Leasing is a form of financing where the car is leased for a fixed period and then returned. Many people in Dubai are not familiar with the term leasing. A lot of them think that it is the same as renting a car. However, leasing is different from renting because it does not involve any monthly payments to the car owner; there’s no monthly car lease. The customer only needs to make a one-time payment for the duration of the lease period and then they can use the vehicle as much as they want without paying extra fees. This article will discuss how car lease works in Dubai, its benefits, and drawbacks.
How to Lease a Car in Dubai
Here are the easy steps to lease a car in Dubai:
- Select Your Car
The first decision you will make when leasing a vehicle is the type of vehicle you want. Cars in Dubai are less expensive than comparable models in Europe or the United States. The choice of car is entirely up to you, whether you want a premium ride for a few months or a sturdier car for frequent city travel.
- Choose a Lease Duration
You can rent a car for various lengths of time. These include car leases for one year, two years, three years, and even longer. The longer you lease a car, the more money you will save.
- Complete the Documents Required
Only a few documents are required for car leasing in Dubai:
- Your passport, as well as your Dubai residency visa
- A UAE driving license or an International Driving License
- Your credit card
If you do not have a residence visa but want to lease a car in Dubai, you can do so by presenting a valid visit visa for business or another reason.
- Make the Final Deal
To finalize the deal, go to the office of the car leasing company of your choice. You will present the required documentation, read the leasing contract, and if everything offered meets your requirements, you will make the payment and pick up your car.
The Pros & Cons
The benefits of leasing are that the lessee does not have to worry about the depreciation of their vehicle, they can drive to their heart’s content and they don’t have to worry about maintenance costs.
The downside of leasing is that it is more expensive than buying outright and you must pay for full term of lease even if you want to return your car before the end date.