Should a relative of mine buy or rent a car in Sydney.

Should a relative of mine buy or rent a car in Sydney. I have a relative flying in from overseas and he is staying here for 3 months. If he were to rent a car it will cost over $2000. I suggested he essentially buy a used car then sell it before he leaves. Can this be done and will Travel Insurance "cover him" for any damages to the car?

Theoretically you can definitely save some money that way. But how many hours will your relative have to spend buying and (worse) selling this car? What's their tolerance for risk? (The older a car you buy, the less the change-over costs will be, but the greater chance of things needing fixing within the three months...) Do they have sufficient mechanical ability to evaluate the quality of a particular car, and to fix minor things if they go wrong? All these factors need to be taken into account. If your relative is unsure of his ability to buy, sell and fix cars efficiently the whole ordeal may be more trouble than it's worth.

Not sure of the legality of owning and insuring a car for someone with only a foreign licence either, you'd want to check into that. I remember when I moved to the US I couldn't get an insurance policy on my car until I'd acquired a local driving licence.

As for travel insurance covering an owned car, I seriously doubt you'd find a policy like that, but feel free to check the fine print.

Roughly where in Sydney do you live? Surely they can use public transport, and if necessary you can take your own car out and pick them up.

He is adamant on making his own way round. He has lived in Australia before. He thinks he can just go to parramatta road and buy something that has a a valid rego for at least 6 months.