One of the most common questions I’m asked is “What sort of car should I buy when I move to Lanzarote?” So I thought in this edition I’d give you my views on the car market here and dispel some common myths. New cars here are cheaper than in UK and also cheaper than on the mainland. This is largely because our VAT (IGIC) is only 5% and we don’t have “special car tax” like the UK. It means it pays to buy new if you can afford to. We don’t have that many new car manufacturers represented on the island and the dealerships are very different to UK. The bulk of the dealers are in Arrecife, near the hospital, where you will find Renault, Toyota, Nissan and Jeep. Nearby, you will see Hyundai, Mitsubishi, and Suzuki and in town Ford, Mercedes Benz, Mazda and Seat. Near the airport you’ll see Opel, Chevrolet, Cadillac, BMW and Mini. Market share is very different to UK – for example Hyundai is number one here and Ford is nowhere! Visiting the showrooms can be strange as the sales staff seem to insist on full demonstrations of every feature of any given model, but very few can offer a test drive as demonstrators are rare. Don’t expect a discount on the price, and trade ins are extremely hard to get. When you order your new car, it will pay to ask what they have in stock either here or in Las Palmas, as deliveries from factories are notoriously unreliable. I have a friend who ordered an automatic Subaru and is still waiting one year later! In terms of what you should buy, practicality used to be the watchword. When we first came to the island there were still may unmade roads and cars really took a pounding – this is less important now, but cars are viewed more as a means of transport here, as opposed to a status symbol – hence the popularity of car / vans like the Berlingo. Convertibles are not as popular as you’d expect, as it’s often too hot! In summer they usually have the roof up and A/C on! Secondhand cars are, surprisingly, not plentiful, as many of the hire cars registered here are sent over to the mainland when they are replaced. It means secondhand values are strong, which reinforces the argument for buying new. There are a number of secondhand specialists on the island, some based in Arrecife, but most near Deiland, who offer a mix of used cars from around €3000 upwards. Apart from the British owned Car Shop near Deiland, they don’t prepare the cars particularly well and the warranties are usually quite basic. When buying secondhand, always check who has to pay the transfer tax, which is 4% of the value of the car. Most dealers will include this, but some private sellers will not. Running costs are much lower than UK, with diesel (Gasoil) at 86 cents a litre and Petrol (Gasolina) at 92 cents. Insurance is around €450 for a typical hatchback with full no claims and always covers the car for any driver over 26, so you only have to name young drivers. Road tax is between €45 and €100 per year, depending on engine size. Our equivalent of the MOT is called the ITV and is due at four years old, and then every two years. There is only one ITV centre on the island. People often ask if it’s worth importing a car from UK and the simple answer is no! Unless the car is something really special, then generally speaking the costs of matriculating it for the Spanish market (something you must do within six months) outweigh any savings you may make. Spare parts can be a problem here – especially for unusual makes. The dealers don’t hold big stocks and parts often have to come from Las Palmas or the mainland. Unfortunately dealers don’t offer courtesy cars either. I had an experience where my car (still under warranty) was off the road for 6 weeks waiting for a part, and I had to fund a car hire the whole time. So, to answer the original question: “What sort of car should I buy?” The answer is something mainstream for Lanzarote, so you get decent dealer and parts back up and it’s easy to sell in the future. It should be a light colour to keep heat down in summer, it must have good A/C and be inherently reliable, it should be manual as autos are really hard to sell here and it must have easily reparable plastic bumpers for parking in Arrecife. Probably a diesel as diesel fuel is much cheaper here and it should have a decent sized boot for picking your family and friends and their luggage up from the airport. Hmmmmmmmm, sounds like a Toyota Auris then. Do I have one? Of course not! |
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