It seems value is a common theme in the car market as Australians battle with a higher cost of living.
From buyers increasingly open to value-focused newcomer brands to others looking for solid buys in the used car market, there’s a whiff of change.
This week we’ve got one family looking at a used car replacement for their beloved Mitsubishi – and the choice is between petrol and electric.
Another is chasing an affordable first car for their daughter, while another wants to save money on tyres.
Plus, we’ve got plenty on hybrids versus EVs, including one buyer tossing up between a Tesla and a Toyota.
And do any plug-in hybrids go more than 100km on electricity alone?
Question: We currently have a 2005 Mitsubishi Magna and a 2007 Nissan X-TRAIL. I was looking at getting rid of the Magna (reluctantly) and buying either a 2019 second-hand Nissan LEAF or a 2021 Toyota Corolla regular, not hybrid. This car would do between 2000-4000km per year, mainly school pick-ups, stop-start city driving, etc.
Longer term (two-plus years) we would also like to upgrade the X-TRAIL. This would be our fun car to go camping a few times a year (maybe towing a light camper) but would also only do about 4000km, mainly city driving. I was looking at plug-in hybrids, ie. electric car with a petrol motor to charge the battery and extend the range when required, but with 100km range on just electric. Is there anything coming soon to Australia like this? – Nik
Answer: The Nissan LEAF is a very basic EV that was previously too expensive but is now closer to where it makes a bit more sense following recent price drops.
However, when car-makers drop prices dramatically – as many EVs have recently – it often takes a while for the used car market to catch up because sellers are still hooked on the previously higher residual values. That appears to be what’s happening with the LEAF.
The 2019 models (which were the first of the current-generation car – a big improvement on the original) are still asking close to $30,000, sometimes more. The new one kicks off at $39,990, so after five years you’d expect a lot more depreciation than that.
You can get an MG4 for low-$30s, which is a far better bet than the LEAF. And give the MG4s another year or so to settle in and you’d imagine they’ll be cheaper again.
Regarding the Corolla, your thinking on the petrol (non-hybrid) model is sound given the low kilometres you’re doing – and how much cheaper those petrol models are. Yes, the hybrid is a great drivetrain, but the petrol engine will work fine for your intended use, especially considering the price of entry.
But don’t rule out some great rivals, either. The Kia Cerato, Mazda3 and Hyundai i30 should all be on your shortlist.
As for plug-in hybrids, there’s a whole lot more coming. But I’m not sure why you’d want a PHEV for the driving you’re doing. It sounds like you’ll run it as an EV most of the time, yet you’ll be dragging around an engine, gearbox and fuel tank that are dead weights negatively impacting efficiency.
Remember, too, that even if you never use that engine the car will still need to be serviced to get fresh oil and check-ups.
Why not go to an EV for your second car? If you get one with 500km-plus range, it sounds like it’ll easily do the 4000km you plan to cover each year (which also suggests you’re not going too remote).
And for those camping trips you can charge it at a caravan park or public charger along the way.
Question:
Answer: There are a bunch of small hatches that aren’t nearly as popular as they were many years ago (it seems everyone wants SUVs these days!).
High on our list would be a Mazda3. Even with base-model versions, Mazda put a lot of safety gear and a generally high level of equipment (for the era), which makes them great used car buys.
Obviously do the usual checks on condition and how the car has been treated.
A couple of others worth shortlisting are the Hyundai i30 and Kia Cerato. There are plenty of each for sale and if you shop smart there’s great value out there.
Question: I have a 4WD that I recently had serviced and it needs new front tyres, but the dealer is saying I should replace all four. Is that really necessary? It’s an expense I could have done without. – Harry
Answer: Some all-wheel drive and permanent 4WD vehicles will recommend replacing all tyres at the same time so that the tyres have the same rolling circumference. It’s because you don’t want to have different rates of rotation that can cause heat build-up – and, ultimately, damage – in one or more of the differentials.
It is a real thing, but for the umpire’s decision on your particular car check your owner’s manual. Some may recommend replacing the front or rear tyres together, for example, whereas others may stipulate all four at the same time.
