In Dubai, it's common for residents to switch their cars every two years, leading many people to sell and buy their cars on regular bases. You might want to sell your car for many reasons, such as upgrading, needing cash, or relocating from Dubai. However, without prior knowledge, this process can be very complicated.
You might end up selling your car to the wrong buyer or at a low price, leaving you with seller's remorse. Selling a used car can depend on various factors, such as the sales process, the car model, and the seller's expertise in selling the vehicle efficiently and swiftly. You need to be well-versed in Dubai's rules, regulations, and mandates that are in place to protect you and the car-selling process to run smoothly.
Your physical presence is necessary to sell your vehicle in Dubai, but companies can help you sell your car remotely as well. There are several options present to sell any type of car, and we will guide you through the entire process, even if you have no prior experience or knowledge.
In the following texts, you will learn more about the rules and details to consider while selling your car. The guide below offers an automobile-selling process that can be applied when selling your car, but it's crucial for you to understand how to use it effectively. Several places offer buying services that make selling your car hassle-free.
It is essential to understand that the selling process may be faster or more tedious, depending on the chosen option, but we will present you with multiple options so you can choose the one that best fits your requirements.
Let's explore the options.
Option 1: Direct sale to another person
Selling your vehicle to an individual can be beneficial If you're willing to wait for a buyer who can offer you a suitable price for your car. However, when selling your car through traditional methods, it may remain unsold for an extended period of time, which leads to a waste of your time and money. Selling your car in this way can take several weeks or even months. You might have to showcase your vehicle to numerous potential buyers before finding an individual with a genuine interest.
What must be done to achieve a successful sale?
We all want to achieve a successful and fast sale, so here are some tips and points to consider.
Transparency with information
If a buyer requests information about your car, you should not deny it and be transparent about its current condition. If you conceal essential information, it will only make the potential buyer distrust you, and they may back off.
It is important to ensure that the information you provide should be reliable, and it would be even better if you could prove it with relevant documents.
Documentation in hand
Nothing is better than a prepared seller, as it keeps them safe during the entire process. Keep the following documents on hand:
- The original copy of the purchase (to a person, a dealer, an import).
- Warranty Documents: This includes any warranty documents that came with the car, which can be helpful to the buyer.
- Registration Card
- Driver's License
- Emirates ID
- Service History This includes information about the car's maintenance history, which can help the buyer understand how well the vehicle was taken care of.
- Vehicle permit Application (Should be filled at the Dubai Traffic Police HQ or an RTA Licensing Center, and both parties must be present, both the current owner and the new).
Having these documents readily available can make the selling process much smoother and increase the buyer's confidence in the transaction.
- It is crucial to make a vehicle sale agreement contract; it is beneficial, and it describes:
- Date and location
- Parties involved: The contract should clearly identify the seller and the buyer, including their names and contact information.
- personal data
- The type of transaction
- The terms and conditions are described
- The vehicle-specific features are described
- Manufactured in
- GCC Specs
- Registration Number
- Engine Number
- Chassis number
- Mileage at delivery
- Registration transfer: The contract should specify who is responsible for transferring the vehicle's registration from the seller's name to the buyer's name, as this is required by law in the UAE.
- Transfer fees: The contract should state who is responsible for paying any transfer fees associated with the registration transfer.
- Export requirements: If the buyer plans to export the vehicle out of the UAE, the contract should specify any additional requirements or restrictions that may apply.
- Payment method: The contract should specify the payment method, such as cash, bank transfer, or cheque, and include any relevant details about the payment process.
It is important to note that in the UAE, both parties should have a valid UAE residence visa and a valid UAE driving license to buy or sell any vehicle. Additionally, all vehicles must pass a comprehensive vehicle inspection before they can be sold or transferred, which should also be included in the sales contract.
Bank loans and Traffic fines,
You cannot sell a car with traffic fines or an active bank loan. The law in the UAE states that you must pay the bank loan before selling your vehicle. You will be unable to sell your car if it has any pending traffic fines. When you approach the Dubai Traffic Police Office or an RTA office, the verification will be made to transfer the vehicle to the new owner.
This is described on the RTA page, as you can see here:
Vehicle Online Selling Agreement - RTA UAE
- "The customer must pay all traffic fines (Dubai and other emirates fines) before receiving this service."
