We are not a new car dealership, pushing our one-and-only line of cars, convincing people we have the best value in the current market.
We are not an independent dealership selling what we happen to have in stock today from last week’s purchases and trades.
We are not a leasing company competing for market share, promoting lease packages with higher profit margins designed to make the client feel good but, on the backside, knowing the client is now exposed to unnecessary risks and does not really have what he or she thinks they have.
Our stock is our reputation, our word, and our knowledge of what to look for and look out for in the very confusing and changing automobile market.
If you look at our site, you may get the impression that we are only about leasing; that is by design. We know that 7 out of 10 people we come in contact with will benefit from leasing, so our website and company is devoted to assisting persons falling into those averages. But when we encounter the 3 out of 10 that will be better served by other methods of car ownership, we advise them to look elsewhere, even making recommendations. We are Olim, and we want to do our small part in assisting fellow Olim to have a successful transition into their new life in Israel.
The Second Most Expensive Item in Your Personal Portfolio
Taking on the responsibility of a car (purchase/lease/rental) is not like buying a ₪ 400 electric appliance. Paying ₪ 60 more for an appliance in one place over one that could be purchased elsewhere will not financially damage you.
- By contrast, a reliable car, for most, will require long-term financing, and is the second most expensive item in our small “family corporations”.
- It’s twice as expensive here as we were accustomed to from our previous homes.
- It’s a continually depreciating capital asset.
To exacerbate this depreciation problem, the country is now on track to go all electric by 2030, meaning that everything we are buying today will quickly become outdated.
April 1st of 2019 marked a massive change in the automotive world. There was a major tax increase on all fuel-burning cars, even hybrids. The general public was not excited about this, understandably, but we have endured tax hikes before. This is nothing new to us or the market. But that increase is only the tip of the iceberg of what occurred.
Professional fleet managers know and reacted to what this tax signaled. They were forced to lower future value projections on their current and short-term future inventories. This tax’s sole purpose is to set the stage to provide future incentives (in 36 to 48 months) to move the market, away from the internal combustion fossil fuel burning engine, into the coming EV market – on track to be completed by 2030.
Financing Cars in Israel 