The Certificate of Entitlement (COE) is a permit that allows you to own and register a vehicle in Singapore. The COE price is the amount of money you need to pay to obtain a COE.
The COE price is determined by the supply and demand of COEs. The supply of COEs is controlled by the Land Transport Authority (LTA), which sets a quota on the number of COEs that can be issued each month. The demand for COEs is driven by a number of factors, including the number of people who are looking to buy a car, the economic conditions, and the availability of other forms of transportation, such as public transportation and ride-hailing services.
The COE price has been on a downward trend in recent years due to a number of factors, including the COVID-19 pandemic, which has led to a decrease in the demand for cars. In January 2023, the COE price for Category A cars (cars with an engine capacity of 1,600cc and below) was S$28,989, which is down nearly 50% from its peak in 2013.
The COE price is expected to continue to decline in the coming years, as the government implements measures to reduce the number of cars on the road and encourage the use of public transportation.
How to apply for a COE
To apply for a COE, you will need to submit an application to the LTA. The application can be submitted online or in person at the LTA’s office. You will need to provide the following information on your application:
- Your name and address
- Your NRIC number
- The type of vehicle you want to purchase
- The engine capacity of the vehicle
- The date you want to register the vehicle
The LTA will process your application and issue you a COE if you are successful. The COE will be valid for 10 years from the date of issue.
How to renew your COE
When your COE expires, you will need to renew it in order to continue owning and registering your vehicle in Singapore. You can renew your COE for up to 5 years at a time.
To renew your COE, you will need to submit an application to the LTA. The application can be submitted online or in person at the LTA’s office. You will need to provide the following information on your application:
- Your name and address
- Your NRIC number
- The vehicle registration number
- The date you want to renew your COE
The LTA will process your application and issue you a new COE if you are successful. The new COE will be valid for 5 years from the date of issue.
What happens if my COE expires?
If your COE expires and you do not renew it, you will need to deregister your vehicle and surrender it to the LTA. You will not be able to drive your vehicle on the road without a valid COE.
What are the benefits of owning a COE?
There are a number of benefits to owning a COE, including:
- You can own and register a vehicle in Singapore
- You can drive your vehicle on the road
- You can sell your vehicle at a profit
What are the risks of owning a COE?
There are also a number of risks associated with owning a COE, including:
- The COE price can fluctuate, which could lead to a loss of value
- You will need to pay a number of fees and taxes, including the annual road tax and the COE renewal fee
- You will be responsible for the maintenance and repair costs of your vehicle
Is it worth it to own a COE?
Whether or not it is worth it to own a COE depends on your individual circumstances. If you need to own a vehicle for work or personal reasons, then it may be worth it to purchase a COE. However, if you can get by without a car, then it may be more economical to use public transportation or ride-hailing services.
FAQs
1. How much is the COE price in Singapore?
The COE price in Singapore varies depending on the type of vehicle and the engine capacity. In January 2023, the COE price for Category A cars (cars with an engine capacity of 1,600cc and below) was S$28,989.
2. How do I apply for a COE?
To apply for a COE, you will need to submit an application to the LTA. The application can be submitted online or in person at the LTA’s office.
3. How do I renew my COE?
To renew your COE, you will need to submit an application to the LTA. The application can be submitted online or in person at the LTA’s office.
4. What happens if my COE expires?
If your COE expires and you do not renew it, you will need to deregister your vehicle and surrender it to the LTA. You will not be able to drive your vehicle on the road without a valid COE.
5. What are the benefits of owning a COE?
There are a number of benefits to owning a COE, including:
- You can own and register a vehicle in Singapore
- You can drive your vehicle on the road
- You can sell your vehicle at a profit
6. What are the risks of owning a COE?
There are also a number of risks associated with owning a COE, including:
- The COE price can fluctuate, which could lead to a loss of value
- You will need to pay a number of fees and taxes, including the annual road tax and the COE renewal fee
- You will be responsible for the maintenance and repair costs of your vehicle
7. Is it worth it to own a COE?
Whether or not it is worth it to own a COE depends on your individual circumstances. If you need to own a vehicle for work or personal reasons, then it may be worth it to purchase a COE. However, if you can get by without a car, then it may be more economical to use public transportation or ride-hailing services.
8. Where can I find more information about COEs?
You can find more information about COEs on the LTA’s website: https://www.lta.gov.sg/content/ltaweb/en/roads-and-motoring/owning-a-vehicle/certificate-of-entitlement-(coe).html
