How to buy a car in Australia: Complete guide

Though Australia contains many urban, highly populated areas, they’re often separated by miles of rural road and desert. Owning a car gives residents the freedom to freely travel between cities and venture into lesser explored areas, which often hold the continent’s most spectacular nature sites.

People relying on Australia’s public transportation system may find it requires more walking and lost time than one might imagine - not ideal for busy professionals.

In this guide for UK expats, we’ll walk you through everything you need to know about buying a car in Australia. This includes where to find a car, the buying process, how to register the car, and some of the driving laws in Australia you need to know about.

And we’ll also introduce a convenient way to pay for your car purchase in AUD - the Wise account from money services provider Wise.

You can use Wise to send, spend and convert money in 40+ currencies, including Australian dollars – for low, transparent fees* and no-markup exchange rates close to what you can see on Google. Plus, you’ll get dedicated support and volume discounts when sending large amounts.

Learn more about the Wise account ➡️

Jump to

Should I bring/import my own car to Australia or should I just buy new in Australia? How do I buy a car in Australia? What’s the cost of owning a car in Australia? Where and how can I find a car? How can I pay for a car in Australia? How do I register a car in Australia? What should I know about driving a car in Australia? What equipment is compulsory to have in your car in Australia? What driving laws should I be aware of? What kind of driving licenses are accepted in Australia? Are there any major assistance services? What kind of useful vocabulary is helpful for me?

Should I bring/import my own car to Australia or should I just buy new in Australia?

The Australian government imposes stringent guidelines for importing foreign vehicles.

Anyone wishing to bring in a vehicle must apply to have their import approved by the Australian Department of Infrastructure, Transport, Regional Development, Communications and the Arts (DITRDCA).¹

Any automobile, personal or commercial, that's not been approved will be denied entrance or impounded upon arrival. You may also be fined as the owner or importer of the vehicle.

If you want to register and license your imported car for use on public roads in Australia, you’ll need to import it under a concessional Register of Approved Vehicles (RAV) approval.¹ This is the most common option for people moving to Australia and bringing their own cars with them.

There will also be import taxes to pay, in the form of Customs Duty, Goods and Services Tax (GST) and possibly Luxury Car Tax if it’s a high value vehicle.

Taking these into account, you could find it cheaper and easier to simply buy a car once you arrive in Australia - rather than bringing yours over from the UK. However, you’ll still have registration costs and mandatory insurance to pay.

How do I buy a car in Australia?

Now, let’s take a quick look at the general process for buying a car in Australia. The good news is that it’s pretty similar to the UK. Here are the steps involved:

1. Conduct thorough research into the make and model of car you want, and check out dealers and listings from private sellers
2. Set your budget and consider financial options such as car finance
3. Inspect the car and take it for a test drive
4. Check the government’s Personal Property Securities Register (PPSR) to make sure the car is legal. Using the car’s VIN or chassis number, you can check whether the car has been recorded as stolen, is subject to outstanding debt or has been written off. There’s a fee of $2 AUD for this service.²
5. Negotiate and agree the price with the seller, and make your purchase
6. Register and insure your vehicle
7. Enjoy your new ride!

What’s the cost of owning a car in Australia?

When buying a car in Australia, there are two costs to consider - the upfront purchase price, and the ongoing costs of running the car. This includes things like fuel, insurance and annual servicing/maintenance.

On average, the cost of buying a small car in Australia is around $26,346 AUD. This rises to $40,453 AUD for an SUV and $45,728 AUD for a medium-sized sedan car.³

As for ongoing costs for owning a car, the average Australian household spends between $10,000 AUD and $25,000 AUD every year.³

Costs vary depending on geographical location, with Western Australia ranking as the country’s most expensive state to own a car.³

Like most places, insurance premiums depend on location, driver age, car model, gender, and a multitude of other factors.

Fuel prices throughout Australia fluctuate depending on global economic conditions, but at present gasoline is around 38% cheaper than in the UK.⁴

As of September 2025, the average cost of gasoline in Australia is $1.81 AUD/litre.⁴

Car owners in Australia face further registration and vehicle inspection fees, but these costs and the laws governing when they’re necessary, differ between Australian states.

Where and how can I find a car?

After you’ve determined what type of car you’d like to purchase and what condition you’d like to buy it in (new or used), check out some Australian dealerships advertising your chosen vehicle.

Buyers interested in used cars may find success on online classified sites like gumtree.com.au, autotrader.com.au or carsales.com.au.

Shopping between car dealerships without narrowing down options through initial research isn't advised. Australia’s a large country with endless options. The only way to ensure you don’t overlook bargains and access the most relevant information is through analysing the online marketplace.

