Buying your first car is exciting, but also overwhelming. You want to be sure you’ve chosen the right vehicle, understand your finance options and are sitting within your budget.
But the purchase process has only become more complicated in the last 10 years, with buyers asking themselves a new question: should I opt for a traditional or electric vehicle?
At Loans Unlimited, our crew will help you balance your budget, lifestyle and long term goals to determine which option makes more sense for you. In the meantime, here’s a quick run down on how the two compare.
Click ‘Apply Now’ to start your application in 4 minutes and view Perth’s best electric car loan rates.
Petrol Often Wins at the Point of Purchase
Budget is guiding every first time buyer and while electric vehicles have become more competitive in recent years, petrol vehicles tend to take the financial cake with:
More options at lower price points
A larger used vehicle market
Greater availability in entry level budgets
If you’re trying to keep the upfront costs as low as possible, a petrol vehicle might offer you more flexibility. However, purchase price is only one part of the picture and electric vehicles can offset it with savings on loans, fuel and much more.
EVs Savings Start Stacking Up with Reduced Running Costs
EV owners tend to spend less on fuel, routine servicing and some maintenance items.
For first time buyers running a tight budgeting ship, reducing weekly expenses can be just as important as reducing the price at the dealership. Our crew always recommend that buyers compare the total cost of ownership rather than a single metric.
Fuel Prices Are Not Stable Anymore
Fuel prices are playing a major role in vehicle ownership decisions in 2026.
Between overseas conflicts and domestic manufacturing shortages, fuel prices are continuing to rise and opting for a traditional vehicle leaves you beholden to those fluctuations. EVs, however, offer greater predictability. Electric charging isn’t free but its cost stability makes it easier to budget for than visits to the bowser.
If you find yourself regularly commuting substantial distances, the savings and consistency make a meaningful difference.
What About Charging?
Petrol stations do have EVs beat here – refuelling is a lot simpler than charging.
There are servos on every corner and most drivers have a weekly routine for filling up. Charging, on the other hand, requires specific infrastructure and a new routine.
Before purchasing an EV, first time buyers should consider:
If they can charge at home
If apartment or unit living means no access to charging/electricity
Their daily driving distances
The availability of public charging infrastructure
If charging access is convenient, EV ownership will be straightforward. If not, a traditional vehicle may fit more naturally into daily life.
Maintenance and Servicing
EVs tend to have fewer moving parts than than petrol vehicles, meaning owners can avoid:
Oil changes
Spark plug replacements
Certain engine related servicing costs
As always, petrol vehicles require regular maintenance and servicing costs vary significantly depending on the make, model and age of the vehicle.
If you’re planning to hold on to your car for years to come, maintenance costs are worth factoring into your decision.
Which Option Is Easier to Finance?
From a lending perspective, petrol and electric vehicles are much the same.
However, EV buyers may benefit from:
Specialised EV loan products (you might have seen these advertised as “green car loans“)
Competitive lender incentives
Low interest EV finance options
EV adoption is picking up pace and lenders are following suit with competitive options for new buyers. That said, approval still depends on income, credit and borrowing position, rather than the vehicle alone.
So Which Vehicle Suits You as a First Time Buyer?
Neither option is automatically better than the other.
A petrol vehicle may suit buyers who:
Have a limited upfront budget
Want maximum vehicle choice
Travel long distances regularly
Don’t have easy access to charging
An EV may suit buyers who:
Want lower running costs
Have access to charging
Drive mainly around metro areas
Plan to keep the vehicle for several years
The best choice for you will be the one that fits comfortably with your lifestyle and budget.
Remember: Don’t Focus Solely on the Purchase Price
We said it before and we’ll say it again. One of the biggest mistakes first time buyers make is comparing vehicles only on their purchase price.
What you should be comparing is the total cost of purchase, which includes:
The purchase price and your deposit
Loan repayments
Fuel or charging costs
Insurance
Registration
Maintenance expenses
Looking at the full picture gives you a clearer understanding of what your vehicle will actually cost over time.
Why First Time Buyers Choose Loans Unlimited
At Loans Unlimited, our crew help first time buyers compare finance options across a panel of 40+ lenders. With so many options, we’re sure to find an ideal loan structure, whether you’re:
Considering your first EV
Comparing electric and petrol vehicles
Looking for pre-approval
Exploring low interest finance options
Trying to understand your budget
Your single application is seen by out entire panel and we don’t trigger any formal credit checks until a deal is in place. That means as little impact as possible on your credit score.
Apply for First Time EV Finance in Just 4 Minutes
EVs and traditional cars each have their pros and cons. The “right” choice depends on how you plan to use the car and whether or not you can charge it.
By looking beyond the sticker price and considering the full cost of ownership, you’ll make a more rounded decision. Our crew can help you run all the numbers and explore the finance options that would best support your vehicle purchase.
Perth buyer looking to secure a fair and affordable electric car loan? Click ‘Apply Now’ to start your 4 minute, online EV loan application.
