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Top Car Dealerships in the UAE: A Comprehensive Guide

The UAE is a paradise for car enthusiasts, particularly those who appreciate prestige models, high-performance sports vehicles, and SUVs. Undoubtedly, the UAE's high-quality roads, high speed limits, affordable gasoline, and arid terrain for off-road excursions make it an attractive destination for avid drivers.

However, purchasing a vehicle in the UAE will perplex you, documents, obligations, licenses, and more can intimidate the best of the people. After all, for many expatriates, this is one of their first major expenditures, and with such a diverse selection of vehicles available, you want to make sure you get it right. To ensure that you pay a fair price for a high-quality vehicle, it is crucial to be knowledgeable of the new and used car markets. With the proper advice, however, many expatriates can afford automobiles that they might not be able to afford at home.
Considering this, this article details everything you need to know about purchasing wheels in the UAE.

Purchasing a vehicle in the UAE

When purchasing a vehicle in the UAE, there are numerous factors to consider, including road safety. Even though the country's roads are generally in excellent condition, you may encounter hazardous driving practices such as accelerating on motorways and roundabouts, changing lanes without signaling, and cutting in front of fast-moving vehicles.
In recent years, approximately one-fourth of all deaths in the United Arab Emirates have been caused by traffic accidents, and this number continues to rise to the point where the Ministry of the Interior is implementing a national road safety strategy to stem the rising number of fatalities on the nation's roads. As a result, intelligent drivers in the UAE will prioritize safety features when purchasing a vehicle.

Although the United Arab Emirates has a modern, efficient, and sanitary public transportation system, driving remains a popular mode of transportation in the country. Indeed, there are approximately 3.5 million vehicles on the road in the UAE as of 2021, of which 40% are in Dubai, the country's largest and most populous city.
For many expats, the high, tax-free salaries allow them to purchase more luxurious automobiles than they could back home. Purchasing a vehicle in the UAE has become less cumbersome over the past decade, as more administrative procedures are now completed online.

New versus secondhand cars

In the United Arab Emirates, both used and new car dealers in Dubai are common and offer a vast selection of automobile brands and models. There is also an active online market for used automobiles, but drivers will be better protected if they purchase from larger used Car dealers in Dubai.
As the United Arab Emirates is a federation of seven emirates, expats must register their vehicles in the emirate that corresponds with their visa. Additionally, each emirate has its own number plates and registration process, as well as distinct procedures for procedures and fees. However, vehicles older than three years must undergo an inspection before being registered.

Who can purchase a vehicle in the UAE?

Anyone who is 18 or older (the legal driving age in the UAE) and possesses a valid driver's license can purchase a vehicle in the UAE. To obtain a complete license, you must pass a driving exam in your home emirate if you learn to drive in the country.
If you are from one of the 43 approved countries for license transfers, you can exchange your license for a UAE license without taking a local driving exam. Otherwise, you must retake the examination in your home emirate to obtain a license.
In addition to a valid driver's license from one of the seven emirates, you must present your residency visa, a copy of your passport, and an Emirates ID card when purchasing a vehicle. Notably, the emirate should be identical on your residency visa, driver's license, vehicle registration, and license plate.

Purchasing a new car in the UAE

Purchasing a new car is a popular option for many expatriates, particularly if they are earning more than in their home countries. The main advantages of purchasing a new car in the United Arab Emirates are the large number of Car dealerships in Dubai, the variety of available makes and models, the good bargains on ex-demo and end-of-line models, and the beneficial guaranteed policies, which are useful if you purchase a defective new car.

Arranging a car loan

Some Car dealerships in Dubai will give you a discount if you pay cash, and others will let you negotiate the price. Essentially, all that can be done is to inquire and observe the results. If you do need a car loan, however, large car dealerships in the UAE often have relationships with the country's main institutions, making it simple to arrange financing without visiting a bank separately.
Even though this is a convenient method to arrange a loan, it is still advisable to shop around to see if any institutions offer superior financing terms. Although loan terms can differ, 60-month loans are common and can be secured with a down payment.
In addition to bank statements, a car loan typically requires a salary certificate or letter from your employer confirming your income. Some financial institutions require three months of bank statements, while others require up to six months.
In order to purchase a vehicle, you must present your residency visa, passport, and Emirates ID card. Probably, the Car dealerships in UAE will retain copies of these documents. It is illegal to operate an uninsured vehicle in the UAE, so you will also need to obtain insurance before you can leave the dealership with your new vehicle.
Obviously, you should be able to test drive the vehicle before you decide to buy it. Generally, new car dealerships can also assist with the registration procedure.

