Owning a vehicle is not a priority in Hong Kong. The city is well-connected and small, making car ownership an unnecessary luxury. Hong Kong has an environment-friendly, economical, and efficient public transport system. Therefore, it is easy to get by without owning a car. However, purchasing a car appears attractive when an individual decides to live away from the city, or as families grow. Some precautions need to be taken before deciding on buying a car.
- You have to be a resident to purchase a new or used car in Hong Kong
- You need a local driving license and Hong Kong identity card
- You need to take an extra precaution while checking the mileage and history of vehicles
- Conduct search on the internet about the car mileage, condition, age, and model before initiating the purchase process
- Ask for a drive-in showroom or garage to check and test drive the vehicle to ensure it is in good condition
- Pay for a trusted mechanic, or get one from the Hong Kong Automobile Association, who does the following:
- Organize road test
- Check suspension, brakes, tires, and wheels
- Inspects steering system, transmission, and air conditioning
- Check the cooling system, fuel system, and engine ignition
- Inspect electrical equipment, and the structure and body of the car
Hong Kong Automobile Association is accessed at
Website: www.hkaa.com.hk/
Tel: (852) 3583-3615/3469
Practical steps when purchasing a car
- Decide on affordability
Consider whether you have enough finances, especially when intending to take out a loan.
- Select the car of your choice
A proper car needs to be fuel efficient and in good condition, particularly for second-hand vehicles
- Source for funds to purchase the car
There are two options: The first is to get a loan through in-house financing. The second option is to get a loan from a bank, which can either be a secured vehicle loan or personal loan. It is good to read and understand the terms and conditions.
- Obtain insurance coverage
It is mandatory to have insurance before driving off. Hong Kong requires all motor vehicles to have insurance coverage for third-party risks. Select insurance that satisfies your driving style. For further details, explore the insurance section in this book.
