Recently i pondered about buying a car, thinking over it i realized if i buy a internal combustion engine car today i would absolutely look like a fool in 2030. Not only that but the infrastructure around electric vehicles has still a long way to go. Our apartments , homes and even the grid is not yet ready for the faster adaptation for electric vehicles. Also there is a drastic change in technology that is taking place.
From the overall perspective i see car sales going down in the 2-3 years. Whenever we are in a interest rate being high scenario. Car sales shoot up initially when the effect of interest rate hikes are not felt in the economy. But as the rates are passed on to the consumers eventually, EMI’s go higher and this becomes a deterrent in the car buying experience. Now this can have ripple effects in the entire economy especially when inflation is higher.
Car sales as of now are pretty buoyant and continue to remain so, either the increase in per person income is happening rapidly or this is just a phase where the car sales will go up and eventually come down. For me personally i will probable postpone my decision of owning a car.
Simple Finance 