Exploring Car Costs In Bolivia

Bolivia is a backpacker's dream, offering breathtaking scenery, adrenaline-pumping activities, and a unique culture, all at a low cost. For those considering buying a car in Bolivia, it's worth noting that car prices are similar to those in first-tier countries, with new cars costing around $30,000 and used cars ranging from $2,000 to $20,000. However, renting a car is a more affordable option, with prices starting at $69 per day. Additionally, Bolivia has a well-developed public transportation system, with bus and train tickets costing between $0.50 and $1.50 for a one-way trip, making it a budget-friendly travel destination.

New vs. old cars

The cost of a car in Bolivia depends on several factors, including its age, make, model, and mileage. While new cars offer the latest features and safety standards, they come with a higher price tag. On the other hand, old cars are generally more affordable but may require more maintenance. Here is a detailed comparison to help you decide between buying a new or old car in Bolivia:

Advantages of Buying a New Car:

• Reliability and Warranty: New cars are less likely to have mechanical problems and usually come with a manufacturer's warranty, providing peace of mind.
• Free Roadside Assistance: Many new cars include roadside assistance, saving you the cost of towing or separate coverage.
• Latest Features: New cars meet the most recent fuel efficiency standards and safety features, ensuring better performance and protection.
• Attractive Financing Deals: Dealerships often offer low or no-interest financing options for new cars, making them more accessible.

Disadvantages of Buying a New Car:

• Expensive Purchase: New cars are typically more expensive, and if financed, you may end up paying more interest over time.
• Quick Depreciation: New cars lose value quickly, especially in the first few years, which can be a significant financial loss.
• Costly Insurance: New cars have higher insurance costs due to their higher replacement values.
• Not New Forever: New cars will inevitably get scratches, stains, and other signs of wear and tear, losing their "newness" relatively quickly.

Advantages of Buying an Old Car:

• Lower Prices: Used cars have already gone through the initial period of high depreciation, so you can get a better deal and more car for your money.
• Warranties Available: Some used cars, especially certified pre-owned ones, come with extended warranties, providing some assurance.
• Cheaper Insurance: Insurance for old cars is generally more affordable, as the value of the vehicle decreases over time.
• Simpler Technology: Older cars often have less complex technology, making them easier to repair and maintain for some.

Disadvantages of Buying an Old Car:

• Higher Mileage: Used cars have higher mileage, which may reduce their lifespan and require replacement sooner.
• Limited Selection: Finding a used car with specific features and options can be challenging, and you may have to compromise.
• Fewer Consumer Protections: Lemon laws and other consumer protections often don't apply to older cars, leaving you with less recourse if there are issues.
• Maintenance and Repairs: Older cars may need more frequent maintenance and repairs, which can add up over time.

When deciding between a new or old car in Bolivia, consider your budget, desired features, and ongoing maintenance costs. New cars offer modern amenities and reliability but come with a higher price tag. Old cars are more affordable but may require more maintenance and have fewer safety features. Ultimately, the best car for you is one that suits your needs, preferences, and financial situation.

Buying vs. renting

Buying a Car in Bolivia

The cost of buying a car in Bolivia varies depending on its age and type. New cars in Bolivia can cost up to $40,000, which is similar to prices in the US. However, the average sale price of a car is $8,000 as most Bolivians opt for very old used cars, which can cost as little as $2,000. Upper-class Bolivians and expats may buy multiple new or slightly used cars, which can range from $15,000 to $40,000.

There are several popular car brands in Bolivia, including Suzuki, Toyota, Nissan, Ford, and Chinese brands. When buying a used car, it is recommended to choose a well-known brand due to their quality and endurance. Additionally, it is important to be cautious of scams and know where to buy used cars to avoid getting fooled or scammed.

Renting a Car in Bolivia

Renting a car in Bolivia is a straightforward process and does not require any special conditions. Both tourists and residents can rent a car by presenting their passport, visa, driver's license, and a security deposit. The monthly rental fees can range from $1,200 to $2,500, depending on the rental duration and the car's size.

There are several car rental companies in Bolivia, with EuropCar being the largest and most reliable. This company offers the convenience of online booking and allows renters to specify their pick-up and return locations.

When renting a car in Bolivia, it is important to be aware of the driving conditions and regulations. Traffic in major cities can be chaotic, with people often disregarding traffic laws. Additionally, random checks by traffic police may require drivers to present their documents, including license, passport, and rental papers.

In conclusion, both buying and renting a car in Bolivia have their advantages and considerations. Buying a car provides ownership and flexibility but requires a larger upfront investment. On the other hand, renting a car is a more accessible option for short-term use, especially for tourists, but may incur additional costs such as security deposits and monthly rental fees.

