7,040 for the first five years of ownership, or 31% of the price. This is approximately $1,408 per year for insurance.
The Chevrolet Spark will have a depreciation of $6,090 over five years. The first year, it will lose $969, the second $1,376, the third $2,477, the fourth $4,990, and $6,090 the fifth year. If owners decide to sell after five years, $13,570 would be the average price for a model in good condition.
Fuel is the third-highest cost, with an estimated price of $5,500 or 24% of the cost. The interest is $2,302 or 10% of the cost, and the maintenance is $1,520 or 7% of the cost.
It’s important to remember that these are all estimates. They are still a good measure of how much you’ll expect to pay over five years, especially if you’re on a budget.