Can I Afford A Mercedes C-Class? (Read This First!)

The German automaker offers the C-Class sedan that has all the luxury amenities that you’ll find in top-end automobiles.

The Mercedes C-Class is one of the company’s most renowned models and for a good reason.

It has unparalleled build quality, incomparable luxury features, and a drive that makes you forget about life’s problems.

This article answers the question “Can I Afford A Mercedes C-Class?”…

Can I Afford A Mercedes C-Class?

All you need is a healthy budget, to know the yearly average cost explained in this article, and to have a yearly income that matches the expenses. The C-Class is a costly sedan, even though it is small-sized. It is the ideal vehicle for an everyday commute and an occasional leisurely weekend drive. 

You can buy other cars that are much bigger in the same price bracket. However, there is no replacement for the Mercedes name and its amazing vehicles.

What Are The Prices For The C-Class Models?

The Mercedes-Benz C 300 sedan has a starting price of $41,400. The car comes well above the price bracket of other compact luxury vehicles.

An example is the Lexus IS, which costs $39,040, and it has a ton of features accompanying that price.

The convertible variant is surprisingly more expensive. You would think that removing the roof would help cut down on the cost, but instead, the car costs a whopping $53,950.

The Coupe model is slightly closer to the sedan in terms of price. It starts at $45,940.

It is interesting to note that these prices are without any additional features or packages offered by Mercedes as extras.   

For the more adventurous among you, Mercedes makes high-performance AMG versions of the C-Class. The price of this vehicle is even higher than the regular one.

The C-43 AMG, for example, has a starting price of $55,950. And the top of the line C 63 AMG starts at $84,900.

Once you add the performance or appearance packages, the price shoots up and takes the C-Class a bit further away from your reach.

How Much Is A Monthly Loan Payment?

The best way to buy a Mercedes C-Class is to get it financed through a bank loan.

You will get a massive liability on your shoulders, but at least the comfortable drive of the C-Class will offer some consolation.

Each bank offers a different rate, so there is no definitive figure, but we can estimate the monthly price you would have to pay to own your dream vehicle.

The cheapest C-Class trim costs $41,400, and you are aiming for that.

In a hypothetical situation, you pay $10,000 as a down payment and get the loan with an interest rate of 3% while the sales tax is 5%.

The term of the loan is set at 60 months, which is the most common repayment period selected by the average person.

If you want, you can get a 72-month loan, but that is not advisable since you pay a lot of money in interest repayments to get that benefit.

So, with all that data crunched in, you will get a loan of $33,470 and you will pay $2,277 in terms of interest. The monthly installment will be $596 for 60 months.

You can get one cheaper, directly from Mercedes-Benz. They usually offer a low rate, so you can expect to pay as low as $459 per month.

All in all, expect to pay $1000 to $2500 as interest on the loan, which is on top of the car’s ex-factory price.

How Much Is Road Tax?

Owning a luxury car has its perks, but you have to pay a lot of money in the form of taxes. In the U.S, however, the government does not charge a formal road tax.

Instead, the country has an annual registration fee that varies depending on the car you have.

You have to pay it at the end of each year because, without it, your car is bound to be confiscated.  

The registration fee is different in each state. Also, the fee you pay may be based on your car’s weight, age, value, or all these factors combined.

Take a look at our article “How Much Is Road Tax For The Mercedes C-Class In The US?” for a full explanation.

How Much Is Insurance?

Insurance is necessary if you want to drive your car on the road. You get many options to choose from and many companies that offer their services.

You must always select the best one by consulting your peers or by visiting online forums.

The company that provides the best policy and is trusted by others, should be your first choice.

The only time you don’t choose the recommended brand is when you do not have the budget.

You have to inspect the coverage they provide, the premium they charge, and the protection you get in case your car gets stolen or damaged.

The Mercedes C-Class is an executive vehicle, so you can expect a high premium, especially if you have a brand-new car.

On average, you can expect to pay between $1000 – $2500 depending on where you live.

The rate in the more populated states is higher. For example, you will pay almost double or triple the premium in Florida than you will in Kansas.

How Much Is Yearly Maintenance?

A vehicle requires routine maintenance to stay in top shape.

You need to be very careful as skipping the maintenance schedule can lead to malfunctions and thousands wasted in repairs.

Mercedes vehicles are precious and expensive, so if anything goes bad you will have to pay a hefty amount in repairs.

Therefore, never skip routine maintenance, and conduct it after every 3000-5000 miles or six months to be safe.

The user manual provided in your C-Class will tell you what to do and when. In the initial stages, just an oil change, tire inspection, and filter replacement have to be carried out.

The cost will increase slightly in an older model as you would have to keep some spare money for repairs.

On average, you can expect to pay $1,200 every year for your Mercedes C-Class.

In the first year, the C-Class will set you back by $864. As the years progress, the cost will keep on rising.

The second-year costs will equal $1,563. The maintenance cost in the third, fourth and fifth years will be $2,680, $1,137, and $1,384, respectively.

How Much Fuel Does It Consume?

The Mercedes C-Class is not a gas guzzler by any standards, but it is a luxury car, which means it has a large engine under its hood.

A potent powertrain consumes plenty of fuel to perform. On average, you can expect to spend $1,500 on fuel per year.

The cost doesn’t change much even if your car is old since your driving habits will ultimately decide the cost.

The sedan gives 24 miles per gallon in the city, while the highway mileage clocks in at 35 mpg. These figures are EPA estimates, which means they are not 100% accurate.

What Is The Total Average Cost Per Year To Own A C-Class?

The first year of ownership will be comparatively easy since you will not have to pay for repairs. However, taxes and other fees will be applied to your vehicle.

The total average will depend on your car’s age. An old Mercedes C-Class might require some repairs in the first year and increase the overall yearly costs.

However, if the vehicle is brand-new, there are minimal chances of any issues.

In the consequent years, the annual cost will rise, owing to car repairs and maintenance. It will keep on climbing the linger you own the vehicle. Therefore, it is better to buy a new one.

According to estimates, the yearly average to own a Mercedes C-Class is $10,436.

The figure covers all the maintenance, repairs, taxes, and insurance costs. It also takes into account depreciation, so you get the true idea of ownership.

How Much Should Be My Yearly Income to Own A C-Class?

Let’s calculate all the costs you will incur by buying and owning a Mercedes C-Class. If you buy it in cash, the cost will be hovering around 42 grand.

Add to that the cost of taxes and insurance, and the total will rise to $55,000.

The other assumption is that you buy the vehicle on a lease, in which case the total cost will boil down to around $20,000.

The number has been attained after accounting for the lease and the cost of ownership.

In essence, if you want to buy and drive a Mercedes C-Class you have to have a yearly salary crossing at least $40,000.

In an ideal situation, a $50 or $60 grand yearly income will allow you to comfortably buy the Mercedes, maintain it, repair it and drive it around without running to save cash.

It is easily doable and within the bounds of an average person.