How to Buy a Car in the UAE

One of the prime features of a UAE lifestyle used to be the affordability to buy and drive the best cars. Many expatriates loved the freedom it gave them and envied pictures of their colleagues in their new or second hand Porsches, BMWs, Mercedes or whatever. The fact is that cars are cheap in the UAE compared to the UK or the USA. Secondly the fuel and maintenance costs are also far more affordable. The wide array of new and used car dealerships in Dubai means that you have plenty of choices to consider before making a final decision.

According to UAE laws, if you do not have a residence visa for Abu Dhabi, then you simply cannot buy a car. So the first thing would be to get your residence visa in place. Once you have managed to get all the necessary paperwork sorted out and you’re officially a resident, the next step to consider is the model or kind of car you would like and whether you want a new or used car. New cars are cheap and used cars are a lot cheaper. In the UAE, the turnover of expats is quite high and in some cases it may be swift (in case he or she does not like the working conditions), so you may find some real bargains to be had, even when it comes to cars that are almost new.

If you decide to go for a new car, there are a lot of dealers carrying the major US and Japanese brands. Sometimes the cost of a car can be up to a third of the cost that you would pay for a similar vehicle in the UK. People get excited when they anticipate that they can easily afford a really good car. But you may be able to get even more for your money in relative terms, if you buy a used car.

Here’s why. Given that most expats in Abu Dhabi have a car, and that some of them are on the move each day, those that leave with minimal notice are keen to offload their vehicles and may sell it for a really bargain price. It helps to wait a while, get the word out and keep an eye open while passing public places such as supermarket notice boards, online forums, in the local newspapers and even the company intranet. Else you can just go down to a number of auto dealers and look at their second hand cars on display.

You can also buy used cars at auctions in Abu Dhabi. One good thing about auctions is that all cars must undergo a vehicle check. You can register the purchase at the auction and then at the onsite Traffic Department office. The bad thing is that you have no warranty or guarantee on the product so it is better to take someone with you who knows about cars before you begin bidding. This is sound advice for all second hand cars, before you hand over any cash for the purchase.

Some new and used car dealerships also offer you financing if you can’t buy a car for cash. The deals are arranged with their preferred bank, however you may find you can get a better rate on a loan from your own bank. If you do take on finance from a car company, they may want you to present them with the whole lot of forward dated checks to cover each payment. Remember that bouncing checks is a criminal offence that can land you in a lot of trouble in the UAE, so make sure that you leave enough funds in your bank account to clear the check when the time comes.

On the other hand, if you choose to purchase a second hand car you will need to transfer the ownership of the vehicle. To do this, you and the previous owner will have to go to the Traffic Police station and fill in an application form, at the same time presenting the registration card for the car, the car’s license plates, an insurance certificate, and information from the previous finance company if any, stating that there is no outstanding debt on the vehicle. You have to pay around Dhs 20 for the transfer. Both you and the seller should have their passports and residence permits along with copies of the same.

For insurance purposes, you need the normal information about the car such as make, model and chassis number. Here again, there are a number of insurers to choose from. You will most likely be influenced by cost or personal recommendation. Remember to check who will be covered by the policy, as sometimes female spouses are not included. Also ensure that there is coverage included for ‘blood money’ that is paid to a victim’s family if you accidentally kill someone on the road. Due to the terrible state of driving in the UAE it is advised that you should go for fully comprehensive cover with personal accident insurance included.

After the car is insured, you can register it. This has to be done once every year. Beyond a one month grace period, you will have to pay a fine for every month you’re late with re-registration. When buying a new car the dealer usually helps with registration. Cars over two years old have to first be tested at a testing center before they can be registered. In this case you will need to take with you the registration card, a valid insurance certificate, purchase agreement and vehicle transfer documents if applicable. You will need to pay for the registration in cash, but before you do so, any outstanding traffic fines against the vehicle will be shown on the system and you’ll have to pay them.

For those who would prefer to avoid all this running around, there are firms who for a fee will handle the whole process. You can ask or look around in the newspapers for companies offering registration services – their fees are not much compared to the amount of time and stress they will save you. Happy driving…...

High Expectations for the Abu Dhabi International Motor Show 2010

Despite many of the global economies experiencing challenging times, the UAE still retains its position as one of the world's richest consumer markets. It has long been the focus of international automotive manufactures and sellers to build up their presence in this lucrative region.
If the success of the recently concluded Dubai International Motor Show 2009 is anything to go by, there are strong expectations that the Abu Dhabi Show 2010 will also get off to a wonderful start. For auto enthusiasts, both the Dubai and Abu Dhabi Auto Shows are events of regional and international significance. This is because international car makers get to show and market their goods to the regional UAE market. These auto shows are held once every two years. By some estimates, the 2009 Dubai exhibition pulled in over 100,000 affluent visitors from all around the UAE and its neighboring regions- Kuwait, Bahrain, Iran, North Africa, the CIS and even the Indian Subcontinent. A total of over 600 participants from 27 countries presented the best in design and technology in the auto world. Included in Dubai’s 2009 Motor show were 13 world premieres, 40 regional launches and over 200 new models covering super cars, concept cars and hybrids.
Covering a complete representation of the automotive industry under one locale and having dedicated showcasing areas for vehicle manufacturers as well as suppliers and other dealers, the Dubai and Abu Dhabi International Motor Shows provide automotive professionals the perfect platform to present their product. The 13th Abu Dhabi Motor show is scheduled to be held from 7-11 December 2010 at the Abu Dhabi National Convention Center. On display will be the latest models, premier launches, hybrid cars, SUVs, concept cars, motorcycles and much more.
According to exhibitors’ feedback received at the last Abu Dhabi International Motor show, around 25 percent visitors showed interest in Sports Cars; 26 percent in Luxury Cars; 24 percent in SUVs; 19 percent in Mid Range Cars and 12 percent in Motorcycles, etc. The truth is that after Dubai, Abu Dhabi ranks as the second most principal market in the UAE. Even today you will see a great amount of preparation put into the upcoming event of the Abu Dhabi International Motor show. Many of the spaces have already been booked, and there is some indication of how busy the event is expected to be. The event proves to be a boon for the local advertising and media industry as well. Banners, brochures, buntings and a whole lot of other means are solicited to make the event popular, successful and help stand out as an iconic experience.
Although it’s early days yet, it has been noticed that the website of the Abu Dhabi International Motor show is one of the most visited in terms of UAE autos websites. Since it is an event that draws local, regional and international interest, all three types of visitors have thronged its website. Calls and emails continue to pour in at the concerned marketing offices. With the interest of the expatriates and immigrant workers now shifting from Dubai to Abu Dhabi, the market for used cars Abu Dhabi and car dealers Abu Dhabi is promising. It’s a good time to buy a car Abu Dhabi and go for a spin on its well structured roads.