Renting or buying a car in Australia: Costs, methods, and everything you need to know
- Camila Patiño
- Jun 28
- 4 min read

If you’re a migrant who has recently arrived in Australia or you’re considering moving, one of the most important decisions you’ll need to make is how to get around the country. Australia is vast, and although major cities offer good public transport, having your own car can be essential for exploring the country freely.
In this blog, we’ll guide you through the costs, options, and key considerations when it comes to renting or buying a car in Australia. We’ll also explain whether you need to translate any documents to complete these processes — and how Entrelingo can help make everything easier for you.
Costs and Requirements for Renting a Car
Renting a car in Australia is a great option if you’re staying for a limited time or don’t need a long-term vehicle. Costs vary depending on the type of car, length of the rental, and the company, but here’s a general idea:
Daily rental prices: Depending on the season and vehicle type, prices typically range between $30 AUD and $100 AUD per day. Long-term rentals often come with discounts, bringing weekly rates down to approximately $200 AUD to $600 AUD.
Insurance: Basic insurance is usually included, but you’ll likely need to pay extra for more comprehensive coverage. Additional insurance can cost between $10 AUD and $30 AUD per day.
Rental requirements: To rent a car, you generally need to be over 21 years old, hold a valid driver’s licence and valid passport. If your licence isn’t in English, you may need an International Driving Permit (IDP) or a NAATI-certified English translation — and that’s where Entrelingo can help.
What About Long-Term Rentals?
If you’re planning to stay in Australia for an extended period, you might consider long-term car rentals or leasing with an option to buy. Monthly costs can range from $400 AUD to $1,200 AUD, depending on the car and lease terms. This is ideal if you want flexibility without committing to a purchase right away.
How Much Does It Cost to Buy a Car in Australia?
Buying a car can be the most cost-effective option if you’re staying long-term. Here’s what you can expect in terms of pricing:
Used cars: Well-maintained second-hand vehicles range from $5,000 AUD to $20,000 AUD, depending on brand, model, and year. Most affordable options are between 5–10 years old.
New cars: Basic new models start around $20,000 AUD, while premium or SUV models can go well beyond $60,000 AUD.
Financing: If you don’t have the full amount upfront, many dealerships offer financing plans with monthly instalments. Interest rates typically range from 6% to 12% annually, depending on your credit history and loan type.
Requirements and Documentation to Buy a Car
When purchasing a car, you’ll need several documents — and depending on your situation, you might have to translate some of them:
Valid driver’s licence: You must have a valid licence to drive in Australia. If it's not an Australian licence, you may be required to convert or validate it.
Proof of address: A utility bill or rental agreement is often required to confirm your residence.
Proof of identity: In addition to your passport, some dealerships may ask for an extra form of ID.
If any of your documents — especially your licence — are not in English, you must provide a NAATI-certified translation. Entrelingo offers fast, accurate, and officially recognised translations to ensure a smooth process.
What You Should Know About Car Insurance in Australia
Car insurance is mandatory in Australia. At a minimum, you must have Compulsory Third Party (CTP) insurance, which covers injuries or damage caused to others in an accident. This is usually included in your vehicle registration.
There are three main types of car insurance in Australia:
CTP Insurance – Legally required for all vehicles.
Third-party Insurance – Covers damage to other vehicles but not your own.
Comprehensive Insurance – Covers your car, other vehicles, and property damage.
Insurance prices: Annual costs vary depending on the coverage, your car model, and your driving history. On average, full coverage can range from $700 AUD to $2,000 AUD per year.
Rent or Buy? What’s Best for You?
Whether to rent or buy depends on your length of stay, budget, and personal needs. If you’re only staying short-term, renting gives you more flexibility. But if you’re settling long-term, buying may be more economical in the long run.
And remember — if you need to translate any documents to rent or buy a vehicle in Australia, Entrelingo is your trusted partner for fast and certified NAATI translations, helping ensure a hassle-free process from start to finish.
Ready to hit the road in Australia?
Don’t let paperwork hold you back — take the wheel and make your Australian journey unforgettable. If you have questions or need help with translations, get in touch with us today!
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