New to DubaiBuying a car in Dubai: new or used, finance and registration
Buying a car in Dubai is simple once you have three things: a residence visa with an Emirates ID, a UAE driving licence and insurance in your name. If you buy new, the dealer handles most of the paperwork. If you buy used, you do the checks yourself. Then you and the seller transfer the car through the RTA (the Roads and Transport Authority, which runs driving and vehicles in Dubai).
Below you'll find the order that works, the checks that matter on a used car, and how finance and insurance fit in when you've only just arrived.
What you need before you buy
You can start looking at cars in your first week. You can't register one in your own name yet, though, because expats need a valid UAE residence visa and an Emirates ID to do that.
Get these sorted first and the rest goes quickly.
- Your residence visa and Emirates ID card.
- A UAE driving licence. Our guide to getting a UAE driving licence covers swapping your old one or learning at a driving school.
- A UAE bank account if you're taking finance or paying by transfer. Banks need your Emirates ID before they'll open one. See how to open a bank account in Dubai.
- Insurance in your name for the exact car you're buying.
- No unpaid fines on your own traffic file. Clear them before you start so nothing holds you up at the counter.
New or used: which suits you?
A new car from a dealer comes with a warranty, and the dealer normally does the registration paperwork. You choose, sign and collect. The catch is that you're paying for a car that hasn't lost any value yet.
A used car gets you more car for the money, but the checking is down to you. Dubai's heat is hard on batteries, tyres, rubber seals and air conditioning, so a car's condition tells you more than its mileage does.
If you've only just landed, there's no rush. Renting for your first few months gives your visa and licence time to come through, and gives you time to learn the roads. Read renting a car in Dubai before you sign anything long.
Buying new from a dealer
Pick the car, agree the deal, then pay or arrange finance. The dealer usually registers the car before handover, so the plates and paperwork are done when you drive away.
Before you sign, ask exactly what's included. How long does the warranty run? What servicing is covered? Is registration part of the deal? Is a Salik tag fitted? (That's the windscreen sticker that pays Dubai's road tolls.) Get insurance quotes from other insurers too. The dealer's policy is the easy option, but that doesn't make it the right one for you.
Where people buy used cars
Each place leaves you a different amount of checking to do. Some dealers sell certified pre-owned cars with a short warranty. Private sellers leave the most to you, because nobody else is vouching for the car.
- Used car sections at brand dealerships
- Independent used car dealers
- Private sellers advertising online
- Car auctions
Checks to do on a used car
The NTD Team's rule is simple. Always run a VIN check, and always have a garage you chose check the car. It feels like an extra step, but many cars written off in accidents in other countries are shipped here and registered again. If it's an American import, be very suspicious.
Do all of this before any money changes hands. If a seller pushes back on an inspection, that tells you something.
- VIN check. The VIN (vehicle identification number) is the car's unique ID. It's printed on the car and on its papers. Put it into a VIN check service to see where the car came from and what has happened to it.
- GCC spec or import. GCC spec cars were made for sale in the Gulf. An import isn't bad by default, but this is where hidden accident history turns up, so the VIN check matters most here.
- Your own inspection. Book a pre-purchase check at a garage you pick, not one the seller suggests.
- Service history. Ask for service records or dealer stamps, and make sure the mileage on them fits with the odometer.
- A bank loan on the car. If the seller financed it, the bank has a hold on it. Ownership can't pass to you until the loan is paid off and the bank issues a no-objection certificate (NOC).
- Fines. The seller has to clear every traffic fine before the transfer. Ask them to show you there are none outstanding.
- Registration and inspection. Check when the registration runs out. Cars more than three years old must pass a technical inspection every year before their registration can be renewed.
- Tyres. Look at the date code on the side of the tyre as well as the tread. Heat and sun age rubber before the tread wears down.
- Air conditioning. Leave the car running in the sun for a while and check the AC still blows properly cold.
- A proper test drive, including some motorway and the kind of traffic you'll sit in every day.
Paying: cash or car finance
Paying in full is the simple route. Use a bank transfer or a manager's cheque, and don't hand anything over until you and the seller are ready to do the transfer together.
Car loans come from banks and registered finance companies. UAE Central Bank rules say a car loan can't be more than 80% of the car's value, so you'll need to pay at least a fifth of the price yourself. The loan can run for 60 months at most.
The lender will want to see your ID and proof of income. Each bank sets its own rule on how long you must have worked for your employer, and this varies, so ask before you apply. Also ask whether the offer depends on your salary being paid into that bank.
The loan is secured by a mortgage over the car, which means the bank holds a claim on it. You drive the car and look after it as your own, but you can't sell it freely. Once the loan is paid off, the bank gives you an NOC and the hold can be lifted.
Insurance
You need insurance in your name before the car can be registered or transferred to you. The legal minimum is third-party cover, which pays for damage you cause to other people and their property. Comprehensive cover protects your own car as well. If you're taking finance, ask the bank what cover it needs before you buy a policy.
Newcomers are often surprised by agency repair. With it, your car is repaired at the brand's own dealership rather than at any approved garage.
What you pay depends on the car's value and age, your driving history, how long you've held a licence and whether you choose agency repair. If you have a no-claims certificate from your insurer back home, bring it. Not every UAE insurer accepts them, but many do.
Registering the car and transferring ownership
For a used car, the transfer usually goes in this order.
After that, you renew the registration every year. You can do it online, in the RTA app or on its website. Cars more than three years old have to pass a technical inspection first. Any fines and Salik charges must be paid before the renewal goes through.
- The seller pays off every fine. If the car was financed, they get the bank's NOC.
- If the car is more than three years old, it passes a technical inspection, unless it already has a valid one.
- You buy insurance on the car in your name.
- You and the seller go to an RTA testing centre or service centre in person with your original documents. The seller brings their Emirates ID and the original registration card. You bring your Emirates ID, UAE driving licence and insurance. If the seller can't come, the RTA needs a sale agreement from an approved Dubai showroom, or a power of attorney.
- You get the registration card (the mulkiya), which also shows up as a digital card in the RTA's apps.
- You sort out Salik. A Salik tag can't be passed to a new owner, so the seller should remove theirs. You buy a new tag and activate it online.
Living in another emirate
Where you can register a car depends on which emirate issued your residence visa. If your visa is from outside Dubai, the RTA will only register a car for you in Dubai if you meet certain conditions. Examples are working for a government or semi-government body in Dubai, owning property here, studying here, or owning or managing a business with a Dubai trade licence. If none of these apply to you, you'll need to register with the authority in the emirate that issued your visa.
About Sharjah: the drive between Sharjah and Dubai is a very frustrating commute, and the NTD Team doesn't recommend it. Our guide to checking and paying fines explains how to stay on top of fines wherever you drive.
Ask around, then double-check
Talk to people who've lived here a while. Ask which garage they trust, how their finance went and what they wish they'd checked.
Just don't take their advice as fact. Things here change quickly, and a rule that applied to a friend two years ago may not apply now. Get a second opinion, and check anything important with the RTA, your bank or your insurer before you act on it.
Next step
Once the car is yours, learn the rules of the road, parking and tolls. Browse the rest of our cars and driving guides.