Buying a Car in Dubai

Buying a car in Dubai doesn’t have to be as difficult as you might think. If you are interested in purchasing a car in Dubai or buying a car abroad and importing it to Dubai, there are some basic things you should consider. What’s great about car purchases in Dubai is that their list prices compared to other regions is so much cheaper, but you’ll also need to think about not only the actual purchase but also insurance and registration among other things.

The first thing you need to know about buying a car in Dubai is that you must have a residence visa for the country. If you do not then you won’t be able to buy a car there. As long as you have that bit of paperwork, you’re set. All you need to do is decide whether you want to purchase a new car or a used one. Remember, new cars are inexpensive but used ones are even cheaper!

Many people choose to buy used cars in Dubai simply because they are so affordable. Used cars are usually just as good as new ones since the turnover rate of expatriates in Dubai is so swift. People are always coming and going and will often sell their cars for great bargains. If a used car is what you’re after be sure to check notice boards, online forums, newspapers, colleagues, and even used car dealerships.

There are plenty of dealerships specializing in both used and new cars. An excellent source of used cars in Dubai is at auction. Buying a used car at auction or a dealership in Dubai is usually your best bet as the cars have all undergone vehicle checks and tests.

If you need financing for a car purchase in Dubai it is possible through most new and used car dealerships as well as local banks. The basic principle is very similar to the same process in the United States. However, be sure to know that there some differences. Many lenders will ask for forward dated checks to be cashed on each due date of your loan instead of monthly payments. When you get financing through the dealership it is important to note that the loan will come through the dealership’s preferred bank. If you choose your own bank, you may actually get a better rate and terms on your car loan.

Getting insurance is absolutely essential in Dubai. There is no shortage of car insurance options in Dubai and your dealership can also help you locate an insurer. However, unlike the U.S. be sure to pay close attention to who is covered on your policy. Quite often, female spouses are not included on the insurance coverage. Also be on the lookout for “blood money” which is money paid to the victim or victim’s family in the case of death or severe injury caused by a collision.

Once you’ve purchased the car and insured it you will need to register it. All cars in Dubai must be registered. If you buy a car from a dealership, the dealership will help you register the vehicle. However, if you purchase the car from an individual the responsibility lies on you. Remember, if your car is more than two years old, it must be tested before it can be registered. You can take it to a testing center or hire a service to do this for you.

As long as you know all the basics about buying a car in Dubai, you should be fine. Just remember, it is always wise to go into the purchase of a car as an informed consumer, so do your research before signing on the dotted line. Also, if you plan on importing a car into the country, there are other steps that you will need to take, so making your purchase locally might be your best bet.

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