Taking an Uber or Lyft when going out on the town is super convenient. It saves the hassle of finding a parking space. You can split the fare with your friends and save some cash. And if you feel like having a few cocktails, your trusty rideshare driver can get you home safely without incident or accident. But what if you use a rideshare on a daily basis? Here we take a look at the cost effectiveness of daily rideshare vs owning a car.
Cost of Daily Rideshare
According to Ceritfy.com’s 2017 Ride-Hailing Report, the average cost of an Uber ride is $25.73 and average cost of a Lyft ride is $19.20. Using the average of the two, you’ll be spending about $674/month. Granted you are not incurring car ownership costs such as gas, parking fees, insurance and regular maintenance. But all things considered, the cost of using daily rideshare can still add up to more than owning a car – especially if you purchase a used vehicle.
Cost of Car Ownership
According to Kelley Blue Book, the average cost of a new car in 2018 was $36,978. And according to CARFAX, new cars lose more than 10% of their value within the first month of ownership. Yikes! This might be why used car sales are outpacing new car sales. When considering daily rideshare vs owning a car, consider buying a pre-owned vehicle. They generally have lower monthly payments than used cars (about $372/month according to NerdWallet). You can conduct research online using sites such as CarGurus or CarMax before heading out for a test drive. You can buy a used car online and have it delivered to you using Vroom or catch a new and innovative trend of personal mobility by subscribing to a vehicle with Fair using their mobile app. When you subscribe to a vehicle using Fair, it comes with roadside assistance, routine maintenance, insurance and more.
Other expenses
An auto loan payment is not the only monthly expense you will incur as a vehicle owner. You will also need to consider the cost of auto insurance, gas, maintenance and repairs. So how does it all add up? Luckily there are some handy tools available to help you figure it out. NerdWallet offers a free calculation tool to understand and plan for your total monthly auto expenses so you can weigh your options and budget accordingly. Edmunds.com provides a calculation tool that allows you to select the make, year and model of a vehicle and see the additional costs that you may not have considered such as vehicle depreciation, interest on a loan, taxes and fees, estimated insurance premiums, fuel costs, maintenance, and repairs.
Openbay helps reduce the stress when it comes to getting your vehicle serviced. And will reduce the costs of car maintenance too. With Openbay, you will receive multiple competitive service quotes prior to any service – good for budgeting. You can schedule your service and pay securely all through Openbay. You’ll find a wide selection of automotive service providers near you that have gone through a screening process. All shops within the Openbay network are required to uphold the highest quality standards to ensure a first-class customer experience – and all service is backed by the Openbay Peace-of-Mind Guarantee. It’s free, fast and easy.
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