The buyer’s checklist: How to buy a car in the UAE

August 21, 2018 10:00 am


UAE, the land of limitless opportunities and of course, cars! Whether you want to buy a used car for sale or a brand new one, there are certain conditions that you must be aware of.  CarSwitch.com is here to help you with some prerequisites before you buy a car. So, put your foot on the accelerator and start driving to buy a car in no time!

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A UAE driving license is mandatory to register

Though you can take ownership of a car without a driver’s license, you won’t be able to register it and get license plates to drive around. But don’t worry if you don’t have a UAE driver’s license yet. According to the government of Dubai, if you have a valid driving license from the following countries, you can convert it to a UAE driving license without having to take any driving tests.

The countries include, Australia, Austria, Bahrain, Belgium, Canada, Denmark, Finland, France, Germany, Greece, Ireland, Italy, Japan, South Korea, Kuwait, Netherlands, New Zealand, Norway, Oman, Poland, Portugal, Qatar, Romania, Saudi Arabia, South Africa, Spain, Sweden, Switzerland, Turkey, United Kingdom, and United States.

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Evaluate your options

Car options and features are endless, so think through what would make or break a car deal for you. Some of the features to tradeoff may be a comfort for looks and speed. Do you care for one quality more than the other? Is a reverse parking camera a deal breaker? Or would you be willing to sacrifice some features? Have a think through your options to narrow down the search, and if you’re hungry for more but on a budget there are some great used cars for sale in Dubai if you are open to it!

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Full payment or car loans in installments? You decide!

There are three ways you can go about paying for your car:

1- You can pay for the vehicle in cash entirely. If you have the cash ready at hand, you can make a full deposit for a speedier transaction.

2- A bank loan for both new and used cars in UAE: For a car loan, at least 20% of the payment must be paid as a down payment. The remainder would be paid through monthly installments over a 1 to 5 year period and the interest rates can be as low as 2.9%.

3- You could choose to go for personal finance. This could mean getting a personal cash loan you’re your bank or getting a family member or a friend to finance your car if you are so lucky :).

No matter which option you choose, always try to set up a realistic budget that works for you. In case you decide on a bank loan, make sure to get the necessary documentation ready such as your Emirates ID, passport, driving license and salary certificate and a plan of your repayment method.

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Buying a new car

There are generally two ways you can buy a new car: either directly from the official dealership or one of smaller dealers for example in Al Aweer or Haraj markets. After browsing through different dealerships, do take a test drive. Cars generally come with an at least two-year warranty and often with one year of service. Cars dealers can also help arrange financing with better interest rates than banks and they can also be more convenient. But dealer margins and potentially botched cars (e.g., they swap the OEM approved tires for cheaper Chinese counterparts) are factors you must consider before leaping into a “dealer-deal.”

Read: Business tips: 5 ways to make the best ‘First Impression’

Buying a used car

In addition to the traditional dealer options, you have the option here of buying directly from a private seller to avoid the dealer margins. This route may come with a bit more pain as you’ll need to be cautious of the car condition and navigate the process of getting financing, insurance and transferring ownership independently. You can, of course, opt for a service like CarSwitch.com where through the cars are from private sellers they are all pre-inspected with the results shared online and CarSwitch.com staff walk you through all the paperwork so it’s hassle-free.

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AMEinfo Staff
By AMEinfo Staff
AMEinfo staff members report business news and views from across the Middle East and North Africa region, and analyse global events impacting the region today.



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