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Frequently asked questions

Can foreign nationals get a freehold property in Dubai?

Yes, foreign nationals can invest in Dubai’s real estate market. Lately, more vicinities and residential communities have been announced as ‘freehold ownership’. People from across the globe can invest in such locations and reap great benefits like a high rental yield and capital appreciation on their respective invested amounts. 

As Dubai is the Middle East’s economic hub, investors across the world have their sights set on Dubai for the next twenty years. The 2040 vision of Dubai has engulfed confidence in investors. The real estate market of Dubai aims for a higher rental return for the next decade that also leads to a higher housing price index. Hence, as per the current market status of Dubai, prices are meant to be affordable as they will rise much higher in the future. 

Real estate escrow accounts are controlled by the Dubai Land Department – It is an account wherein the amounts collected from investors or financers are collectively deposited. This guarantees the rights of investors as the escrow account is used to govern the progress of the real estate project while units are sold off-plan (using floor plans or maps). This applies to all real estate developers in the Emirate of Dubai as the government aims to regulate the construction process to protect investors’ money.

Yes, 4% is a fixed fee charged by the Dubai Land Department across all transactions of buying or selling off-plan or secondary real estate in Dubai. Also, the fee of 4% protects property buyers and sellers upon transacting, this way the Dubai Land Department maintains a database of transactions, produces index reports, and puts a full stop to speculative buying and selling. This makes the market price of every unit more precise leading to a less volatile and stable market.

Agents in the real estate market of Dubai have a piece of extensive knowledge across all developments, upcoming landmarks and hotspots. An agent’s knowledge can help you get a higher return on your invested capital. Real estate agents align your budgets and needs, act as your representative and source the right opportunity for you. They also explain the entire transactional process.

Developers in Dubai offer apartments, penthouses, townhouses, villas, and plots. The government also sells plots in designated areas. 

 

Yes, property developers usually offer payment plans that are distributed evenly during the construction period until the property is handed over. A few developers also offer post-handover payment plans in Dubai.

The new airport is expected to significantly raise the population of Dubai which will lead to the need for more housing in the city specially in Dubai South. Companies have already purchased commercial units / plots to setup their businesses in Dubai South. In the Dubai South vicinity, businesses are expected to rise in number leading to more job creation and a high rental yield. The new airport is expected to spur infrastructure improvements and the growth of amenities, further enhancing the appeal of Dubai South and positively impacting the broader Dubai real estate market.

No, real estate purchases in Dubai are not subject to VAT.

Yes, you can get a 10-year golden visa upon your property purchase if the property’s value is AED 2 million. To be eligible for the golden visa, 20% of the property’s value must be paid.