Rent or Buy a Car in Dubai? The Real Costs
If you will be in Dubai for less than two years, or you are not sure how long you will stay, renting is usually the safer choice. If you are settled for many years and will keep the same car, buying can cost less. The answer depends on your time horizon more than on the monthly figure.
Written by the Najd Rent a Car team. Last reviewed .
What does owning a car in Dubai really cost?
The purchase price is only the start. An owner also pays for annual insurance, annual registration renewal with a roadworthiness test for older vehicles, servicing, tyres and repairs. If the car is financed, UAE rules require a down payment and the bank adds interest. The largest cost is the one nobody invoices: depreciation, the value the car loses each year.
When you leave the country, you must sell the car and clear any loan first. A forced sale on a deadline rarely gets a good price.
What does renting include?
With a rental, the car belongs to the company. It stays registered and insured in their name, and you pay one amount. Our published monthly rate for a Nissan Sunny is AED 1,400 and for a Mitsubishi ASX compact SUV AED 2,600. Fuel, tolls and fines are yours in both cases.
How do I decide?
Write down how many months you expect to stay and how certain you are. Add up the owning costs for that period, including the loss on resale. Compare that with the rental total. Then put a value on flexibility. Being able to hand back the keys in a week is worth a great deal if your job or visa changes.
Official sources
Rules change. Check the current position with the authority concerned before you travel.
Cars mentioned in this guide
- 5 seats
- 3 bags
- Automatic
AED 650 per week · AED 2,600 per month
- 5 seats
- 2 bags
- Automatic
AED 420 per week · AED 1,400 per month
Related rental options
More guides
Rent or buy: questions people ask
Is it cheaper to rent or buy a car in Dubai?
For short and uncertain stays, renting is usually cheaper once you count depreciation, insurance, registration and the risk of selling in a hurry. For a stay of several years with the same car, buying often works out lower.
Can I get a car loan as a new resident?
Banks generally want a residence visa, a salary history and a down payment before they lend. Many new arrivals rent for the first months for that reason.
What happens to my car if I leave the UAE?
An owned car has to be sold or exported, and any loan settled, before you go. A rented car is simply returned under the terms of your agreement.
Where can I rent a car by the month in Dubai instead of buying?
Najd Rent a Car in Al Quoz Industrial Area 3 rents by the month and by the year, from AED 1,400 per month for an economy sedan. The company has traded under the same licence since 2002.
Do I pay for servicing on a rented car?
Servicing arrangements are set in the rental agreement. Ask who arranges it and whether you get a replacement car while it is done.
Still have a question?
Call or WhatsApp 058 595 2763. Same number for both.