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The Real Costs of Owning a Car in UAE: What Buyers & Sellers Should Remember

Super Administrator Nov 7, 2025 1 min read Dubai, UAE
The Real Costs of Owning a Car in UAE: What Buyers & Sellers Should Remember
Photography by Al-Majara Studio

Introduction

Many people focus only on the price of a car in the UAE. But owning a car means more than the purchase price. Whether you're buying or selling, you need to understand all the costs. Here’s a clear breakdown of what to remember in 2025.


1. Depreciation (Value Loss)

When you buy a car, its value goes down over time. In the UAE:

  • A well-maintained car might lose up to ~60% of its original value after around 5 years.

  • Luxury cars or models with expensive parts tend to fall faster.
    If you’re buying: pick a model known for holding value. If you’re selling: be realistic about pricing.


2. Fuel & Running Costs

In UAE, petrol is affordable compared to many places — but still:

  • Bigger engines (SUVs, V8s) use more fuel.

  • If you drive a lot (commute, trips) fuel adds up.

  • Also consider tyres, brakes, air-conditioning (important in UAE climate).
    These costs reduce how much “value for money” you get.


3. Maintenance & Parts

UAE climate (heat, sand) means extra wear and tear:

  • Service intervals may be more frequent.

  • Parts for luxury/imported models are often costlier.

  • Regular maintenance helps when you sell—buyers like full service history.
    Ignoring maintenance can cost you when you hand it off or when you own it.


4. Registration, Insurance & Fees

There are fixed costs you must account for, especially in Dubai/Abu Dhabi:

  • Registration renewal (RTA) yearly.

  • Insurance: For EVs the insurance cost is much higher than petrol cars in the UAE.

  • Transfer/inspection fees when selling.
    When you sell, factor in the cost you paid if you want net gain.


5. Choosing the Right Car for the Right Use

To minimise costs:

  • If you drive mostly city/short-trips: pick efficient engine, smaller size.

  • For desert/trips: pick 4x4 but expect higher fuel & maintenance.

  • For resale: pick popular models in UAE that hold value.
    This applies whether you’re buying now — or planning to sell later.


6. For Sellers: How to Show Value

If you’re selling your car:

  • Highlight low cost of ownership: “Full service history”, “fuel-efficient”, “single owner”.

  • Show documentation: “All registration & insurance up to date”.

  • Price it realistically by noting the running costs.
    The more transparent you are, the more confident buyers feel.


Conclusion

Owning a car in the UAE is more than just “buy and drive.”
Whether you buy or sell, know the costs: depreciation, fuel, maintenance, registration & insurance.
If you factor these in, you’ll make smarter decisions — and feel better about your ride (or your sale).

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