Rent a ride and forget the hassle of keeping track of monthly instalments, insurance fees and the like. But buying a new car has its advantages too. So what will it be? GN Focus presents pros and cons for both options to help you be your own judge.
RENT YOUR RIDE
Pros
1. Avoid public transport
Even in Dubai with its shiny and efficient metro service, public transportation can be a hassle due to the bustling crowds and trek to the station in the blazing sun. Plus the fares, however reasonable they may seem, do add up. Long term car rentals also mean avoiding the heaving throngs at bus and metro stations – and dirham for dirham the cost is probably comparable to public transport over a month.
2. No maintenance or repair worries
One of the biggest pros about leasing a car is not having to deal with sudden, pricey repairs or ongoing maintenance – any mechanical issues are the problem of the auto rental company.
3. Pay as you go
Another benefit of long-term car rental is freedom because most companies do not require a fixed leasing period and renewals can be done on an ad hoc basis. There are the formalities of paying up the deposit and signing a contract, but that's usually it.
4. Lots more choice
Car rentals also offer choice – you can pick the perfect model depending on your business or personal needs.
Cons
1. Cash down the drain
If you lease a car for an extended period of time the money can soon add up. A year’s lease in Dubai for a standard saloon, for example tallies up to around Dh25,000 – enough to buy you a ride.
2. Dealing with difficult leasing companies
Sadly, some leasing companies can be a bit combative – especially when it comes to vehicle handover time and they want to argue over a perceived scratch (tip: always thoroughly read the car report before you sign the contract at the start of a lease).
BUY A CAR
Pros
1. Pleasure in the purchase
Buying a car, whether it’s your first or your tenth, is an exciting moment – and the great thing about the UAE is the sheer number of cars catering to every taste, budget, and lifestyle. Why wouldn’t you want to own your own wheels to flaunt on Sheikh Zayed Road?
2. Investment opportunity
Take the right advice and with the right amount of luck you could make a canny investment on a purchase – one that actually puts money in your pocket down the line when you plan to sell the car, or at worst, break even, which is a good thing too.
3. You can take it with you
When the time comes to leave the UAE, shipping your car overseas is generally easier than it sounds. There are taxes to be paid when shipping goods abroad but it is not so bad. There is a 10 per cent customs tax applied on the value of your car and a VAT tax of about 20 per cent. However, if you are relocating to Europe these charges do not apply. A quick Google search should also serve up Dubai based companies that make the process a snitch.
4. Fun with personalisation
Depending on how much of a petrol-head you are, there is a lot of fun to be had with pimping up your ride after purchasing one. Aftermarket wheels, slick new colour codes and interiors, the options are virtually unlimited when it comes to customising your ride.
Cons
1. Risk of making a bad purchase
As with any serious buy, there is always the chance of making a costly mistake. If you purchase a car second hand, there is always the risk of the vehicle presenting serious mechanical issues, setting you back thousands of dirhams. Your emotions could also get the better of you, saddling you with an expensive set of wheels that you probably cannot afford.
2. Paperwork
If you are someone who doesn’t like admin, buying a car might seem a bit of a headache. Aside from the purchasing agreement documents with the dealer, you also need a valid insurance certificate, car registration documents via the relevant authority, a Salik tag for Dubai… the list goes on.
Image Credit: Supplied
