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30th November 2023

Car Ownership in Dubai

Car Ownership in Dubai

 

Car Ownership in Dubai

 

Embarking on the journey of car ownership in Dubai is a common yet crucial decision. Whether you’re a local or an expat, the bustling city’s expansive nature often makes public transport less viable, pushing many towards the options of buying or hiring a car. Let’s delve into the costs associated with both choices.

In Dubai, hiring a car is a straightforward process, especially if you possess a UAE driver’s license or an internationally recognized one. The city offers a plethora of car rental companies, catering to a diverse range of preferences, from basic models to luxury vehicles. Monthly or long-term options are available, with costs varying based on the company, usage, and the type of car.

For rental options, check out these reputable companies:

Kayak Car Hire

Europcar

Udrive

Cost estimates range from AED 1500 for a Kia Picanto to AED 3000 for a larger model like the Mazda CX9.

Buying a Car

Opting to buy a car can be a financially prudent decision in the long run. Dubai offers a spectrum of car brands, accommodating various budgets, from economical choices to luxury supercars. Financing or an outright cash purchase are both viable options.

 

However, ownership comes with additional expenses, including:

 

  • Registration with the Road and Transport Authority (RTA): AED 420
  • Ownership Transfer Fee: AED 350
  • Inspection Fee: AED 170
  • Registration Renewal Fee: AED 380
  • Knowledge Fee: AED 10
  • Innovation Fee: AED 10

    Insurance

Car insurance is mandatory in Dubai, with costs ranging from 1.25% to 3% of the car’s value. It’s advisable to compare various insurers to find the best coverage and cost. Explore options at Policy Bazaar.

Fuel Costs

Fuel in Dubai is relatively affordable compared to many other countries. Prices fluctuate but are currently as follows:

  • E-PLUS 91 – 2.85 AED
  • SPECIAL 95 – 2.92 AED
  • SUPER 98 – 3.03 AED
  • DIESEL – 3.42 AED

Tolls and Salik

Dubai employs the Salik toll system to reduce traffic congestion. Each toll costs AED 4, and a Salik tag, available for AED 100 at fuel stations (with 50 AED credit), is necessary.

Find out about Dubais public transport here.
https://dasagoingbeyond.com/dubai-transport-costs-and-options/ 

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