The complete new-car buying checklist: budget to drive-away

Buying a new car is one of the biggest purchases most Australians make, and it's the one where the sticker price tells you the least. The number on the windscreen is the start of the conversation, not the end. This checklist walks you through every stage, from setting an honest budget to signing the contract, so nothing on-road blindsides you.

1. Set a budget on the drive-away price, not the sticker

Dealers advertise the "list" or "MSRP" price, but you can't drive that car home for that money. The real figure is the drive-away price: list price plus stamp duty, registration, CTP insurance, a plate fee and dealer delivery. Depending on the state and the car, on-road costs can add thousands. Before you fall in love with a model, build the full number with our drive-away price calculator so your budget reflects what you'll actually hand over.

A good rule: work out your ceiling drive-away figure first, then shop backwards from it. That keeps you from being talked "up" a variant that quietly blows the budget once on-roads land.

2. Understand the taxes before you negotiate

Two government charges catch buyers out most often, and both vary by where you live and what you buy.

• Stamp duty: charged as a percentage of the car's value and set by each state and territory, so the same car costs a different amount to register depending on your address. Check yours with the stamp duty + rego calculator — it also compares the states so you can see where duty is lightest (though you register where you live). Rates change, so confirm the current figure with your state revenue office.
• Luxury Car Tax (LCT): a federal tax that applies above a threshold, with a higher threshold for fuel-efficient vehicles. If you're near the line, run a quick LCT threshold check — a few thousand dollars of options can tip a car over and add a chunk of tax. Thresholds are indexed each year, so confirm the current one with the ATO.

3. Sort finance before you walk in

Arranging finance at the dealer is convenient, but convenience has a price. Dealer finance is often bundled with commissions and can carry higher rates than you'd get shopping around. Get a comparison quote first so you know what a fair repayment looks like. Model it with the car loan repayment calculator, including any balloon (residual) payment — a balloon lowers your monthly repayment but leaves a large lump owing at the end. Because that residual isn't paid down during the term, you keep paying interest on it the whole way through, so the total interest is usually higher.

Is a novated lease worth it?

If you're employed and salary packaging is on the table, a novated lease can beat a loan for some buyers — especially with an eligible electric vehicle, where the FBT exemption can make a real difference — but the saving depends on your income, the car, the fees and how the FBT is treated. Don't take the promoter's headline number; check the true net position with our novated lease calculator.

4. Look past the purchase price to the cost of owning it

Two cars with the same drive-away price can cost wildly different amounts to keep. Depreciation is usually the biggest hit, followed by fuel, insurance, servicing and tyres. A cheap-to-buy car with thirsty fuel use and steep depreciation can cost more over five years than a pricier, efficient one.

• Estimate total cost of ownership with the running costs calculator before you commit.
• Compare fuel between shortlisted models using the fuel cost calculator.
• Weighing an electric car? The EV vs petrol comparison shows where the running-cost gap actually lands for your driving.

5. Time the purchase and check the details

End of month, end of quarter and end of the plate year (cars carry a build and compliance year) are when dealers are most motivated to move stock. A vehicle built in the previous calendar year is often discounted heavily but starts depreciating from its build year — fine if you keep it long term, costly if you trade early.

Before you sign, confirm: the exact variant and options, the drive-away figure in writing, the finance terms and any balloon, warranty and capped-price servicing details, and the delivery date. Read the contract — verbal promises don't count.

6. Final pre-signing checklist

• Drive-away price confirmed in writing (not the list price).
• Stamp duty and rego checked for your state.
• LCT checked with the ATO if you're near the threshold.
• Finance quote compared independently, balloon understood.
• Five-year running costs estimated.
• Trade-in valued separately (don't let it muddy the new-car price).
• Delivery date and included extras documented.

Work through each stage and you'll walk into the dealership knowing your numbers better than the person selling to you. That's the whole point: an informed buyer is a hard buyer to upsell.

General information only — not financial, tax or legal advice. Figures change; confirm with the ATO, your state revenue office and a licensed adviser, and use the calculators for your own numbers.