- "If the vehicle was mortgaged, the customer must apply online and release the mortgage before receiving this service."
You can pay through RTA webpage for any fines you have
Pay Dubai Traffic Fines Online
Check option three if you want to sell your car even though you have fines or outstanding payments on a bank loan.
What is the right time to sell?
It is crucial to remember that although a car warranty is valid, it doesn't guarantee that the value of the car will remain the same over time.
The depreciation of a new vehicle is instantaneous once it is delivered to the user (between 10% and 15%). There is a more substantial depreciation in its value after the first year,
It is important to keep in mind that the duration of a car warranty varies depending on the type of vehicle, the manufacturer, the price, and the manner in which it is utilized.
There's a significant drop in the price in the first 2-3 years and another at the four-year mark. Selling in between those drops will generally get you the best value. After that, the subsequent significant reduction usually happens at around eight years.
What you should not do in the sales process
Show urgency to sell
If you communicate your need or desire to sell your car quickly, the other party gets the upper hand. This gives the potential buyer an opportunity to make a lower offer than you might have initially intended for your vehicle.
It would be best if you did not put posters in the car.
The laws in the UAE prohibit putting signs on car windows or painting them with messages such as "Selling a car" or "Phone number."
We recommend you explore Item 67 of Ministerial Resolution No. 178. If you do that, you could receive a fine, and they will confiscate your automobile.
Beware of shared information.
Publishing personal contact information to allow interested parties to call or contact you directly is a common practice observed, however, remember that scammers and thieves seek opportunities to collect data and scam you. Be cautious, and don't rule out this possibility while sharing personal information with unknown parties.
It's advisable to avoid being inflexible while selling a used car, such as using the phrase "the price is not negotiable." The potential buyer will tend to pay more attention to other similar options, and you may lose an opportunity to sell your vehicle. Keep in mind that buyers have multiple options available in the market.
Don't hide information.
Concealing any damage that was done to the vehicle or withholding vital information can eventually be discovered sooner or later, resulting in serious legal problems.
Don't forget that even if the car is no longer under the manufacturer's warranty period, you will still be responsible for any modified, hidden, or concealed information, which could be seen as a deception towards the buyer. The best strategy is to be clear, honest, and transparent. Seek advice from professionals in the automotive field when you have any doubts regarding such matters. This can prevent many issues and legal complications.
The insurance is not a plus for the sale.
Keep in mind that in some instances, insurance cannot be transferred. So, if the vehicle has insurance, it is not necessarily a selling point, as transferring it may not be possible. Be sure to check whether or not the insurance can be transferred before going through with the sale.
Dont Skip Test Drive
Don't skip a test drive. Give the buyer an opportunity to take the car for a test drive so they can evaluate how well it functions and get a sense of its condition.
Don't negotiate the price without knowing the car's value. Research the market value of your vehicle and set a fair price accordingly.
Option 2: Sell your vehicle via consignment
In this scenario, you can leave your vehicle in consignment for a third party to sell it for you and charge a nominal fee. However, before considering this option, keep the following things in mind:
- Check that the company is registered correctly, authorized, and not a scam.
- Verify what guarantees they will provide you with before giving them your car for sale.
- Be sure to carefully review the terms and conditions and ensure that there are no hidden payments you will need to pay after the sale.
Option 3: Sell your car to a used car sales agency
Here is where we become an option for you to sell your vehicle. And we would like to explain the advantages you will get by choosing us.
- You will not have to invest numerous hours researching information and evaluating the price of your car. This process can be time-consuming and complicated, especially if you are not an expert in the field. Subsequently, you won't have to spend your time doing tasks such as trying to understand and research how to evaluate the price of your car according to its condition, features, kilometers (mileage), depreciation, brand, model, and market demand, among many other factors that must be taken into account. It sounds extensive, right? Of course, it is when you are not an expert in the field, and understanding it can take time.
- You would not have to invest hours and hours in clearing your bank loan
- You don't have to worry about removing traffic tickets
- You will not have to publish your personal information on public websites or signs.
- You will not have to invest many hours in procedures and paperwork
- You will not be at risk of being scammed.
