A first car, where should I start?

Public transport is delayed, you miss your connection, or it's just not running at all. Maybe you recognize the feeling - you regularly think about buying your first car and get the sense that you're being encouraged more every day. Buying a first car is a really big step and there's a lot involved, so we're here to help you with everything you need to know!

New car or used car?

A new car gives certainty. You have warranty, little maintenance, and no unknown breakdowns. The downside is the rapid depreciation in the first years. This makes buying new an expensive choice for many beginners.

A used car is usually smarter. The biggest depreciation is already behind you and you get more car for your budget. With a good maintenance history and recent MOT, you can drive reliably, although the purchase does require a bit more attention.

With a new car, you're mainly choosing convenience and certainty. A used car is better suited for those who want to start affordably and don't want to lose money unnecessarily on depreciation.

Do I want to buy or lease?

Buying gives freedom. You get the ability to choose when to sell and you're not tied to a contract. Leasing, on the other hand, is clear and comfortable, especially if you want certainty about monthly costs and don't feel like dealing with paperwork.

Private lease is a good option if you're looking for stability and know exactly what your monthly budget is. Do keep in mind that a lease contract counts as a financial obligation, for example when applying for a mortgage.

Cost breakdown of buying a car

As you might already know, there are quite a few additional costs after paying the sticker or advertised price. A car brings fixed costs and variable costs from the moment the car becomes yours. Think of insurance, road tax, fuel or electricity, maintenance, and MOT.

We recommend setting aside ten to twenty percent of the purchase value annually for maintenance and unexpected repairs. This way you'll have a small buffer and you'll be less stressed when you suddenly have to pay a significant amount.

Cost breakdown of a lease car

A lease car turns fixed and variable costs into a fixed monthly amount, which provides more overview and less stress. However, with a lease car, the car is not your property, so you don't get any value from the car when you're looking at your second car. You often do get the opportunity to buy the car after the contract for a reasonably low price.

Monthly costs for a purchased car and a lease car

An important thing to know is that the costs continue, even if you drive little. The fixed costs are mainly insurance, road tax and fuel. With electric or hybrid driving, you often pay less or no road tax, but this comes with a higher purchase price. For many starters, a gasoline car therefore remains the most practical and affordable in terms of maintenance.

Maintenance and repairs are difficult to estimate with a purchased car. They can suddenly come around the corner, from new tires to an expensive repair. It's therefore smart to set aside some money for this monthly, so you won't be caught off guard.

With a lease car, it works differently. You pay a fixed amount per month that includes maintenance, insurance and often roadside assistance. This provides peace of mind and overview, but you are tied to a contract and you don't build up ownership. With a purchased car, your monthly costs are usually lower, but you bear the risk of unexpected costs yourself.

Platforms to buy or lease cars

In the Netherlands, there are many reliable platforms where you can compare car offers. The most popular ones are Marktplaats and AutoScout24. Here you'll find both dealers and private sellers, with many filters to search specifically.

For leasing, you can go to specialized lease platforms or directly to lease companies. Always compare multiple providers and carefully check what is and isn't included in the price.

Taking out insurance without hassle

As soon as the car is registered in your name, you're required to take out insurance. You can arrange this easily online. You choose between third-party liability, limited comprehensive or comprehensive.

• Third-party liability is the minimum coverage and only compensates damage that you cause to others with your car.
• Limited comprehensive additionally covers damage to your own car from things like theft, fire, storm or collision with an animal.
• Comprehensive goes one step further and also compensates damage to your own car if you cause an accident yourself.

For a first car, third-party liability or limited comprehensive is often chosen, especially for older or cheaper models. The premium depends on your age, place of residence, type of car and claim-free years. That's why it's important that you compare insurances carefully. Don't just look at the price, but also at the coverage and deductible.

Popular choices

When choosing your first car, reliability and low maintenance costs are very important. Three models that often come up as ideal starter cars are the Volkswagen Polo, Peugeot 107 and Toyota Yaris. Below you can see an indication of what you'll roughly pay for these:

Volkswagen Polo

Price indication: approximately €3,000 to €8,000 for a model that's 8–12 years old. The Polo feels familiar, drives stable on the highway and has a wide range of available parts. Maintenance is slightly more expensive than for smaller city cars, but the build quality makes up for a lot.

Peugeot 107

Price indication: approximately between €2,000 and €5,000 for a model that's 8–12 years old. The 107 is lightweight, simple and cheap to run. Due to its low weight, you pay less road tax and insurance is often favorable too.

Toyota Yaris

Price indication: approximately €4,000 to €10,000 for a model that's 8–12 years old. The Yaris is known for its reliability and low chance of breakdowns. Parts are affordable and many examples have a good maintenance history.

Whichever you choose, look mainly at the maintenance history and the condition of the car. A well-maintained Peugeot 107 is often a better choice than a neglected Polo, no matter how beautiful the logo on the hood looks.

Important points for the purchase

A test drive isn't mandatory, but it's very useful. With a test drive you see more than just the advertisement text. Pay attention to the driving behavior, strange sounds, and general comfort while driving. This way you get a better picture of the car's condition before you purchase it. It can be smart to do the test drive together with your parents. They often have more experience and pick up on things you might still overlook.

A big advantage when buying your first car is a recent APK. With that you at least postpone the first unexpected costs a bit.

Arrangements after the purchase

After purchase you transfer the car to your name. You can do this online or at a license plate office. From that moment on you're responsible for insurance and tax. Arrange these things in advance, so you don't go on the road uninsured because that can have a high price tag.

On the road with confidence

A first car doesn't have to be a leap into the deep end. If you research well enough and set up a realistic budget you're already well on your way. Take your time when comparing, don't let yourself be tempted by haste, and choose reliability over impulse. Then that first drive will mainly be something to enjoy. So, when will you be driving in your own car?