Buying a second hand car in Dubai. How?
Discussion
This sounds like it could be a right 'ol can of worms. So, can anyone point me in the right direction or give some advice on how it's done?
The part that I'm most interested in is the actual buying process i.e. registration, transferring ownership etc. I hear that both parties have to visit the registration centre to sort this out. Is it the usual Dubai stuff? i.e. queues, hassle, paperwork, hassle, more paperwork . . .
What about the transaction? I'm sure no seller will release a car without having the cleared funds but how does the buyer protect himself? Bankers draft? Personal cheque?
Any advice appreciated.
The part that I'm most interested in is the actual buying process i.e. registration, transferring ownership etc. I hear that both parties have to visit the registration centre to sort this out. Is it the usual Dubai stuff? i.e. queues, hassle, paperwork, hassle, more paperwork . . .
What about the transaction? I'm sure no seller will release a car without having the cleared funds but how does the buyer protect himself? Bankers draft? Personal cheque?
Any advice appreciated.
The process isn't too bad actually, depending on the queue's at the registration centre. After you agree on the price, you will have to take the car to a testing centre. They basically kick the tyres, charge you a few quid then issue a bit of paper. Then you have to get it insured(if it's not already). There are usually a few insurance places at the registration centres.Then you go with the seller to the registration centre and transfer ownership. You'll have to take a ticket and await the number to be called. Here it is handy to be buying from a local, as they seemt to have a certain influence over the staff there! Once this is done, hand him the cash. Cash is always best, but cheques are as good as cash here. Bounce one and youll be in trouble though
I speak from experiance whewn I say that you should take the car to a proper garage for an inspection though!
Good luck. What car are tyou thinking of?
I speak from experiance whewn I say that you should take the car to a proper garage for an inspection though!
Good luck. What car are tyou thinking of?
When I purchased my cars it took about an hour in total, if you have insurance on the car you can pay 60 dhs and the guy at the registration office will do it all for you.
If the car has finance on it, then the seller must have a letter from the bank saying it is clear.
Also you can transfer the insurance over if it has a recently been insured, cost me 150 AED to do this for the porsche and saved me the cost of insurance for 11 months.
If the car has finance on it, then the seller must have a letter from the bank saying it is clear.
Also you can transfer the insurance over if it has a recently been insured, cost me 150 AED to do this for the porsche and saved me the cost of insurance for 11 months.
Simple and easy steps:
- find a car
- view the car, get VIN number and check with local stealership on history of vehicle i.e. service history, accidents etc
- if in doubt as the car maybe out of warranty, agree with owner to get the car checked over at the stealership (if major faults, you can either decide to still take the car or walk away)
- once a deal is struck, get a copy of the Registration card, ring around Insurance brokers to get quotes. Once you find the right quote, insure the car
- arrange finance or the cash to pay for the car
- arrange to meet owner with the vehicle at any one of the tasjeel places
- Owner will put the car through its inspection (AED50)
- Once it has passed, the existing ex/new owner will have to pay all outstanding fines (this could be embarrasing for both if you have a lot that your wife has incurred that you did not know about and are short of cash at the time hahahahaha)
- the car is de-registered from his name and then trasnferred to you (you will present your insurance, DL and Passport & Visa page (note: try to get the seller to let you take the vehicle with the existing registration plate no.)
- once trasnaction is completed, hand over the cash to the now ex-owner.
PS: at the Tsjeel, there is a service where you pay AED150, they do the test and you do not have to queue for ages
Notes (depending on what you agree before you buy the car):
- the new buyer should pay for the transfer/registration fee (think its about AED350ish)
- the existing owner should pay for the tasjeel inspection
The difficulty comes when you are buying with finance, as the bank will not transfer the money to the ex-owner until you have the car in your name, the ex-owner will be reluctant to want to transfer the car into your name without having the cash! The bank will also want an assessment of the cars worth (done through the dealership (AED300ish)/secondhand dealership (AED150ish) which in my experience you have to pay for as the buyer).
To avoid all the above b
ks, simply buy new from a Stealership or go to a second-hand stealership, they will do it all for you.
Finance:
If you are arranging the financing for the car its best to use your own bank where your salary is transferred in to. They will want a Salary Certificate from your Company. You have two options, and dpending on the value of the car:
- take a car loan (2nd hand car loans i.e. interest rate, tend to be ever so slightly more expensive than new cars), or
- take a personal loan from the bank (the interest rate will again be slightly more than the above).
Some of the stealerships at the minute are doing some awesome deals with finance i.e. 1.99 (Mitsubishi) - 3.99% (BMW/Audi). 2nd hand car loans tend to run at around 4.5%, personal loans around 5-5.5%
I could be way, way off on the interest rates, so if somebody could correct me all the better
It sounds like a bit of a minefield but its not if you take you time and do it in sequence.
OH yes, before I forget, if the seller has finance on his car, that has to be cleared and a letter from the bank saying that the existing loan has been cleared which will be required prior to the transfer of ownership. Sellers may not have the cash to pay off the remaining balance and will rely on the selling of the car to pay it off.
Good luck.
- find a car
- view the car, get VIN number and check with local stealership on history of vehicle i.e. service history, accidents etc
- if in doubt as the car maybe out of warranty, agree with owner to get the car checked over at the stealership (if major faults, you can either decide to still take the car or walk away)
- once a deal is struck, get a copy of the Registration card, ring around Insurance brokers to get quotes. Once you find the right quote, insure the car
- arrange finance or the cash to pay for the car
- arrange to meet owner with the vehicle at any one of the tasjeel places
- Owner will put the car through its inspection (AED50)
- Once it has passed, the existing ex/new owner will have to pay all outstanding fines (this could be embarrasing for both if you have a lot that your wife has incurred that you did not know about and are short of cash at the time hahahahaha)
- the car is de-registered from his name and then trasnferred to you (you will present your insurance, DL and Passport & Visa page (note: try to get the seller to let you take the vehicle with the existing registration plate no.)