- You will avoid wasting time with tire kickers.
- You will get specialized advice from an experienced car expert
Car evaluation by an expert will happen in a few minutes
- Company accredited and authorized by the RTA to buy and sell cars, solving fines and bank loans for you
- Sell the automobile without problem hassle-free, even when there is a bank loan or fines
- Cash payment in a few minutes
- 30 minutes or less needed for the entire process
In just a matter of minutes, we will offer you a cash payment, and the entire process takes only 30 minutes or less. At Cash Your Car UAE, we buy any vehicle on the spot, in any condition, running or not. We aim to become the most reliable and hassle-free headquarters for selling your car in the UAE.
In conclusion, Cash Your Car UAE is the most convenient and pain-free process if you want your car to be sold as soon as possible. Our years of experience and passion for automobiles have led us to a streamlined process that is simple, fair, and transparent.
Option 4: Car dealer
Another suitable way to sell your car is to go to a car dealer, who will take your used car as payment for a new one. However, in this case, the value will likely be below the market price (because they need to sell it to any other third party or agency). Dealers may only offer lowball offers and may not accept specific models, cars with outstanding loans, or those with mechanical problems.
Let's continue with the guide to provide you with more information and prepare you for this process.
How can you prepare your car to sell it?
What you must take into account before starting the sale process is:
Getting a Techno-Mechanical test done at an authorized testing center would be best. This will give you a report on the car's actual condition and allow you to make any necessary repairs before selling it.
Remember, it's not just for a better price; it's for safety and avoiding headaches later.
When buyers spot a maintenance issue in your car, this will lower your car's value in their eyes. They will get quotes from their mechanics. These mechanics will favor them by giving higher quotes, affecting your car's price. Repairing your vehicle before starting the process for the best price is advised.
Remember, the first impression always plays a big role, and a clean vehicle (wash and wax) sells better; it is advisable to go to an authorized service center so that your car is in its best condition and you get the optimal price.
Taking care of the interior of the vehicle is essential. A clean car with no dust, garbage, clean cushions, and a well-maintained dashboard can fetch a higher price.
Check your car seats. If it is worn, damaged by use, or by the sun and heat, it might be a good idea to change the covers of the seats.
Not only should you wash it, but it is also essential to check the exterior for scratches, dents, and the condition of the windshield wipers, the mirrors, and the windows before selling your car.
You must check the tires in their condition. If the tires wear a lot, if there are significant cracks, or if the depth of the tread grooves is small, you should change them for new ones.
How to set the price of your used car?
Determining the price of your car can be tedious and demanding; it is certainly not easy to do when you don't know the market and are unaware of the value of a vehicle according to its condition. The three factors that determine the car price is mileage, model, and age. Setting a realistic price for your car is advisable to make your car-selling process smooth and easy. If you keep a very high price compared to the market price, you will lose potential buyers since they will end up going with cheaper options as they have many choices.
You can quickly get the best offer for your car with us. The first step is to evaluate the value of your vehicle. You can do this using this helpful tool. The more information you provide, the easier it will be to do a total valuation and get you an accurate evaluation.
One way to check market prices is to check portals that sell cars similar to yours and have reference points such as the model, the brand, and its features. You should review the data offered on each site to get a general idea and try to generate a possible realistic sale price.
It won't be easy to get the price this way.
You can also use our online valuation tool. We update it constantly.
Free online car valuation tool
This tool can help you get a quick idea of the offer you could get; remember, the vehicle must be evaluated and inspected by a professional at our locations, and there you can get a more accurate offer from one of our experts without any commitment if you don't want to sell us your car, there will be no problem.
The list price of a car
A tool like ours can help you have an approximate idea, but this "list price" can vary due to many factors, so an inspection is necessary. For example, the price could decrease if the car has higher mileage or has had accidents or repairs. The calculation of the price of a vehicle that is not GCCs vs one with GCC specs will differ for the same model.
Check the next article about GCC specifications
How to find buyers?
Finding interested buyers is difficult, especially if you are selling the car independently; you must consider these factors.
Write a good ad
An advertisement with complete information about the car will always help immensely. This allows people to determine if it is the type of car they want for the demanded price.
