The salary you need to earn to afford Haval’s new Adventure SUV in South Africa

You will need to earn at least R30,000 per month to afford the new Haval H7 on a finance plan in South Africa, provided you are willing to pay a 50% deposit.

GWM recently launched the new Haval H7, building on the groundwork laid by its predecessor with a selection of six Adventure SUVs with a choice of three engines.

Prices for the SUV now start at R554,900 for the base Super Luxury 4×2, and climb up to R794,900 for the top-spec Super Luxury plug-in hybrid (PHEV) 4×4.

The powertrain options start with a 2.0-litre turbocharged petrol engine linked to a nine-speed dual-clutch automatic gearbox.

This engine produces 170kW and 380Nm and is available with either a front-wheel-drive or four-wheel-drive setup.

Next up is the hybrid electric vehicle (HEV), which pairs a 1.5-litre turbo-petrol block with an electric motor to generate 182kW and 540Nm.

It is only available in front-wheel-drive and features a two-speed hybrid dual-clutch gearbox.

Lastly, there’s the 1.5-litre turbo PHEV, which comes in two versions. The first has a single e-motor and puts out 240kW and 540Nm, while the second has two e-motors and has a hefty output of 280kW and 670Nm.

The PHEV units support all-electric driving with a range of 115-130km on the NEDC cycle (or 100-110 km on the WLTP cycle).

The 4×4 units also have driving and terrain modes for Eco, Normal, Sport, Snow, Mud, Sand, Grass/Gravel, Rough Road and Auto.

Features on the Haval include 19-inch alloy wheels, LED headlights, keyless entry, a multifunction steering wheel, ambient lighting, a 50W wireless charger, a 10-speaker stereo, a panoramic sunroof, and electric front seats with heating and ventilation.

It also has a 15.6-inch infotainment screen, a 12.3-inch digital instrument cluster, a 9-inch head-up display, and voice commands.

Furthermore, the H7 has an advanced driver assistance system (ADAS) package with adaptive cruise control, blind-spot monitoring, automatic emergency braking, lane-keep assist, rear cross-traffic alert, parking sensors, and a 540-degree camera system that can be used to see beneath the bonnet when off-roading.

Each purchase comes with a 7-year/200,000km warranty, a 7-year/75,000km service plan, and 7-year/unlimited-kilometre roadside assistance.

The hybrid units also have an 8-year/150,000km battery warranty.

What you need to earn

We can use the following formula to work out the monthly payments on the new Haval:

• Car price – R554,900/R794,900
• Payment term – 60 months (5 years)
• Interest – 10.75%
• Deposit – 0%
• Balloon – No balloon payment
• Extras – No optional extras

According to this, you’ll need to pay at least R12,091 per month for the Super Luxury 2.0T 4×2, and up to R17,279 per month for the Super Luxury 1.5T PHEV 4×4.

Financial experts then recommend that you do not spend more than 20% of your gross monthly salary on vehicle payments.

This means you’ll need a household income of between R60,455 per month and R86,395 per month to afford the new SUV on a finance plan, assuming you don’t pay a deposit.

However, a 50% deposit of between R277,450 and R397,450 reduces the instalments to R6,093 per month or R8,687 per month, which means you could also afford the car on a salary of between R30,465 per month and R43,435 per month, assuming you’ve saved the money for the deposit.

Note that this figure does not account for insurance, fuel, and maintenance, which must all be factored into your budget.