Features / 15 December 2020 / Staff Writer

How much the monthly repayments on a R1-million car are

If you want to own a R1-million car, be prepared to pay R20,000 in monthly repayments alone.

While this is a substantial amount of money, there are many cars on the road which retail for this – particularly luxury German sedans.

The Audi S5 Coupe Quattro, BMW 440i Gran Coupe, and Mercedes-Benz C43 AMG all cost around R1 million new and are by no means the top-of-the-range offers from their respective brands.

Many high-end second-hand cars retail for R1 million, as well, with the BMW M3, Jaguar F-Type, Range Rover Velar, and Porsche 911 standout examples.

The calculation

To work out how much it will cost you to finance a R1-million vehicle, we used Wesbank’s online vehicle finance calculator.

The calculator allows you to enter a vehicle purchase price and adjust several associated sliders.

These are:

Deposit amount
Payment term
Balloon payment
Interest rate

For the purposes of this article, we used the following amounts:

Vehicle purchase price: R1,000,000
Deposit amount – R100,000
Payment term – 60 months
Balloon payment – 0%
Interest rate – 10%

The monthly repayment rate and total financing costs are then:

Repayment – R19,217 per month
Total interest amount – R247,672
Total cost – R1,153,019

Going big

If a fast, leather-clad sedan or second-hand sports car is just not going to provide the driving pleasure you deserve, then you will have to up your budget.

For R2 million you can get yourself a new BMW 745Le, a Range Rover Sport HSE, or Lexus LC 500 Coupe.

Thrifty car shoppers can also snap up a good deal, with a second-hand Mercedes-Benz SL500 AMG, Nissan GT-R Premium Edition, and Ferrari California current for sale locally at this price.

To see how much your monthly repayment would be in this case, we used the following amounts:

Deposit amount – R200,000
Payment term – 60 months
Balloon payment – 0%
Interest rate – 10%

The monthly repayment rate and total financing costs are then:

Repayment – R38,339 per month
Total interest amount – R495,012
Total cost – R2,300,360

R3 million and up

Using the same parameters as above – 10% deposit, 60-month payment term, 0% balloon payments, and 10% interest – we can see how much it will cost to own the best-of-the-best vehicles which sell for R3 million and up.

Examples of vehicles which cost this much have also been included, below.