Like anywhere else, buying a new car in Dubai is an important decision and a big investment. Especially in Dubai’s competitive car market, it is a bit overwhelming to choose a car that aligns with your wants and needs while staying on your budget. That is why it is important to choose a suitable option.
There are many different types of cars you can choose from. From SUVs to sedans and luxury brands to more affordable ones, Dubai is full of new and used cars you can buy. Therefore, it is important to determine exactly what you want and what your priorities are before making a decision. That is what we’re here for. In this article from Lookinsure mag, we aim to help you with making this decision and guide you through every step.
Frequently Answered Questions
1: Should you buy an extended warranty on a new car?
In case you plan to keep your vehicle for a longer time than the car’s standard warranty duration, an extended warranty might be useful.
2: Is it better to buy a new or used car?
Buying a new or used car depends on your priorities. In case affordability is the most important aspect for you, choosing a used car is a better decision. However, new cars have many advantages such as fewer necessary services, higher resale value, and more.
3: How much to buy a new car in Dubai?
There are many different car models available in Dubai and the price range is very wide. However, the average cost of a new car in Dubai is known to be around AED 85,000. Many cheaper and more expensive models are also available.
4: What to ask when buying a new car from a dealership?
Make sure to ask if the car has a warranty, what incentives they offer and in case it is a used car ask about the mileage and accident history.
5: How can I finance a new car purchase in Dubai?
Buying a new car in Dubai requires several documents including your Emirates ID, your passport, valid driver’s license, valid car insurance, and vehicle registration.
Things To Know When Buying A New Car In Dubai
When buying a new car in the UAE, there are several factors to keep in mind. Dubai is home to the most popular cars in UAE and all over the globe. Therefore, it might get a bit difficult to choose a car when you get in the process. Let’s take a look at the factors that you must pay attention to:
Types of Cars Available
There are numerous categories when it comes to vehicles. The most common categories are as follows:
Luxury cars
Cars brands such as Mercedes-Benz, BMW, Audi, and Rolls Royce are considered luxury brands. These brands produce high-performance cars with fine designs. Cars from these manufacturers cost more. Luxury brands are so popular in the UAE due to the people’s love for expensive and flashy items.
SUVs and Crossovers
SUVs and Crossovers are also very common cars in the Emirates and a solid option when buying a new car in Dubai. SUVs, especially 4WDs are popular due to UAE’s desert-like climate and landscapes. Plus, off-road driving is a common activity to the extent that all of the best car insurance companies in Dubai provide off-road insurance policies.
Sedans
Sedans are known as classy, everyday cars. These cars are great for an urban lifestyle and popular amongst business owners all around the world. Most manufacturers produce sedans. However, there are plenty of affordable sedan options such as the Toyota Camry and Honda Accord.
Electric cars
Electric cars have become so popular during the past couple of years. Due to their eco-friendliness and lower maintenance costs, these cars are great options for people who want easy-to-drive cars for everyday purposes. Tesla is the most famous brand to sell electric cars, and models such as Nissan Leaf are gaining popularity among drivers. These cars have become so popular that many insurance providers have dedicated several types of car insurance policies to electric cars.
Factors Driving the Car Market
Many factors influence the car market and those factors affect the cost of buying a new car in Dubai. Economic factors, social factors, political factors, and technological factors all go hand in hand to shape the car market. Let’s take a look at the highlight of these influential aspects:
Economic factors
Economic factors include interest rates, disposable income, inflation, gross domestic product, exchange rates, and unemployment rates.
Political Factors
Political factors include the government’s decision regarding which industries to promote and encourage to grow.
Social factors
Social factors include Changing Consumer Trends, demographic shifts, population growth, and more.
Technological factors
Technology is amongst the most influential factors when it comes to any industry and the car market is no exception. High-tech products usually become more popular and people try to buy cars that are not dated. Even one of the tips for buying used cars is checking if the car you’re purchasing is not so dated and is still easy to use considering today’s technologies.
Other factors
Other factors such as geographical factors, natural disasters, insurance companies, and much more.
Key Considerations When Buying a New Car
When buying a new car in Dubai, it is crucial to keep a few things in mind to make a smart purchase. Let’s take a look:
Budget and Financing
Determining your budget is the first and most important step of How to buy a car in the UAE. When you determine a clear budget, you should consider factors such as the initial price of a car, insurance, registration, and maintenance costs. All of these are inevitable parts of buying a car. If you think that you can skip any of them for later, you are wrong. For instance, if you’re wondering what is the fine for not having car insurance and thinking you can get it later in the process, you’re wrong. Driving without car insurance in the UAE leads to penalties such as an AED 500 fine, 4 black points on your driving license and even seizing your vehicle for a week. The same goes for registration.