Excellent quality images
Nothing sells better than photos of excellent quality. Therefore, take the best possible images from different angles, the engine's condition, the tires, the interior, and the vehicle's surface.
Remember to take photos of the featured items (modern dashboard, leather cushion, etc.)
Use classified websites
After you have the information and photos, you can go to classifieds websites, but when you do, keep the following in mind:
- The ad may be free, but it may have a limited period, although some have no limit others may charge for selling the car through the website with a commission.
- The registration process, in general, is fast. It would be best if you had the vehicle information ready.
- Suppose the sites where you have published your car details have significant traffic. In that case, you can get many interested buyers, but this means that you will have to filter through them, dedicate many hours, receive calls or emails that you must attend, and also, you must be careful with scammers or thieves. Remember that you also need to invest time in those who only want to check your car but are not potential buyers.
- You can get "contacts" from bots and spam, yes, unwanted spam, and you must deal with it.
- If you publish your phone number or contact email, scammers who seek to deceive you could contact you, be very careful.
- You must remove the ads later if you don't want them to keep calling you after you sell the car, so don't forget to have the sites in a spreadsheet and login access to be able to remove the information; if you don't do it, you could have calls or emails for a long time.
Schedule a test drive.
Before agreeing to a test drive with a potential buyer, shortlist buyers by asking questions that will help gauge their willingness to buy. You need to check if they are looking for financing or if they pay in cash; then, you can decide who to allow to take a test drive of your car.
- Never go alone to a test drive and ask your companion to make a video with their smartphone as backup and for security.
- Never take a test drive at night. Always handle it during the day
- Verify that the person has a valid driver's license
- Check if the buyer has insurance
- Don't offer personal information or data about where you live or any other private data. Remember that some may be scammers looking for information.
Let the buyer become familiar with the car then they can ask any questions they have about it.
Once you have done the test drive and met someone who is interested, it is time to start negotiating the price.
How to make a secure transaction
Performing a secure transaction as payment for a car sale is essential, especially in person-to-person sales. We recommend that you take the following into account:
- Receive payment at a safe place.
- Schedule the payment at a bank where both parties can meet and exchange money. Avoid waiting for a transaction that may not happen.
- The place you go to must have security cameras and the presence of authorities. Therefore, the ideal recommended place is the bank, which becomes a safe place to move money without any problems.
- Don't promise to go elsewhere if the buyer tells you to collect the money.
- You must remember that once you receive the payment, you must transfer the car and go prepared. Before receiving the payment, you ensure you have everything ready.
- Don't transfer the vehicle without receiving the payment. If the payment is made through a bank draft, transfer, or cheque, you must wait until the bank fully validates it.
How to transfer car ownership in Dubai or UAE
Once the seller and buyer have made the sale agreement, the car transfer process must be carried out. Consider the following:
- Visit an RTA-authorized centre in Dubai to have the procedure done.
- If the vehicle is registered in a different Emirate, you must go through the emirate transfer process, which you can do at the RTA or Dubai Police Office HQ. They will instruct you on what to do and what documents you must bring.
- Bring the required documents, including the driver's license and vehicle registration card.
- Bring the insurance policy. It can be purchased at the RTA centres if you don't have one or haven't renewed it.
- If the car had a bank loan and you have paid it off, ask the bank for the release letter to present at the RTA.
- The car must pass the required test by the RTA, which is valid for 30 days.
Things you should do after you sell it
- Deliver a sales receipt to the buyer for the total payment made.
- You must provide the buyer with the vehicle warranty if it is still valid (or a copy)
- Remove any personal items inside the vehicle and check different pockets, the glove box, and under the seats in case something has fallen.
- Deliver the sets of keys, accessories, service history, and other records associated with the vehicle.
- Ask your insurance company to cancel your policy or transfer it to the new owner if possible. They will advise you on the process.
- Make sure to unlink your account in the Salik RTA system for the vehicle sold, so no toll charges, fines, or taxes are charged If you don't remove it, these fees will continue to be charged to you instead of the new owner (there is no automatic transfer).
Now you have a guide to know what you should do to sell any car, whether you will do it directly, through a consignment, or with an agency. If you want to sell quickly and without complications, without investing much time and money, bring us your vehicle or contact us. We Buy Any Car and give you cash in a few minutes.