Business | Your Money

Peace of mind if you buy from reputed agency

Buying a vehicle from a big showroom may cost more, but it could help you avoid potential risks and financial traps

  • By Cleofe Maceda, Staff Reporter
  • Published: 00:00 May 14, 2011
  • Gulf News

Rizwan Ali (left) uses a diagnostic computer to test a car’s engine
  • Image Credit: Megan Hirons Mahon/Gulf News
  • Rizwan Ali (left) uses a diagnostic computer to test a car’s engine. He said that buying from individuals can also yield good deals.

Whether you should buy directly from the car owner, a third party or dealer, is entirely up to you, but there are pros and cons to watch out for.

Car buyers and garage owners say that buying used vehicles from big showrooms can cost you five to 10 per cent more, but you could be avoiding potential risks and financial traps.

Colin Cordery of Al-Futtaim Automall implies that buying privately can be a risky move. "Buy privately and there is no robust guarantee of vehicle provenance, accident history and mileage or warranty provision.

"Most importantly, once you part with your money, you are on your own. Be sure you know the seller and that ownership of the car is with him to sell," he advised.

Assurance

At Al-Futtaim Automall, Cordery said a buyer is assured that the pre-owned vehicle has been through a comprehensive inspection, is fully reconditioned and prepared.

The customer can expect that the mileage is verified and the vehicle is supported by a 12-month warranty or a 30-day exchange plan. There is also an option to trade in an existing car or avail yourself of a full range of finance and insurance options, as well as professional advice from experts.

However, Rizwan Ali, a garage manager differs. He said that buying from individuals can also yield good deals.

"First of all, people in this country are very busy. They have other very important work to take care of other than selling used cars for profit, so there's a chance you could get better deals if you buy directly from car owners."

June, July hot months for buying

Dubai: Prices of used cars tend to fluctuate throughout the year, so if you intend to buy one, make sure you know when is the best time to do your shopping.

If you're buying a four-wheel drive, there's a great chance you'll find a bargain around summer time, because by the time winter rolls around, 4x4 vehicles are going to be expensive.

"They're going to be a hot commodity in winter, thanks to the desert fans. So expect prices to go up in the colder months," said Rizwan Ali of Salim Ali Bin Haider Garage.

June and July are also a good time to buy other types of used vehicles because that's the time when people go for long vacations. "When people leave Dubai, they usually do it during summer, so watch our for deals. There are those who go for two or three months summer vacation and they find it a perfect time to sell their old cars," said Ali.

September is a good month for used car buyers as well because that's the time when new stocks arrive. "When more cars come into the market, the prices of second hand cars will likely drop," he added.

Comments (0)

In today’s economy are you more interested in buying a second hand vehicle? What have your experiences been when buying a used car?

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