Research and Compare
Another important step is research. Research helps you compare options that fall into your budget and take note of what each of their pros and cons are. This way, you can realize whether or not a car is suitable for you and your priorities. By doing so you can sometimes come across vehicles that are newer but priced better.
Test Drives and Inspections
Once you eliminate enough options and make a list including a couple of cars that are among your final decisions, you should do a test drive. Test driving a car helps you see how it truly feels and how comfortable the ride is. Pay attention to all the details and make sure that everything is aligned with your taste. Model types, upgrades, standard features, and the manufacturer’s warranty are among the most important things to pay attention to.
Where to Buy a New Car in Dubai
There are different places where you can check new car price in Dubai and make your purchase. The variety of these places helps you find what’s best for you. Some of these places even transfer car ownership in UAE, meaning you can get a used car or sell your previous car through some of these platforms. Let’s take a look:
1. Authorized Dealerships
These particular dealerships have been authorized by the manufacturer itself to sell their products. Therefore, they’re safe and have several advantages such as:
Genuine products
Authorized dealerships sell genuine, authentic, and original products
Warranty and support
Since these dealerships are directly linked to manufacturers, they offer official warranties and after-sale services.
Expertise
These dealerships are always offering trained teams of experts and professional services that can give you advice and assistance.
2. Online Platforms
Another popular way of purchasing a new car in today’s world is through online platforms. Make sure to choose a reliable platform to buy new car online. These platforms usually have the advantage of browsing through different deals at once and choosing the most suitable one. Some of the known online platforms to buy cars from in Dubai are as follows:
- DubaiCars
- CarSwitch
- YallaMotor, and more.
3. Car Expos and Events
Another way to buy a new car is through car events and expos. Car expos provide an up-close viewing of the vehicle as well as gathering all of the new models at once place. These events usually offer test drives that help you feel a car when it catches your eye.
Documents Required for Buying a New Car in Dubai
To buy a new car in Dubai, you must have all your documents ready. Let’s take a look at the necessary documents to make a car purchase:
Purchase and Registration Paperwork
- UAE residence visa (original and copy)
- Passport
- Emirates ID
- Valid UAE driving license
Insurance Requirements
When buying a new car, you must have insurance ready. Whether it’s your previous car’s policy that you’re transferring or a new policy specifically bought for your new car, the best time to buy car insurance is known to be before getting your car. This way you can also ensure that your car is insured from day one, and you can use it as soon as you make your purchase.
What to Consider After Buying a New Car
Even after buying a car, there are things to pay attention to. All of these factors influence the new car price in Dubai since the cost of a car does not equal to just its initial price.
Regular Maintenance
All vehicles have maintenance costs. Therefore, it is important to pay attention to a car’s maintenance costs before finalizing your purchase. Let’s take a look at factors that affect a car’s maintenance costs.
Make and model
Different brands and their different models have different maintenance costs. Luxury brands and more expensive models such as high-performance cars have higher maintenance costs.
Age and mileage
In case you buy a used car that has a high mileage, it might require more services and more frequent repairs which affects the maintenance costs compared to a brand-new car. However, a new high-tech car might be higher in maintenance costs due to its expensive features and parts. This might be one of the only disadvantages of buying a new car.
GCC or non-GCC
GCC cars are vehicles made specifically for Gulf Cooperation Council countries. These countries include Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates. GCC specs cars are specially designed for these nations and their particular weather conditions. They usually have better air conditioning systems, engine cooling options, and much more to be more suitable for drivers in the GCC countries. Therefore, buying a non-GCC car is higher in maintenance costs because its parts might not be available in the UAE and might require more professional services that not all garages are prepared for. Plus, Non-GCC car insurance is more expensive due to all of these reasons and more.
Resale Value
A car’s resale value is another important factor. This goes hand in hand with market demand. It means that when you want to sell your car, are people willing to buy it at a fair price or not? So many cars have a low resale value due to their low market demand. This means you will have to sell it for a much lower price, leading to a failed investment. Therefore, make sure to check a car’s resale value before making your purchase.
Buy Insurance for a New Car in Dubai
As we mentioned earlier, insurance is a very important aspect of buying a new car in Dubai. All drivers must have valid car insurance and driving an uninsured car has severe consequences and fines. Here at Lookinsure, we have gathered all of UAE’s best insurance providers to help you find the most suitable insurance policy for your car. Just let us know what type of car you are buying or already own and you’re good to go! We will provide you with all the most suitable options and you can compare quotes using our website.
Conclusion
When it comes to buying a new car in Dubai, the process might be a bit overwhelming due to the competitive market and all the different options available. Therefore, it is important to pay attention and make smart decisions. Lookinsure Mag is here to guide you through every step. From choosing your car and all its necessary steps to finalizing your purchase and getting insurance, we’re here to help you make the smartest decisions. Make sure to check our website to start your insurance journey today!
