There seems to be a direct correlation between hard cold facts and daily observations on car transportation in Malaysia. To top that off, the massive infrastructure project undertakings to support the proliferation of car usage is not merely of rubble and cement but is building faster than we can imagine in every nook and cranny of the city. Under these premises, we can dig in a fact that, we are actually ranked 44th in the world in term of car ownership at 341 cars per 1,000 people.
The fact is anything but untrue. In 2017 alone, about 13.2 million registered private passengers cars are on the road in Malaysia. Consequently, there exists a large market for used car. Alas, the used car market remains stagnant and meanwhile annual new vehicle sales soared by 67% within a span of 17 years. It is no surprise to admit the fact that consumers prefer to buy brand new cars over used cars as shown by the figure that used car dealers sold 400,000 units of cars, whereas annual new vehicle sales were reaching 600,000 units.
Renting vs Selling Your Car
The myriad of car choices is irresistible to consumers. For most people, the next big move is to sell the older car for a brand new and shiny one. There are various reasons such as moving out to a new place, needing a bigger car for an expanding family or simply coveting for a better car. For comparison sake, let us dissect the methods of selling a used car and later on we will examine if renting it is a better option.
Selling Your Used Car
There are thousands of car listings on various online platforms with a simple search on search engine. This cuts the need for a middleman so you can deal directly with a buyer. Even though, there is a need to deal with headache-inducing proceedings like trips to PUSPAKOM car check-up, car loan settlement and JPJ ownership transfer on your own. The major drawback to this method is that this process is time-consuming but less expensive than the other methods.
Meanwhile, to minimize the red tapes it is an idea to sell your car to a used car dealership. After an agreement and a bit of paperwork, the deal is sealed and the car is not officially yours. However, it is not a surprise that the price quoted will be much lower under little pretenses like minute dents and scratches.
Besides that, hiring a car agent service is a common practice. Value wise, car owner gets admitted into a comfortable position knowing that only the necessary expenditure and time are expedited. One major downside is that you have to physically leave your car to the agent while he or she finds a buyer. There is a risk of getting your car stolen due to this admission.
Why Selling Your Used Car Is Not The Way To Go
The topic of car valuations is quite a contentious one. Factors such as the prestige of the car models to minute scratches on the surface affect greatly the car value. Car value will depreciate by an average of 10-20 per cent every year. In fact, the moment a brand new car is driven off from the showroom, the price decreases. Not to forget the bargaining power, either you do or you do not have it. If not, then you have to be contented with the best price offered.
Owning a car makes you lose a lot of money. In addition to the expenditure to keep the car running like petrol, insurance, road tax, maintenance and etc. It is money guzzling machine but a much needed necessity.
Moving into the matter of loan repayment. For quick instance, a 9-year car loan repayment that is still left with payment of total RM30,000. When trying to sell it, the valuation is at RM20,000. A simple calculation shows a remaining RM10,000 owe to the bank which burns a hole in the pocket.
Last but not least, be ready to bid goodbye to the trusted car that leaves you with no contingency plan if there is urgency for personal transportation.
Rent Your Car
It sounds like a dream to rent out your car instead of selling it to make some side income. The idea is pretty straightforward, you send your car for rent and at the end of the rental period, and you get the car back in the same condition as before.
However, the reality is least flowery. In the worst case circumstance, the car is never to be seen again. By law, the police do not recognized this as ‘stolen’ because the owner had voluntarily handed the car to the culprit. Meanwhile, insurance companies will not cover the cost because under the clause of a private vehicle is not meant at all for rental purpose. This double-blow on the face makes one wary about renting car.
Why Renting Your Car Is The Way To Go
Well, not all is doom and gloom if renting your car through the right channel. In this uncertain economic condition, a bit of side income cushions the ever-rising cost of living. Despite the wild fluctuations, the price of petrol is not expected to fall year by year. Into a quick fact check, the car ownership remains and can be utilized when necessary. Environmentally speaking, car-sharing economy reduces the carbon footprint when the industry starts to mature. Plus, you know you contribute greatly in making life easier for people in urgency for personal transportation.
Join Flyt Now And Start Making Money
In today’s sharing economy, the car-sharing industry is booming and poised to become the next big thing. With fast-growing community of owners and hirers, Flyt is proud to introduce a platform that acts as an extension to our current offline car-sharing solution. The goal is to contribute positively to the end-to-end car-sharing ecosystem. Now that the cloud has entered the Flyt’s car-sharing equation, this transformation is destined to push our car-sharing solutions to the next level. So, join the revolution with Flyt and start making money.
The listing process has never been easier, as you only need to register online with more than one car allowance. In order to start the process, you can go to https://joinflyt.com/about#contact. Once they get back to you, you can immediately fill up the form. When you see it appears on https://joinflyt.com/car-listing , it is now immediately available for rental. When your car is listed, you are ready to roll and start getting paid!
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