Property for sale in Dubai can be a great start to start a new life in a country with a comfortable economic and investment climate. The article gives a brief background on buying a home, such as houses in Akoya Oxygen for foreigners in the most technological emirate for those who are just planning to make a profitable purchase and want to expand their knowledge.
What kind of real estate can foreigners buy?
On the territory of the United Arab Emirates, there are three rules for owning real estate:
- Freehold – unconditional ownership. The buyer receives the object at full disposal, and can sell, rent, or bequeath it. This also includes the so-called property ownership, when the owner owns both the land and the building built on it. Dubai freehold zones include 47 territories.
- Leasehold – acquisition with the right to lease for 10-99 years. After making all rental payments and the expiration of the lease agreement, the property is returned to the owner. The contract can be renegotiated with the right to transfer to relatives and extend for the same period. Popular leasehold locations include Business Bay and Jumeirah Beach Residence.
- Commonhold – possession by associated tenants of joint property for an unlimited period.
Legislative acts of the Emirate of Dubai allow citizens of non-GCC (Gulf Cooperation Council) countries to purchase real estate with the right to “freehold” only in approved territories. The decree of the Dubai Emir establishes the list of available zones. It includes the entire “new” sector: Palm Jumeirah, Downtown Dubai, Jumeirah Lakes Towers, Emirates Hills, and other famous areas.
Since 2003, the “Dubai Land Department” regulations have allowed the lease of buildings and land in all other territories. Thus it is possible to register direct ownership of land plots exclusively for new objects. In all other cases, the long-term land lease is acceptable.
Who can buy property in Dubai?
Foreign buyers of an apartment in Dubai can only buy objects in the territory of special freehold zones or rent the property for 99 years with the right to renew. As for legal entities, they must be registered in the territory of free economic zones.
Finding a Realtor
The real estate market in Dubai is very different from other countries, so a citizen with no experience in purchasing foreign housing will need an appropriate specialist who will help to understand all the intricacies of the market, select apartments, houses or villas for sale in Dubai that meet the client’s preferences and goals and also provide a safe conclusion transaction the owner.
The legal side of the issue
Any citizen, regardless of origin and citizenship, can become the owner of Arab real estate in specially designated freehold zones. This was allowed in 2002 and enshrined in subsequent laws and regulations. This does not require a visa or other permission.
How long does a real estate in Dubai transaction take?
From the date of signing the purchase and sale agreement, the transaction takes, on average, about 30 days. Properties for sale off-plan in Dubai sells faster – from 1 day.
The secondary market:
- the broker’s commission varies from 2% to 5% of the value of the object (depending on the complexity of the transaction) + VAT;
- a No Objection Certificate (NOC) can cost AED 500 to AED 10,000 ($136 to $2,722) + VAT;
- registration with the Dubai Land Department (DLD):
- for properties over AED 500,000 (USD 136,130) – AED 4,000 (USD 1,089) + 5% VAT;
- for properties cheaper than AED 500,000 – AED 2,000 (USD 544) + 5% VAT.
- transfer fee – 4% of the value of the property;
- mortgage registration (if any) – 0.25% of the loan amount;
- proof of ownership – AED 580 (US$157).
- deposit – 10% of the value of the object;
- installment – 5-10% every 3 months;
- registration fee – 4% of the transaction value + administration fees of 3,000 AED ( 816 USD).
Assistance in buying property in Dubai
Premium real estate in Dubai is available for purchase now! A large real estate agregator in Dubai, https://www.axcapital.ae/, will help you find apartments in Business Bay or another popular area of Dubai, arrange a secure deal with the developer, and provide after-sales service.