Importing a car

If you are importing a car into Bolivia, there are several things you need to keep in mind. Firstly, only left-hand drive automobiles are permitted. Secondly, your vehicle must not be older than four years, and motorcycles over 100cc are prohibited from import. You will also need to obtain an import clearance form from the Bolivian Customs department, even if your vehicle is less than four years old.

In terms of documentation, you will need to provide the following:

• Original Certificate of Title and Registration
• Import permit, approved by the Ministry of External Affairs before arrival
• Original invoice and Certificate of Origin
• Insurance policy (original and 2 copies)
• License from the Transport Control Department
• Inspection certificate, stating the vehicle is in running condition

It is also important to note that vehicles for personal use are subject to customs duties of 55% over the cost, insurance, and freight (CIF) value. The average cost of shipping a car to Bolivia is $2500 USD, and it takes around 30 days for the car to arrive.

When choosing a shipping method, you have two main options: container shipping or Roll-on/Roll-off (RORO). Container shipping offers more protection for the vehicle but is more expensive, while RORO is less expensive and requires the vehicle to be operable, but you cannot keep any belongings inside the car besides the spare tire and jack.

Cost of car ownership

The cost of car ownership in Bolivia varies depending on several factors, including the type of car, its age, and the owner's income level. Here is a breakdown of the costs associated with owning a car in Bolivia:

Purchasing a Car

Bolivia does not produce any cars and relies solely on imports, so new cars can be expensive. A new car typically costs around $30,000, while a five-year-old used car averages $18,000. However, the average sale price of a car is $8,000 since most Bolivians buy very old used cars. Upper-class individuals may buy multiple new cars, typically in the range of $15,000 to $40,000.

Rental Costs

Renting a car in Bolivia is a more affordable option, with costs ranging from $200 to $500 per month. This option is popular among tourists who want the convenience of a car during their stay without the commitment of ownership.

Running Costs

There are several ongoing costs associated with owning a car in Bolivia. Firstly, there is a yearly vehicle tax that depends on the make and model of the car. It can range from as little as $10 for older cars to up to $100 for newer models. Additionally, car insurance is required by law, with the basic SOAT insurance usually costing under $100 per year. There is also a yearly inspection sticker that costs under $20, and regular vehicle maintenance and spare part costs, which can vary significantly depending on the car's make and model. Fuel costs are relatively low, with gas priced at $1.80 per gallon.

Driver's License

Obtaining a Bolivian driver's license incurs a cost. While having an international driving permit and your state driver's license can make the process easier, the Bolivian driver's license itself costs over $100 and is valid for five years.

In summary, the cost of car ownership in Bolivia depends on various factors, including the type of car, its age, and associated running costs. While purchasing a new car can be expensive, there are more affordable options in the used car market and rental alternatives. Additionally, running costs, taxes, and licensing fees should be factored into the overall cost of car ownership.

Public transport

Bolivia's topography, size, and lack of basic infrastructure make getting around the country a challenge. The majority of the country's road network is unpaved, and most main roads are in poor condition. However, travelling through Bolivia's stunning landscapes is one of the most enjoyable aspects of a visit to the country.

By Bus

The most common form of transportation in Bolivia for both travellers and locals is by bus. Buses are cheap, running everywhere throughout the country's major towns and cities. There are local buses called micros and trufis, and then there are long-distance options like public buses.

Micros are small minibuses that have almost completely replaced larger buses as the main form of urban public transport in Bolivia. A trip in a micro costs a couple of bolivianos or less, and they run with great frequency along fixed routes.

Trufis are vans/taxis that have a set route, are shared with other people, and only depart when full. They are cheaper than taxis, with a one-way trip costing approximately 3 bolivianos.

Longer journeys are typically serviced by large double-decker buses called "flotas", which tend to be newer and more comfortable than city buses. These buses hold up to 80 passengers and are equipped with reclining seats, allowing comfortable travel during long-distance and overnight journeys.

By Taxi

Taxis can be found anywhere at any time in almost any town and offer a cheap and safe way to get around. There are two types of official taxis available in major cities: radio taxis and regular taxis. Radio taxis are the safer, albeit more expensive option. Regular taxis are cheaper and drive all over the city, picking up people on the side of the street.

By Cable Car

An urban cable car system ("teleferico") in La Paz connects the city to neighbouring El Alto. The cable car system consists of three lines, coloured red, yellow and green, and is able to transport 3000 passengers per hour between the two cities, in just 10 minutes. The initial fare is 3 bolivianos, with a 50% discount for students, seniors, and the disabled.

Frequently asked questions