- once trasnaction is completed, hand over the cash to the now ex-owner.
PS: at the Tsjeel, there is a service where you pay AED150, they do the test and you do not have to queue for ages
Notes (depending on what you agree before you buy the car):
- the new buyer should pay for the transfer/registration fee (think its about AED350ish)
- the existing owner should pay for the tasjeel inspection
The difficulty comes when you are buying with finance, as the bank will not transfer the money to the ex-owner until you have the car in your name, the ex-owner will be reluctant to want to transfer the car into your name without having the cash! The bank will also want an assessment of the cars worth (done through the dealership (AED300ish)/secondhand dealership (AED150ish) which in my experience you have to pay for as the buyer).
To avoid all the above b
ks, simply buy new from a Stealership or go to a second-hand stealership, they will do it all for you.Finance:
If you are arranging the financing for the car its best to use your own bank where your salary is transferred in to. They will want a Salary Certificate from your Company. You have two options, and dpending on the value of the car:
- take a car loan (2nd hand car loans i.e. interest rate, tend to be ever so slightly more expensive than new cars), or
- take a personal loan from the bank (the interest rate will again be slightly more than the above).
Some of the stealerships at the minute are doing some awesome deals with finance i.e. 1.99 (Mitsubishi) - 3.99% (BMW/Audi). 2nd hand car loans tend to run at around 4.5%, personal loans around 5-5.5%
I could be way, way off on the interest rates, so if somebody could correct me all the better
It sounds like a bit of a minefield but its not if you take you time and do it in sequence.
OH yes, before I forget, if the seller has finance on his car, that has to be cleared and a letter from the bank saying that the existing loan has been cleared which will be required prior to the transfer of ownership. Sellers may not have the cash to pay off the remaining balance and will rely on the selling of the car to pay it off.
Good luck.
Gentleman Geoff said:
Fantastic, this is exactly what I was looking for!
Thanks for the info, guys. Watch this space for the next installment . . .
This is want you want......might be a typo with the price though!Thanks for the info, guys. Watch this space for the next installment . . .
http://dubai.dubizzle.com/classified/autos4x4s/lam...gte=&price__gte=&year__gte=&year__lte=&kilometers__lte=&keywords=&is_basic_search_widget=0&pricelte=
The whole finance thing is screwed up.
The bank that 'owns' the car requires paying off before they will issue the release letter......your bank will require the car registered (or mortgaged) in their name before paying for it. Catch 22.
The ideal solution is to find someone selling the car you want that banks with the same bank as you, they can just do the transfer internally and it is quite smooth.
The bank that 'owns' the car requires paying off before they will issue the release letter......your bank will require the car registered (or mortgaged) in their name before paying for it. Catch 22.
The ideal solution is to find someone selling the car you want that banks with the same bank as you, they can just do the transfer internally and it is quite smooth.
Emsman said:
Snap.
I am becoming increasingly tempted to look at mustang convertibles.
Or indeed, a huge f150 pickup that i saw at a dealership, and i mean huge.
The idea being to have something i would never have at home in the uk
This is my line of thinking! Thing is mate, remember why you came here...to earn and save as much as you can. It's soooooo easy to get wrapped up in the nice things and buy everything you want!I am becoming increasingly tempted to look at mustang convertibles.
Or indeed, a huge f150 pickup that i saw at a dealership, and i mean huge.
The idea being to have something i would never have at home in the uk
Emsman said:
Very true!!!!
That said, I get a good car allowance.
Decisions, decisions.
Dropped you a mail for a hire company chilli- hope it's of use
Well, whilst I agree with Chilli, if you are getting a decent car allowance, you need to make your stay here "enjoyable" and what better way than to have a throbbing V8 sat idling in front of you with your right foot on the gas pedal.That said, I get a good car allowance.
Decisions, decisions.
Dropped you a mail for a hire company chilli- hope it's of use
Shelby is the only Mustang I would think about, or, the Camero SS, but be warned the interior is PANTS.
Chilli said:
Emsman said:
Snap.
I am becoming increasingly tempted to look at mustang convertibles.
Or indeed, a huge f150 pickup that i saw at a dealership, and i mean huge.
The idea being to have something i would never have at home in the uk
This is my line of thinking! Thing is mate, remember why you came here...to earn and save as much as you can. It's soooooo easy to get wrapped up in the nice things and buy everything you want!I am becoming increasingly tempted to look at mustang convertibles.
Or indeed, a huge f150 pickup that i saw at a dealership, and i mean huge.
The idea being to have something i would never have at home in the uk
I've just today picked up some brand new 'unused' 2010 19" GT wheels and tyres for the very reasonable sum of 3k too - that's cheaper than the price I was quoted for new tyres alone!
I've considered spending more but I am enjoying seeing my savings grow more than I would enjoy a Carrera S on the drive...........or am I?
Hmmm......
s
t...Edited by Hitch78 on Monday 10th January 12:59
Geoff
I did this very recently and it was a piece of cake. I paid cash and the guy at the desk even told me when it was time to hand it over to the seller.
One thing I would highlight is that the insurance that I bought at the registration office (Shamil, Bur Dubai) was far cheaper than the quotes I had from RSA or AXA.
I did this very recently and it was a piece of cake. I paid cash and the guy at the desk even told me when it was time to hand it over to the seller.
One thing I would highlight is that the insurance that I bought at the registration office (Shamil, Bur Dubai) was far cheaper than the quotes I had from RSA or AXA.
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