If owning a car in Dubai is not an option for you at the moment, there are other ways to commute such as public transportation, car sharing and vehicle rentals. However, old or new car lease in Dubai is also a viable option with factors such as low cost and vehicle variety pointing in its favour.
Here is a comprehensive guide on car leases in Dubai to explain the process, cost and requirements for your convenience.
Car Rental vs. Car Lease in Dubai
The main difference between a car rental and a car lease is the time period. Car rental is always a short-term option spanning over hours, days, weeks, and in some cases, a few months. However, a lease is a long-term option. You lease a car for years. Other significant differences between the two include the type of documents needed, the renter’s responsibilities, dealers, insurance and additional charges.
How to lease a car in Dubai
Car lease in Dubai is a simple process and requires you to stick to a few straightforward requirements. Both short-term and long-term car lease in Dubai are possible. Once you have decided which car you want and for what duration, the rest of the process rather straightforward. Given below are the steps you need to follow to lease a car in Dubai:
- Choose a car
One of the first decisions you will make to lease a vehicle is about the car you want. Cars in Dubai are less expensive than their counterpart models in Europe or the United States. Moreover, the car lease in Dubai allows you to enjoy rides in luxury cars as if you own them. Whether you want a luxury trip for a few months or want a sturdier car for frequent travelling around the city, the choice of car is entirely up to you.
- Select the car lease duration
You can lease a car for different periods. These include car lease for 1 year, car lease for 2 years, 3 years and even more. The longer the car lease, the more money you will save. Moreover, if at the end of your lease period, you wish to extend the time or simply buy the car, you can do that too. Both options are cost-effective.
- Prepare the Required documents for car leasing
Unlike buying or renting a vehicle, a car lease in Dubai requires you to bring only a few documents with you. These include the following:
i- Your passport and your Dubai residence visa
ii- UAE driving licence or an International Driving Licence
iii- Your credit card
If you do not have a residence visa but wish to lease a car in Dubai, you can still do that by showing a visit visa valid for a business or other purpose. Furthermore, you will fill out the lease document and show them proof of your insurance coverage.
Always read the lease contract to avoid any future surprises - Close the Final deal
Finally, visit the office of the car lease company of your choice to make the final deal. You will show the required document, read the leasing contract and if all that is offered is according to your needs, you make the payment and take your car.
Currently, most companies opt for monthly payments. There is a limit to the miles you can drive a car in a given period. However, it is a lot of miles, and you are unlikely to cross that limit unless you drive a tad bit too much. Make sure you read the document thoroughly to avoid any surprises later. Most companies cover all charges and the customer after paying the said fees, only has to worry about the petrol charges and road fines if any. Here are some tips to negotiate car lease.
Why lease a car in Dubai
Leasing a car in Dubai removes the hassle of reselling the car later, which is its main benefit. However, it is a lucrative option for many natives of Dubai as well. There are multiple reasons for that bias. Two primary reasons customers prefer car lease to buying or renting are:
1. Lower costs
With a car lease in Dubai, you pay a certain amount upfront that will include the lease amount, maintenance, insurance and registration charges. All that is left for you to worry about is the fuel cost. Moreover, when the overall cost of buying a car and leasing a car over a period of two years is compared, the car lease is usually the cheaper option. The exact amount varies with the type of car but between the two options, a lease costs less.
2. Variety of cars
Another benefit of a car lease is you get to choose from a variety of cars. Moreover, you can change the vehicle or simply request the same car in a different colour at the end of your lease period. You will only have to pay an extra amount if the car you are choosing is more expensive than the one you have leased previously.
Top Car Lease Companies in Dubai
Car leasing in Dubai is a massive industry with quite a demand. Many car lease companies offer numerous benefits and deals. You can also find foreign cars in their collection. However, check the policies of these companies before making a final deal to ensure you are getting what you want.
Here are some of the most popular car leasing companies in Dubai:
1. HERTZ
Hertz tops our list of leasing companies due to its outstanding services and better customer reviews. There are 12 outlets of this international company in the Emirates alone. In addition to its 24-hour service, the company is well known for its round-the-clock road assistance teams. They offer a replacement in case of any trouble with a car. They also provide GPS satellite navigation, collision damage waiver and personal accident insurance. The company has some excellent deals and discounts as well.
Locations in Dubai: Dubai Airport, Al Garhoud,
Contact: +971-4-206-0206 | 800-43789
2. Diamond Lease
Diamond Lease is a project of Al Habtoor Group and offers a variety of car fleets of more than 7,000 vehicles. The service is well known for its well-maintained cars and impressive customer service. You can hire SUVs, small to medium-sized saloon cars, pick-up trucks and buses and refrigerated container trucks at competitive rates.
Locations in Dubai: Dubai Investments Park | Kiosk No:3, Level B1, The Gate Building, DIFC| Al Habtoor Motors Showroom Bldg, Sheikh Zayed Road | Habtoor Grand Main Hotel | Near Dubai Silicon Oasis
Contact: +971-4-885-2677 | +971 4885 2211
Timings: Saturday to Thursday (8:00 AM – 5:30 PM) | Friday: Closed
3. SIXT
Sixt is another global giant with offices all over the world, including the UAE. If you want to lease cars in Dubai at cheaper rates, then Sixt will be a good choice for you. If you are booking online at Sixt, register on their page to avail a discount. The company offers high standards and has excellent customer service in addition to their fair car lease prices.
Location in Dubai: Terminal 3, Dubai International Airport | Sheikh Zayed Rd – Al Quoz Industrial Area 3 | 5th Street – Umm Ramool
Contact: 800-800-7498 | +971 54 305 4095
While these are considered the top companies for a car lease in Dubai, it is better to research and check reviews for each. This will help you to make an even more informed decision as the services are subject to change.
Car Lease Cost in Dubai
Yearly and monthly car lease in Dubai are possible. Once you lease a car, the extra costs you will have to consider include Salik, fuel and parking.
The cost of car leases in Dubai varies depending on the type of car and the company. For an average-sized sedan, the packages start from AED 1200/month. For instance, as per the market, the starting lease cost for a Toyota Corolla is AED 1400. While for a popular SUV like the Nissan Patrol, the lease cost ranges between AED 5000 to AED 7000. The variation in price can also be attributed to latest the car model.
However, leasing a luxury car will add significantly to the charges. The lease cost for such vehicles as Mercedes Cabriolet goes as high as AED 20,000 per month while the BMW 4-series convertible has a per month lease cost starting from about AED 25,000. Besides, an alternative to leasing is to buy a used car in Dubai. Moreover, browse through these cars for rent in Dubai available on daily, weekly and monthly basis. Lease-to-own cars in Dubai is also a viable option to own a vehicle.
FAQs
Leasing a car in Dubai offers lower upfront costs, no long-term commitment, minimal maintenance responsibilities and access to newer models compared to buying.
To lease a car in Dubai, you need a valid driving license, passport, visa or Emirates ID, credit card and sometimes proof of income or residency.
Yes, hidden fees in Dubai car leasing can include insurance excess, mileage overage, Salik (toll) charges, late return penalties and VAT.
This concludes our guide on car leases in Dubai. Now that you know all about it, you will make a better decision. When it comes to cars, always find an option that is most comfortable and suitable for you. For more information on car buying, renting, leasing and more, stay tuned to the UAE’s top auto blog.
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