Where to purchase a new automobile in the UAE

The most common method to purchase a new vehicle in the United Arab Emirates is through an automobile dealer in UAE that specializes in one or more manufacturers. Some broker-style car dealerships sell a variety of vehicles but have no brand affiliations. However, they typically offer comparable financing options, registration assistance, and warranties to brand-affiliated Car dealerships in UAE.

Buying a used car in the UAE

The United Arab Emirates is a popular market for the purchase of pre-owned automobiles, particularly given the abundance of deals to be had. By 2025, the country's used vehicle market is projected to be worth 112 billion AED. Obviously, when purchasing a used vehicle, a demonstration drive is highly recommended, and you must still adhere to your emirate's registration requirements.
When purchasing a used car through an automobile dealer in UAE, the administrative procedures are typically streamlined and simplified. For example, the previous proprietor should have provided the vehicle's previous registration documentation. Many automobile dealers in Dubai will also handle a significant portion of the registration process for you. However, when purchasing a used vehicle through a used Car dealer in Dubai, you will still be required to provide the following documentation

UAE residency visa
Emirates ID card
Passport duplicate
Car insurance documentation
A valid driver's license that corresponds to the emirate where you are registering the vehicle.
Certificate from an authorized testing center proving the vehicle's roadworthiness; vehicles older than three years must undergo an inspection.

The pros and cons of buying a used car

When purchasing a used vehicle through an automobile dealer in Dubai or a reputable car market, the administrative procedures are typically streamlined. In addition, you will have greater consumer protections, such as warranties if there is a problem with the vehicle, than if you purchased it privately.
Most Car dealerships in Dubai have service centers where you can bring your used vehicle for repairs, maintenance, and other services. If you purchase a used vehicle privately, you will need to locate a service center. Many car dealership service centers will work on non-sold vehicles, but it is advisable to browse around for a trustworthy mechanic.
Notably, the same registration procedures apply regardless of how a used car is acquired. Emirates Vehicle Gate provides an online facility for verifying UAE-registered vehicles. This enables you to determine whether the vehicle has been involved in any accidents. There are also a number of online resources available to assist consumers in determining the average prices of new and used automobiles in the UAE.
When it comes to purchasing a used car in the UAE, there are several payment options available. When purchasing from a Car dealership in UAE or car market, you can pay with cash, a credit card, a check, or a wire transfer. If you do not wish to arrange a car loan with a bank on your own, many car dealerships can assist you in doing so. And if you are purchasing privately, you can pay with cash, a check, a bank transfer, or a bank-arranged personal loan.

Car dealers and markets

Car dealers in the UAE play an important role in helping individuals buy and maintain their cars. They offer a range of services that can help simplify the car buying process and ensure that you get the best value for your money.
One of the primary services that car dealers in the UAE provide is vehicle selection. Car dealerships have a wide range of new and used cars in their inventory, which can help you choose a car that fits your budget, preferences, and needs. Car suppliers can help you compare different models, features, and pricing options to help you make an informed decision. There are also Luxury car dealers in Dubai.
In addition to vehicle selection, top car dealers in UAE also provide financing options. Car suppliers have partnerships with several banks and financial institutions that offer car loans at competitive rates. This can help you get the best financing option that suits your needs and budget, without having to spend time searching for the best deals yourself.
Car dealerships in UAE also allow you to take test drives of the cars you are interested in. This helps you get a feel for the car and determine whether it meets your expectations or not. Test drives also provide an opportunity to ask questions and get clarifications about the car's features, capabilities, and specifications. Our website has a list of car dealers in UAE.
Apart from the initial car buying process, the best car dealers in Dubai also offer warranties and service centers to help you maintain your car. This ensures that your car remains in good condition and provides you with hassle-free driving experience. Car dealerships in Dubai offer routine maintenance services such as oil changes, tire rotations, and other necessary repairs to keep your car running smoothly.
Lastly, if you already have a car and are looking to upgrade, Car dealerships in Dubai can help you with trade-in options. Car suppliers can evaluate your current car and offer you a trade-in value, which can be used towards the purchase of a new car.

