Buying cars in Dubai - Everything you need to know

Buying a car in Dubai – Everything you need to know

Thinking of buying a car in Dubai? It is no secret that owning a car is a necessity to live in Dubai. And you are in luck as well, because it is not that difficult a process and would be less expensive than in other countries. There are plenty of places like car dealerships, showrooms and even auction houses to buy your car. The paperwork and approvals required are also a minimum hassle process, making it less stressful and time consuming than what you may have encountered in other countries.

If you are still wary of the prospect of buying a car in Dubai, perhaps this guide will help ease your nerves and initiate the process of buying your own car in Dubai. These are some of the frequent questions we have received regarding the buying process. This guide covers queries related to buying a new car and buying an old car.

FAQs related to buying a car in Dubai

What are the documents required to buy a new car in Dubai?

There are several documents that are required when buying a new car in Dubai. They are,

  • UAE residency visa ( both Original and a copy)
  • Passport (Both original and copy)
  • Emirates ID
  • A valid UAE driving license (International driving licenses from certain countries are accepted)
  • Insurance documents

Many of the dealers and showrooms have foreign built vehicles such as Japanese and American models as well. The main reason for so many people to flock to buying a car in Dubai is because of the comparatively very low prices throughout the UAE.

What are the documents required to buy a used car in Dubai?

Would you much rather prefer buying a second hand car over a new car? That is also quite a good option, especially in Dubai, where there is a plethora of used cars in good condition available to be bought in car showrooms, dealerships and especially in car auctions.

There are several documents that are required when buying a used car in Dubai. They are,

  • UAE residency visa
  • Emirates ID
  • Passport copy
  • Car Insurance agreement copy
  • Dubai-issued driving license
  • Vehicle’s previous registration card
  • Authorised inspection certificate

Where can I buy a car in Dubai?

There are so many car dealerships and showrooms available in Dubai on practically every street. If you are in need of a renowned multi brand car dealer, dealers such as Al- Futtaim cars, Al- Rostamani cars, Al- Awir complex and Elite cars are several reliable and popular car dealerships.

Cars dealers such as Al- Futtaim and Al- Rostamani also deal with used cars, if that is your preference.

You can also find quality cars and good deals in car auctions that frequently happen in Dubai and Sharjah. You can be sure about their trustworthiness as the majority of them are handled by the government or state entities such as the Dubai police.

Do I need insurance to buy a car in Dubai?

Insurance is necessary to buy a car in Dubai, whether new or old. It will probably cost around 1% to 3% of the value of the car to get insurance coverage. There are several Insurance companies online that will offer you several packages of coverage. Some factors that affect these are, your age, driving history and credit score.

Do I have to register my car in Dubai after buying it?

Once you have got your insurance coverage, you are eligible to register your vehicle.

If you are registering a new car, registration will cost you AED 420 and opening a traffic file will cost you another AED 220.

If you are registering a used car, the registration cost is again AED 420. However a few more charges are incurred such as the vehicle technical inspection (AED 170) and the transfer of ownership (AED 350). You will also have to pay for opening a traffic file, which again is AED 220. Reregistration should happen annually. If you are late in  re-registering, you will be charged an additional AED 25 per every month of delay.

What is the best time to buy a car in Dubai?

While prices are comparatively lower in Dubai than the rest of the world throughout the year, there are several times where the prices go even lower. Here are some of those occasions.

The Ramadan month is an excellent time to buy a car in Dubai as car dealers are likely to offer mega discounts and have huge sales to attract more customers.

National holidays and ceremonies are the best times to buy a car in Dubai. Just like for the Ramadan month, in light of the ceremonies, car dealers are likely to offer massive discounts and sales on their cars.

Summer is always a busy time in terms of the car industry. Many expats consider traveling during this period so the demand for buying cars in Dubai is very less. Therefore, you are likely to get a good deal of the dealerships in this period.

If you don’t mind getting an old model of the car, the dawn of the new year could be an exciting time for you to buy a car in Dubai. Dealerships are willing to dispose of the older models to make way for the newer models so they would likely reduce prices and maybe even have stock clearance sales to boost their sales.