Whether you’re after a fully-electric car, the flexibility of a hybrid, or a traditional petrol car, there’s a lot to consider when shopping for a new set of wheels. As the new financial year approaches, it’s an excellent time to think about getting behind the wheel of a brand-new car.
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There are great deals on offer as dealerships look to clear stock and hit their sales targets by the end of the financial year. Especially if you’re keen to snap up run-out stock, in order to get a great deal on last year’s model before the new models roll off the boat and into the showroom.
Choose Your Drive – Electric, Hybrid or Petrol
A shiny new electric car looks more tempting than ever, as growing competition amongst EV manufacturers increases your choices while driving down prices.
While full EVs tend to steal the headlines, hybrids may represent the best of both worlds by running on electricity but switching back to petrol or diesel when you need it most.
While fully-electric vehicles may be a more environmentally friendly choice, some Australians still prefer the flexibility of a car that can run on petrol. Especially if they tend to regularly drive long distances and get off the beaten track, away from EV charging networks.
However, the majority of hybrid vehicles sold in Australia are non-plug-in hybrid electric vehicles (HEVs), according to the Australian Automobile Association. Also known as conventional hybrids, HEVs primarily rely on an internal combustion engine, but can also be powered by an onboard electric motor and battery.
You can’t plug in a HEV – its battery only recharges through the engine’s power or regenerative braking (which puts a little juice back into the battery whenever you slow down). Thanks in part to regenerative braking, electric motors are actually more energy efficient in start-stop traffic, which may sometimes sap traditional fuel efficiency.
Alternatively, plug-in hybrid electric vehicles (PHEVs) feature a charging port, just like an EV. You can plug them in to charge up the battery, plus they take advantage of regenerative braking.
Unlike full EVs, PHEVs typically only have an electric range of less than 100km. When the battery runs flat, the internal combustion engine takes over until the car is plugged in again to recharge.
A wave of new hybrids is bound for Australian showrooms by the end of 2025, according to Drive.com.au. From the country’s first plug-in hybrid utes, to high-end sports and luxury cars, there will be an exciting selection of cars on offer.
Finance Your Drive with Oly
Whether you’re going fully electric, hybrid (HEV), plug-in hybrid (PHEV), or sticking with petrol, an Oly novated lease could help you save thousands in tax.
A novated lease works through salary packaging, where your lease payments are taken directly from your pre-tax salary.
One regular payment can cover not only the car itself, but also most running costs like fuel or charging, registration, insurance, servicing and tyres. It’s all bundled into one payment to make budgeting easier. Plus, there’s no upfront deposit required to get started and there could be no upfront GST payable.
And if you’re thinking of making the switch to an EV, you may still be eligible for the government’s EV Discount initiative.
While plug-in hybrids (PHEVs) no longer qualify, eligible fully-electric vehicles do, making it a great time to make the switch. If your EV is valued under $91,387 as of July 1, 2024, and first held and used after July 1, 2022, you can lease it entirely from your pre-tax salary. That means even more potential tax savings with every pay.
So, Take Your Pick
Australia’s list of best-selling non-plug-in hybrids in 2024 was dominated by Toyota, according to Drive.com.au. The Toyota RAV4 family SUV surged ahead as Australia’s best-selling HEV, with more than double the number of deliveries of any other model.
Toyota’s dominance was clear, with the RAV4, Corolla, Camry, Kluger, Corolla Cross and Yaris Cross being the top-six best-selling HEVs in 2024 – ahead of the Hyundai Kona, GWM Haval H6, Lexus NX and GWM Haval Jolion.
Meanwhile, the BYD Sealion 6 overtook the Mitsubishi Outlander late in the year to become Australia’s most popular new plug-in hybrid in 2024. Sales of PHEVs doubled last year, with other popular models including the Mitsubishi Eclipse Cross PHEV, Mazda CX-60 and MG HS.
If you’d rather stick with a traditional petrol car, you’ve still got plenty of great options. Australia’s best-selling petrol models include the Toyota HiLux, Ford Ranger and Toyota RAV4. If you’re after something a little smaller, the Toyota Corolla, Mazda 3 and Volkswagen Golf are very popular petrol vehicles.
Not Legend, Legendary
Oly makes novated leasing easy to understand and accessible to millions of Aussies working at small and medium businesses.
Just a few clicks and you’re ready to go, with no upfront deposit, and an easy sign-up process for your employer.
Oly is backed by McMillan Shakespeare Group (MMS), one of Australia’s leading and most trusted novated leasing companies, with more than 35 years of experience.
If you’re ready to jump behind the wheel of your next car in the new financial year, check out Oly’s great deals today.
Terms and conditions will apply. Prior to proceeding, please ensure you’ve read and understood the relevant terms and conditions provided to you. This general information doesn’t take your personal circumstances into account. Consider whether this information is right for you before making a decision and seek professional independent tax and financial advice.
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The post What to Look for in a New Car this Financial Year appeared first on Drive.