This interesting question was posted in the Carma Forum - "Is now a good time to buy car?" http://forum.carma.com.sg/showthread.php?t=1232696 which trigger a couple of different thoughts in my mind. Alan's comment is good - buy when you can afford to do so but what about choosing the timing?
I can remember the mixed feelings of motorists who bought their cars when the COE quota premium crashed to $50. While they have gotten some rebate from the purchase agreement, the dealers are the ones that are laughing their way to the bank since they have made a lot more from the lower cost of those transactions with COE rebate usually set at very low levels.
So unlike stocks, COE cannot be traded so easily and thus, it is extremely hard to time your purchase for a bottom. However, if you know that the COE quota premium is being pushed up in the recent bidding exercise, you should wait out two weeks and sign on the sales agreement when the dealers lowered their prices after a drop in the COE quota premium.