{"id":742215,"date":"2024-01-14T15:00:00","date_gmt":"2024-01-14T13:00:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=742215"},"modified":"2024-01-16T19:12:49","modified_gmt":"2024-01-16T17:12:49","slug":"all-the-cars-you-can-buy-for-under-r240000-in-south-africa-at-the-start-of-2024","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/motoring\/742215\/all-the-cars-you-can-buy-for-under-r240000-in-south-africa-at-the-start-of-2024\/","title":{"rendered":"All the cars you can buy for under R240,000 in South Africa at the start of 2024"},"content":{"rendered":"\n

There are only a handful of new cars that you can get for under R240,000 in 2024, and most of them are hatchback models ranging from the R174,000 Suzuki S-Presso to the R234,500 Hyundai Grand i10.<\/p>\n\n\n\n

Hatchbacks are generally priced lower than other car types but offer similar features and performance, which makes sense as to why this list features mostly this type of body shape.<\/p>\n\n\n\n

In addition to being affordable, hatchbacks are well-suited for narrow and congested roads. Their compact size makes them easy to manoeuvre in traffic and park in tight spaces, making them a practical choice for those living and working in urban areas.<\/p>\n\n\n\n

However, despite being an entry-level body type, the cost of owning a car is becoming increasingly unaffordable \u2013 even for hatchbacks.<\/p>\n\n\n\n

According to TransUnion\u2019s latest Vehicle Pricing Index (VPI), the price of new vehicles, on average, increased by 6.7% alone in 2023 \u2013 with hatchbacks seeing the steepest increases at 7.4%.<\/p>\n\n\n\n

As of November 2023, there are only four hatchbacks priced under R200,000 in South Africa \u2013 The Suzuki S-Presso, Suzuki Celerio, Toyota Vitz, and the Renault Kwid.<\/strong><\/p>\n\n\n\n

Additionally, those who earn the average salary in South Africa can’t even afford every car listed below.<\/p>\n\n\n\n

According to the latest quarterly employment survey (QES) published by Stats SA, the average salary in South Africa saw a negligible increase of 0.9% from the previous quarter to R26,087 from R25,866 per month.<\/p>\n\n\n\n

Financing experts recommend spending no more than 25% of monthly income on vehicle-related expenses. For example, those earning R26,087 per month should spend no more than R6,522 on such expenses.<\/p>\n\n\n\n

This assumes the cars are financed over five years (60 months) at an annual interest rate of 11.75%, with a 0% deposit or balloon payment.<\/p>\n\n\n\n

However, the experts noted that vehicle-related costs include:<\/p>\n\n\n\n