Here are some websites to help you launch your search:

• Carsguide
• Carsales
• Drive

How can I pay for a car in Australia?

You can usually make payments for your car purchase via traditional banking methods, like card, bank transfer or even cash. Most Australian dealerships accept all major credit cards as well as cash payments.

If you’re making payments from overseas, it’s a good idea to use Wise to save yourself some money.

The Wise account can help by offering a straightforward, low-cost* way to transfer funds to Australia without hidden fees and exchange rate markups. Plus, when sending large amounts, you’ll get dedicated support and volume discounts.

How do I register a car in Australia?

Each Australian territory has its own regulations regarding vehicle registration, some of which vary considerably between states. Foreign buyers should visit the transportation department website of their respective territory for complete details.

Generally, buyers don't have to worry about the registration process if they're purchasing a vehicle from a dealership in the state in which it was purchased. Reputable car sellers will obtain all the necessary information and manage legalities like registration.

To register a vehicle in any state, buyers usually need some form of proof of purchase and forms of identification. Passports and a valid driver's license usually suffice. In some territories, roadworthiness certificates (documents obtained from a vehicle inspector certifying a vehicle adheres to Australian safety and environmental guidelines) are also compulsory for registration.⁵

What should I know about driving a car in Australia?

Like most metric countries, Australians use kilometres rather than miles when referring to speed and distance, litres instead of gallons when speaking of gasoline.

Australia is a left-driving nation, meaning drivers drive on the left side of the road rather than the right.

Australia is incredibly strict on speed limits and uses speed cameras to monitor vehicles. Be sure to stay within the legal speed limit. In areas where a speed limit sign isn't visible, assume a speed limit of 50km/hr, unless it’s a residential or school area.

What equipment is compulsory to have in your car in Australia?

There’s no compulsory equipment you must furnish your vehicle with in Australia, except for mandatory use of seatbelts and child car seats.

What driving laws should I be aware of?

The driving laws in Australia are broadly the same as in the UK, including:⁶

• It’s illegal to drink and drive - the legal blood alcohol limit in Australia is 0.05%.
• All passengers of a moving vehicle are required to wear seatbelts at all times, and it’s the driver’s responsibility to make sure this is the case.
• It’s illegal to use a mobile phone while driving
• You should always carry your driving licence with you
• It's the driver’s responsibility to ensure approved child restraints and car seats are used for children.

What kind of driving licenses are accepted in Australia?

You'll need a driving license of some sort to operate a vehicle in Australia. Foreigners with English language licenses may legally use them for up to three months from their date of arrival. Afterwards, they're required to apply for an Australian driver’s card.⁷

Are there any major assistance services?

Each Australian territory has its own prevailing roadside assistance group, but there's no need to buy a membership for each area.

Popular roadside assistance entities communicate with one another and provide services for drivers outside of their immediate network - so long as they belong to a partner group.

What kind of useful vocabulary is helpful for me?

Car and Driving Vocabulary	Australian Definition
Registration (Rego - slang term)	Every car in Australia must be logged in the government automobile database.
Backpack Car Dealership	Certain car dealerships specialise in selling cars to backpackers and tourists who don't intend to remain within the country for long. They offer fair prices on quality cars, offering the option of buying them back at the journey’s end.
New car	Any vehicle that's never been sold before.
Used car	Any vehicle previously owned by another entity
000	Australia’s emergency telephone line.
Motoring group	Australian organisations that drivers can purchase yearly roadside assistance from for discounted and free driving service
Outback	The outback is the colloquial term describing Australia’s remote, inland desert area.
Servo	Shortened term for service station. These are equivalent to self-service gas stations.
Roadworthiness Certificate	A certificate certifying a vehicle has been inspected by a licensed expert and deemed safe for driving
Ute/Utility	A pickup truck.

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Making such a large investment in a foreign nation can be daunting, but going into the process with accurate information makes the process uncomplicated and much less stressful.

If you conduct in-depth research and proceed with the appropriate caution, you’ll definitely be satisfied with your new investment. Good luck and drive safe!

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Sources used for this article:

1. Australian Government Department of Infrastructure, Transport, Regional Development, Communications and the Arts - Importing a road vehicle into Australia
2. Australian Government - PPSR Register
3. Jacaranda Finance - Average Cost Of Owning A Car in Australia In 2024
4. Numbeo - Cost of Living Comparison Between United Kingdom and Australia Reverse
5. Australia Backpackers Guide - Vehicle Registration in Australia – Rego Guide
6. Insurance 4 Car Hire - Driving in Australia
7. GOV.UK - Foreign Travel Advice - Australia

Sources checked on 17-Sep-2025.