Buyers Guide

This is one of the most common questions for buyers. Dubai offers both off-plan properties (those under construction or in the planning phase) and ready properties (those already completed).

• Ready Properties – Ideal for buyers who want to move in right away or investors seeking immediate rental income. These properties are available across diverse settings, from city centres to beachfront areas. Financing options are often more favourable, with high loan-to-value (LTV) ratios available, making it easier to secure a mortgage.
• Off-Plan Projects – The off-plan market in Dubai is rapidly expanding, with new developments announced regularly. Off-plan properties offer flexible payment plans, high potential for capital appreciation, and attractive rental yields once completed. These are suitable for buyers looking to invest early in a development for future returns.

Dubai offers two primary forms of property ownership:

• Freehold Ownership – Grants full ownership rights over the property with no time restrictions. Freehold areas are open to foreign buyers, allowing them to own property outright.
  
  
• Leasehold Ownership – Allows the right to own and occupy a property for a set period (typically up to 99 years). After this period, ownership reverts to the freeholder. Leasehold properties are usually found in certain specific zones and come with different resale and legal implications compared to freehold properties.

The timeline for purchasing a property depends on several factors, including whether the property is rented and the payment method.

• Financed Buyer & Financed Seller – Typically takes around 8 weeks.
• Financed Buyer & Cash Seller – Takes approximately 6 weeks.
• Cash Buyer & Cash Seller – Generally takes between 1 to 4 weeks.

Your Property Consultant can give you a more accurate timeline based on your specific situation.

Yes, financing options are available. You’ll need to secure pre-approval from a bank, which your Property Consultant can assist you with. They can also connect you with mortgage providers who offer competitive rates and terms suitable for your budget and preferences.

Here are some key fees and charges to budget for:

• Dubai Land Department (DLD) Transfer Fee – A 4% transfer fee applies to both off-plan and ready property purchases. Some developers offer incentives that cover part or all of this fee.
• Agent Fee – Typically 2% of the property value plus VAT. For off-plan properties, this fee is often covered by the developer, so buyers aren’t required to pay it.
• Service Charges – Also known as community service fees, these are calculated on a per square foot basis and vary by area, ranging from AED 2 to AED 30 per sqft
• Mortgage Registration Fee – For buyers using financing, a 0.25% registration fee is payable to the DLD based on the loan amount.
• Conveyancing Fee – If the real estate agency provides this service, fees may apply (e.g., AED 8,400 + VAT).

Selecting a real estate agency with in-house conveyancing services can simplify the process and cover essential services like legal documentation, property transfer, and dispute resolution.

To proceed with the purchase, you’ll need:

• For UAE Residents: Passport, Emirates ID, and residency visa.
• For Non-Residents: Passport only.

Additionally, you’ll need to provide a 10% security deposit on the agreed purchase price. This can be secured through:

• Personal Cheque – For those with Dubai bank accounts, a cheque is held but not cashed until the transfer.
• Third-Party Cheque – Requires a signed undertaking if using a third party’s cheque.
• Bank Transfer – Direct transfer to the real estate agency’s account.

If the property is currently rented, you may inherit the tenancy as the new landlord. If you plan to live in the property, you’ll need to provide the tenant with at least 12 months’ notice to vacate, as per Dubai regulations, unless the seller has already done so.

Foreigners are welcome to buy property in Dubai, but they must purchase within designated freehold areas. Foreign buyers can fully own freehold properties without restrictions in these zones, making Dubai an attractive option for international investors.

Dubai’s property market offers attractive rental yields, typically between 5-9% depending on the location and property type. Off-plan properties, in particular, can yield strong capital appreciation once completed. For more detailed guidance, it’s best to consult a Property Consultant who can provide data on current market trends.

Yes, you can sell an off-plan property prior to its completion, a process known as “assignment.” However, the ability to resell depends on the developer’s terms and the progress of your payments. Many developers permit assignment once a certain percentage of the purchase price has been paid.