The Real Costs of Owning a Car in UAE: What Buyers & Sellers Should Remember
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:
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A well-maintained car might lose up to ~60% of its original value after around 5 years.
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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:
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Bigger engines (SUVs, V8s) use more fuel.
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If you drive a lot (commute, trips) fuel adds up.
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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:
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Service intervals may be more frequent.
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Parts for luxury/imported models are often costlier.
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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:
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Registration renewal (RTA) yearly.
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Insurance: For EVs the insurance cost is much higher than petrol cars in the UAE.
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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:
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If you drive mostly city/short-trips: pick efficient engine, smaller size.
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For desert/trips: pick 4x4 but expect higher fuel & maintenance.
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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:
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Highlight low cost of ownership: “Full service history”, “fuel-efficient”, “single owner”.
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Show documentation: “All registration & insurance up to date”.
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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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