rent or buy a car?
 

I've been out her just under a week and hate not driving.

I know taxi's are cheap and plentiful but you still lack the certain full independence.

I have looked at a few places for renting a car and they cost a fortune it seems...2000 minimum.

When looking at cars, it's tough to know a budget because I don't know what a repayment would be on a 50,000 second hand motor...

Any general suggestions would be welcomed.

Re: rent or buy a car?
 

Rent one for a few months. Don't buy until you are 100% sure you will be staying. Besides, if you are in your probationary period you won't get a loan, assuming you'll need one.

Re: rent or buy a car?
 

Learn to drive here in a rented one before you use your own money.

Repayments vary depending how long you finance it for. There was a time when the banks would lend you money for up to 6 years on a Jap car. So if it was 2 years old then you could get a 4 year loan etc.

Of course, taking out a 5 year loan when you only plan to stay for 3 years isn't a good idea.

Re: rent or buy a car?
 

Agree with the other comments, rent for a while then buy if you're staying here for a decent amount of time.

My experience:-

Bought 2004 Jeep Wrangler Rubicon in 2005 when it was 10 months old, very low millage. Paid 50,000 on a 4 year loan, monthly repayments were 1,325 for 48 cheques (all hand written!).

It's currently worth 35-40,000 and the loan fully paid off.

Re: rent or buy a car?
 

The Central Bank has recently issues new rules regarding personal loans.

From memory, an individual can borrow up to 20 times their monthly income for a maximum period of four years.

Re: rent or buy a car?
 

My experience:

Toyota Fortuner 4L: 18mths old when I bought it, cost 99k AED. Loan taken out (quoted rate 3.99%*) over 5 years. Repayments 1800 AED/month

It's now 4.5 years old - Outstanding loan balance: 45k, I value it at... 45k AED.

Pajero SWB - 3.5 years old when I bought it, cash purchase, 45k AED. I value it at 20k AED.

Both cars are in reasonable condition - I value them so low as I would basically accept anything when it comes to sell them as I don't believe the market to be liquid.

* ignore the rates quoted by the banks - 3.99% is actually about 8% as they do a very weird, and non standard calculation.

Re: rent or buy a car?
 

Yep, I love independence. The independence of having to go to the cop shop tomorrow to renew my vehicle registration because I've now got 4 Black Points on my licence (don't know where, don't know when, but allegedly for Dangerous Driving (changing lane without signalling) and Parking). The independence to get hit with 6 other offences totalling about 2k in fines for unspecified offences on unspecified dates. The independence to guess what the frigging speed limits are. The independence to fight for a parking space virtually anywhere I go. And (although thankfully not for me) the independence to use my own money to buy a car that will be at the mercy of knobhead, incompetent and inexperienced other drivers, main-dealer mechanics who cannibalise my toolkit and take 3 days to perform a routine service, and the general randomness that is driving over here.

Yeah, independence, right on man.

Re: rent or buy a car?
 

Are these the same rules for car loans? car loans are secured on the car whereas personal ones are treated differently.

I know that when I changed jobs and was off visa for a bit, HSBC said it wasn't a problem as it was a car loan - had it been a personal loan I would have my accounts frozen.

Re: rent or buy a car?
 

Scamp,

Another point that may be worth looking at is personal loan v vehicle loan. When I was there a couple of years ago vehicle loans had a lower interest rate but the bank owned the vehficle untitl the final payement was made whereas with a personal loan the interest was a % or so higher but the car was not tied into it.

Also bear in mind that a lot, if not all, of the local institutions will penalise you for early settlement....

Cheers

Re: rent or buy a car?
 

Doh... Almost a duplicate of the Millhouse post.... :thumbup:

Re: rent or buy a car?
 

Thanks for the ever useful sarcasm...


To everyone else; genuine thanks. I think you're right, rent for a few months and see how it fares, I balked at renting originally because so many quotes come at 3000+

Can anyone recommend somewhere I can get something cheap but not completely useless?

Thanks

Re: rent or buy a car?
 

Bollocks to you, then. It may have been sarcastic, but I can assure you its all true.:D

Re: rent or buy a car?
 

In Dubai thats an oxymoron. You are are going to struggle to be honest, probably looking at Lancers, Mazda's 3 or 6's.... You might be able to look at an Accord or Camry for late 2k's....

Re: rent or buy a car?
 

There is the complex of dealers out at Ras Al Khor / Al Awir - that's where I got mine in 2005.

There is also an auction house.

Of course it's a lottery though as unless you're a car expert there could be all sorts wrong - you can insist on a inspection before you purchase though.

Oh and there is the bureaucratic joy of ownership transfer...

Re: rent or buy a car?
 

Get the Gulf News and check out car hire in the classified lift out..they seem to offer cheap rates (I've seen 67 dhs/day). I got my hire car for 69 dhs/day but for 6-month hire of a Focus via Alamo UK online (pick up at the Ford Service Centre in Al Quoz (Al Tayer Ford Motors building)). There is also a small hire place in that building at the back of the car servicing area. Was going to renew but the rates went up significantly, so bought a used Honda Accord, which (I'm told) holds its value well.