The RACV calculation takes into account running costs as well as purchase costs, so the MG3 is off to a strong start with its affordable cost of around 80 percent of the total cost.
Snapshot
- The MG3 is the cheapest car to own in Victoria.
- 17.5% increase in monthly price from 2021
- Toyota performs strongly in several categories.
The annual survey conducted by the Royal Automobile Club of Victoria (RACV) ranked 80 models, finding the 2022 MG3 Core ($18,990 driveaway). The cheapest car to buy, own and drive in Victoria over a five-year period.
RACV’s survey takes into account new car purchases with a loan of 15,000km per year, servicing, replacement items such as tyres, fuel economy and club membership.
Considering all the factors, RACV found that the MG 3 would cost $734.84 per month over five years.closely followed by the Kia Picanto S ($746.34) and slightly further back, the Suzuki Baleno GL ($804.87).
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What about cars for the family?
The most popular category in Australia, mid-size SUV, was led by the Toyota RAV4 GXL 2.0-litre petrol ($1245.08), with 4×2 utes crowned by the Mitsubishi Triton GLX 2.4 auto ($1419.23) and 4x4M utes at G$501.
MG managed to hide the second vehicle in the list of 11 cars with it. MGZ Electricthe most affordable EV at $1109.49 per month.
go forward: 11 most affordable vehicles in each category
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Owning a car is getting expensive.
James Williams, head of policy at RACV, said: “It will come as no surprise that the cost of owning and running a vehicle has increased given the trends we have seen in fuel prices.”
The RACV calculation takes into account running costs as well as purchase costs, so the MG3 is off to a strong start with its affordable cost of around 80 percent of the total cost.
But the MG3 is still subject to price hikes, as is the rest of the industry – and the wider economy in general.
RACV showed how expensive the MG3 had become. This year’s monthly total is 17.5% higher than last year’s monthly cost of $625.50..
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Another big factor is fuel costs, which RACV found accounted for around 13 per cent of the total cost of ownership over five years.
Despite the sharp rise in fuel prices, RACV found that petrol-only cars are still cheaper than hybrids over five years, with the Corolla, Camry and RAV4 for example.
After the federal government fully reinstated fuel excise, prices are on the rise across the country. However, factors like servicing, insurance and registration are quite relevant for ICE cars.
Along with the rising prices of new cars, the second-hand market is also climbing. That’s why Mr. Williams suggests looking at new cars, even if the prices are high.
“When you factor in the rising prices of used cars and the better fuel efficiency and safety ratings of new cars, there’s a very good argument to take a closer look at the more affordable models identified in the survey,” he said. “
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RACV’s cheapest cars by category.
| Kind of | Model | Average monthly cost |
|---|---|---|
| Light cars. | MG3 Core 1.5 4sp auto hatch | $734.84 |
| Small cars. | Toyota Corolla Ascent Sport 2.0 CVT Hatch | $950.93 |
| Intermediate vehicles | Toyota Camry Ascent Sedan 2.5 8sp Auto Petrol | $1,123.26 |
| People movers | Hyundai Staria 3.5 V6 FWD 8SP Auto | $1,563.65 |
| Electric cars. | MGZ SEV | $1,149.00 |
| Small SUV | Kia Stonic S 1.4 6sp Auto FWD | $905.89 |
| Mid-size SUVs | Toyota RAV4 GXL 2.0 FWD CVT | $1,245.08 |
| Large SUVs | Subaru Outback 2.5 AWD CVT MY23 | $1,415.43 |
| Off-roaders | Mitsubishi Pajero Sport GLX 2.4 8sp Auto | $1,563.51 |
| 4×2 utes | Mitsubishi Triton GLX 2.4 6sp Auto 4X2 Dual Cab Pickup | $1,419.23 |
| 4×4 utes | GWM Canon 2.0 4×4 8 sp auto dual cab pickup | $1,451.05 |