Registration papers and other documentation

In the UAE, the registration procedure for both new and used vehicles is identical. Automobiles must be registered annually in the emirate where the owner resides.

Following are the procedures required to register a vehicle in the UAE

If the vehicle is at least three years old, it must be inspected at a government-approved inspection facility.
Ensure that the vehicle is insured and that you possess all policy documents.
You must pay for any outstanding traffic tickets.
You can register your vehicle in person at a registration center or through one of the available online channels. These include the websites for the Ministry of the Interior, Emirates Vehicle Gate, the RTA for Dubai residents, and the Abu Dhabi Police for Abu Dhabi residents.
Pay registration fees differ between emirates; for example, in Dubai they are AED 420 and in Abu Dhabi they are AED 400.
Collect the relevant registration documents for the emirate.
Collect a new license plate if the vehicle is new. Used vehicle purchasers will receive a registration transfer. A decal with the registration expiration date is placed on the license plate.

FAQS

What is the process of buying a used car in the UAE in UAE?

To purchase a used automobile in the UAE, first agree on a price with the existing owner of the car and have the vehicle inspected by a licensed dealer. Purchase auto insurance in your name and with your vehicle's information. Before transferring ownership to you, the existing owner must first pay any outstanding fines on his driver's license or vehicle registration. After that, obtain the registration card and fix the expiration date on the rear side of the license plate.

Which is the best way to buy and sell cars in Dubai, UAE in UAE?

In the UAE, selling a car on your own is the most excellent option. All you must do is place a classified ad. Many individuals will contact you to enquire about your vehicle and will come to inspect it. This procedure is time-consuming, but it is the most efficient method to maximize your vehicle's worth. If you don't want to deal with it yourself, you can hire a vehicle dealer to do it for you. The procedure is quick, and you might sell your automobile in minutes.

What are the five types of car dealers in UAE?

If you want to buy a car, the good news is that there are many different car dealers to buy from. The following are the five distinct categories of automobile dealers:

Dealership for New Vehicles
Dealership of Used Automobiles
Buy Here Pay Here Dealerships
Private Sellers
A retailer on the Internet

What is the bright side of working in a car dealership in UAE?

Assuming you're referring to sales, working in a car dealership provides an opportunity for the proper person to earn above-average wages in a profession that doesn't often need years of post-secondary education and specialized training. In most cases, you will receive training at the dealership. Those who do well will never be unemployed. Good salespeople are in high demand at all times. Furthermore, you may apply your sales skills to almost any other sector that requires sales.

Do car dealers own all the cars on their lot in UAE?

Most auto dealers don't own the vehicles they sell, which may come as a surprise. A typical dealer's lot has several million dollars worth of goods, all of which are held by a bank or financing firm. A new automobile costs a dealer $5 to $10 per day in interest.

Do car dealerships offer insurance in UAE?

Car dealers have been selling insurance to consumers through a partnership with an insurance provider for a long time. Purchasing vehicle insurance from a dealership saves time. When you buy insurance via a dealership, the entire procedure is simplified and more convenient. The buyer may be eligible for bundling savings on the transaction if the automobile purchase and insurance are combined. Some vehicle dealers may forgo the first-year charge, making the offer even sweeter.

What kind of commission do car dealers make in UAE?

The question does not have a definitive answer. It will differ significantly from one location to the next and from one brand to the next, and model to model. Low-volume items frequently have larger profit margins than high-volume products. Any dealership will have expenses such as salespeople's salaries, property taxes, utilities, and so forth. All of these charges are paid for by the dealer's commissions. Furthermore, real commissions will fluctuate from transaction to sale based on the clients' bargaining skills.

Are car dealers allowed to sell at a loss in UAE?

It is up to the discretion of a vehicle dealer whether or not to sell cars at a loss. It all depends on whether they're having a good month or need to get rid of inventory. But, in the end, it's all about profit and loss in any firm. They do not have to sell the car if they lose a lot of money and believe there is no other way to profit. You cannot compel them to sell you the vehicle until you obtain a bill of sale signed by the dealer.

See all our business classifications and business categories list (A-Z).