Buying/Leasing a Car

NJcara · #1 (**permalink**) 28th August 2008, 03:05 AM

We have a transportation allowance of 40K AED annum. We'll need to get a car of course. Is it more common to buy/lease a used car or new? We are planning on being in Dubai for quite a number of years so we're looking long term. Is buying and leasing from a dealership handled the same as here in the states? Credit check, down payment, contract, etc.....What about car insurance? Can anyone give me some info on that as well. I'm in NJ and we pay the highest rates in the country! If it comes in less that'll be a treat!
Thanks again guys! You're all making the move alot less stressful.

grasshopper · #2 (**permalink**) 28th August 2008, 05:05 AM

Mate - apparently it's pretty easy to get finance over here. Rates are about 5% from what I hear. Insurance is also about 5% on the value of the car. I've had friends who have bought/leased new and used cars. Obviously with the latter its more of a hassle going out to all the dealers and scanning ads to find the one you want. Also if you ever look on youtube on what the car enthusiasts over here do to their cars you'll probably be a bit reluctant to purchase a used car!

NJcara · #3 (**permalink**) 29th August 2008, 03:30 AM

Quote:

Originally Posted by NJcara

We have a transportation allowance of 40K AED annum. We'll need to get a car of course. Is it more common to buy/lease a used car or new? We are planning on being in Dubai for quite a number of years so we're looking long term. Is buying and leasing from a dealership handled the same as here in the states? Credit check, down payment, contract, etc.....What about car insurance? Can anyone give me some info on that as well. I'm in NJ and we pay the highest rates in the country! If it comes in less that'll be a treat!
Thanks again guys! You're all making the move alot less stressful.

Thanks Grasshopper, Yeah, we'll definately go the NEW car route! I was just curious as to whether the car buying/leasing process is the same as here in the states. Particularily leasing. 1,2,3 yr contracts available? Down payments all that stuff.

bonk · #4 (**permalink**) 1st September 2008, 06:30 AM

You could consider renting a car in Dubai for the first month or two and investigate your options in the meantime. If you're here during Ramadan, some dealers offer good prices on new cars. Car rental firms also usually do car leases.

gliderman · #5 (**permalink**) 4th September 2008, 01:08 AM

I have been told by long term expat residents of Dubai that new cars depreciate by up to 40% in value over 2 years, which is a higher rate than other countries.

Does anyone know the car makes which have the better resale values in the UAE? Thanks.

bonk · #6 (**permalink**) 4th September 2008, 04:49 AM

Depreciation varies depending on model, much the same as anywhere. Allow 30-50% in first 2 years. I think insurance companies do 20% per year on valuation. Toyota and Mercedes hold value better.

ReloMan · #7 (**permalink**) 4th September 2008, 03:06 PM

NJcara...I was wondering if you have been able to get any prices. I am also in the market and have a allowance for a car. If I can find a US type long term (2-3 yrs) lease it would be the best route.

NJcara · #8 (**permalink**) 6th September 2008, 06:52 PM

Quote:

Originally Posted by ReloMan

NJcara...I was wondering if you have been able to get any prices. I am also in the market and have a allowance for a car. If I can find a US type long term (2-3 yrs) lease it would be the best route.

ReloMan, no we haven't gotten any prices per se. The company my husband is going to as well as the recruiter he was working with supposedly both have connections. We're getting an Escalade to start and will choose a 2nd car once the kids and I get there. All I know is is that it all fits nicely into our car allowance!
Do post though if you get more specifics in your search.

dubaibound1 · #9 (**permalink**) 6th September 2008, 07:24 PM

Quote:

Originally Posted by NJcara

ReloMan, no we haven't gotten any prices per se. The company my husband is going to as well as the recruiter he was working with supposedly both have connections. We're getting an Escalade to start and will choose a 2nd car once the kids and I get there. All I know is is that it all fits nicely into our car allowance!
Do post though if you get more specifics in your search.

NJcara your husbands 40K allowance, was that part of the inclusive package? or was it seperate from the base package.

Can you please with out divulging the exact amounts, break down how the compensation was structured.

Is he in a mangerial or management position and what line of work?

hari · #10 (**permalink**) 6th September 2008, 09:18 PM

Quote:

Originally Posted by gliderman

I have been told by long term expat residents of Dubai that new cars depreciate by up to 40% in value over 2 years, which is a higher rate than other countries.

Does anyone know the car makes which have the better resale values in the UAE? Thanks.

Toyota is having the most resale value ..I am sure that Cheverlet got very low resale value. For Ramadan they have promotions like 'buy now pay in 2009'...never go for it. But I struggled to find a buyer for my car last month... I sold my 2006 model Chevy Aveo for only 17000 dirhams.