Dubai is a popular place for investors as well as expats. Before 2002, Expats could not invest in the Dubai property market, but then laws were changed, now buyers don’t have any specific rules. Due to that for expats, it is relatively easy to buy property in Dubai. You do not need a specific type of residency to invest. There are no foreign buyer permits or any other regulations to consider.
These changes in laws gave more confidence to investors to invest in the Dubai property market . Dubai is the place where expats can safely invest their money for good returns in future.
As an expat there are two ways to buy a property in Dubai.
(a) Freehold property
(b) Leasehold property
This type of property allows buyers the means to have ownership of both a unit and the
land it stands on. Some areas which allows freehold property including Al Barsha South,
Emirates Hills, Jebel Ali, Sheikh Zayed Road, Dubai Marina and Palm Jumeirah.
This type of property means owning it for a period of 99 years or less, depending on the
duration stipulated in the leasehold contract. This type of purchase only allows buyers the
rights to a property but not the land that it is built on.
Many Dubai properties are sold as freehold, but leasehold properties usually have a lease
period anywhere from 30 years to 99 years.
If you want to buy a property in Dubai as an expat, there are some points you should consider before buying a property.
1. Points to consider before buying
With growing numbers of new developments, there are plenty of choices for your purchase. But you should keep in mind that ,dubai property market may rise and fall at times.
If you already live in Dubai it is good idea to buy property, but if you are not living in Dubai
you have to think about essential factor like
- Is the property an investment?
- Investing the property for long-term or short term period?
- Will you be living in the property full-time?
- Do you plan to rent out your property?
Blog written on : Future of real estate in dubai
2. Points to consider before you select the type of property more suitable for you.
There are three types of property which provides you a better option for buying as an expat
- Freehold property
- Leasehold property
- Commonhold property
If you buy freehold property, it will gives you benefit as you can do anything with your
property, according to your wish. Most of the houses in Dubai are freehold properties. There
are some approved developers who can help you to find freehold property.
Leasehold property gives you ownership for specific no. of years, thereafter the ownership will go back to the original seller. When you have property ownership you can use the same as freehold property, but you can’t demolish the building.
Common hold often applies to apartments and means that you purchase the residence but
must pay maintenance costs to the owner.
3. Points to consider while buying from Dubai developers
If you decide to buy from developers, verify their reputation before signing any contract or
any money transaction.
Some points you can check to know your property seller background:
- Take a written confirmation on any type of payment
- Developer is registered with the appropriate regulatory body.
- Compare prices with similar properties before dealing.
- Communicate clearly and ask questions.
Take time and make sure about appropriate licensed.review. Also,review the experiences of
their previous clients before investing.
Before buying property, check the pros and cons of off plan properties:
Blog written :off plan property to ready off property
4. Points to consider before you finalize the deal
Once you have found a property and agreed to a price, you can expect to have the contracts
drawn up, so there is no room for confusion. Transaction takes only a short time, approximately 30 days from the date of the agreement.
To buy property you will need some valid proofs and documents listed below:
- A valid passport
- Proof of residency status to demonstrate you can live in Dubai.Proof of your existing home address.
- Pay slips or salary certificates to prove that you have a stable income.
- Bank statements to support that you can afford the investment.
Also, take expert advice which will be helpful to you in negotiating the local laws and regulations.
Check out this article to list all the documents required for buying the property.
Considering the above points, we hope it will be easy to buy property in Dubai as an Expats.