Also remember that different brands can have slightly different sizes (due to manufacturing tolerances) even if the measurement numbers written on the sidewall are identical. So don’t be tempted to go cheap at one end.
Question:
Answer: EV batteries don’t need to be replaced when the warranty expires. Sure, they may have lost some of their original capacity to hold a charge – early studies suggest something like 1-1.5 per cent degradation per year – but they don’t just die once the warranty expires.
Like an engine, batteries are designed to last the life of the vehicle. That doesn’t mean there won’t be some isolated issues, but like engines, once the warranty runs out the early data suggests it’ll be rare.
As for determining EV health, that’s a great question and one we’d love to see the industry tackle head-on.
It’s crazy that you can relatively easily determine the battery health of your phone or laptop but it’s almost impossible to get an idea of how an EV battery is faring.
All the data is there, it’s just not made accessible to consumers (with the exception of the Nissan LEAF, which ironically has earnt a poor reputation for battery health…).
Instead, you’ll generally need an OBD (On Board Diagnostics) reader or independent inspection to determine battery health – or take it to the dealership of the brand that sold it and see if they’ll help you out. Some cars, including Teslas, also have third-party apps that can help determine battery health.
The sooner the industry is more transparent with battery health the more likely consumers are to realise used EVs can be good.
Question: We’ve got two kids and are ready to buy a new car. An SUV seems the logical choice and I’ve currently shortlisted the Toyota RAV4 Hybrid and Tesla Model Y. I’m not sure we’re ready to go electric just yet, but we’ve got friends with a Tesla and they love it, which got me thinking. Help! – Fabian
Answer: Obviously you’ll pay more to get into the Tesla Model Y but you should spend less keeping it going, especially if you’re able to charge it at home.
The Toyota RAV4 is these days hybrid-only, so it’s relatively frugal – expect real-world fuel use of around 5.5-6L/100km – whereas the Tesla should use about 18kWh/100km (which would cost something like $6 per 100km if you’re charging from regular grid electricity).
The Tesla has more interior space, especially luggage space; between the boot, underfloor boot storage and frunk (or front trunk), Tesla claims 971 litres versus 580L for the RAV4.
The Tesla has better performance, too, especially if you choose one of the dual-motor models. It’s also zippy on the road, although its suspension tends towards firm.
Plus, the Tesla is loaded with tech, although its cabin presentation is an acquired taste and not everyone is a fan of the standard panoramic sunroof.
The RAV4 is more traditional, which translates to its cabin that is starting to date, especially against fresher rivals such as the Nissan X-TRAIL, Honda CR-V and Kia Sportage. But it has that reputation for reliability and longevity that Toyota has built over decades.
One last consideration is whether you’ll be taking out a novated lease, in which case the Tesla starts to make more sense because the government has tax advantages on EVs. It’ll make the Tesla thousands cheaper each year.
Either way, you’re looking at two of the best – and top-selling – SUVs in the country. If you think you can make EV work, then the Tesla would be an excellent choice. If you’re not quite there and want that Toyota reassurance, then the RAV4 is still a great buy.
Question: I’m interested in buying a PHEV but would ideally like one that does more than 100km on the battery alone, ie. without having to use the engine. Is there anything coming soon that will have more than the current crop in terms of EV range? – Dominic
Answer: Plug-in hybrid electric vehicles (PHEVs) have been a great way for manufacturers to post implausibly low fuel use figures – and correspondingly low CO2 emissions – to meet modern emissions standards.
And regulators in some parts of the world have worked out that while they’re ticking the regulatory box a whole lot of them aren’t doing their job in the real world when it comes to lowering fuel consumption. Turns out plenty of people just run them on petrol, at which point most PHEVs aren’t particularly efficient.
So there’s been a push to make PHEVs go further on a charge, in turn effectively encouraging owners to plug in. But we’re not aware of any going further than 100km, especially in the real world (the genuine ranges of most PHEVs is typically 10-20 per cent below the WLTP claimed range).
That’s partly because of cost. PHEVs are already expensive because they have all the workings of a regular hybrid but a larger battery – which is the expensive bit in an EV.
Once you start putting really big batteries in you may as well just buy an EV. So, don’t hold your breath…
If you’ve got a question, email us at editor@carsales.com.au
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