Buying property in Dubai, UAE for expats in 2024
Foreigners may buy property in the freehold areas of Dubai, UAE. The freehold areas include Dubai’s most popular districts, such as Dubai Marina, Downtown, Jumeirah, Dubai Creek and many other neighbourhoods including Dubai’s green suburbs.
A three-year UAE residence visa is granted for investing at least 205,000 US dollars in real estate in Dubai. The investor’s visa can be extended as long as the property remains in ownership. Foreigners are provided Golden Visa UAE valid up to ten years in exchange for larger investments.
From $761,000
Completion in: 2027.II Total of 649 apartments
From $8,720,000
Completion in: 2026.IV Total of 53 apartments
From $2,725,000
Completion in: 2026.II Total of 48 apartments
From $265,000
Completion in: 2027.I Total of 387 apartments
From $653,000
Completion in: 2027.I Total of 338 apartments
From $540,000
Built in 2023 Total of 470 apartments
From $300,000
Completion in: 2024.III Total of 400 apartments
How to Buy Property in UAE?
There are three types of property ownership in the UAE:
- Freehold is a termless ownership right.
- Leasehold is a tenure by lease for a period from 10 to 99 years.
- Commonhold is a tenure with full ownership of the buyer’s apartment and shared ownership of common areas through tenants’ association. Such tenure is indefinite.
Citizens of the member states of the Gulf Cooperation Council (GCC) can purchase freehold property in the certain districts in the emirates of Ajman, Dubai, Ras al Khaimah, and Umm al Quwain. Buildings and land in other areas may be leased for a period up to 99 years (leasehold). Any property cannot be bought on a freehold basis in the emirates of Sharjah and Abu Dhabi.
Documents Required When Buying Property in Dubai
For an individual buyer, the main document used to formalise the purchase is the passport. A legal entity buying property needs the constituent documents, certificate of incorporation, and the Board’s resolution to make investment, and the passport of the legal entity’s attorney. Developers provide buyers with the following documents for acquisition of an off-plan property (before construction completion):
- the land title,
- escrow account number,
- permit of the Real Estate Regulatory Agency (RERA),
- contractor agreement.
How to Buy Property in Dubai?
Dubai is the UAE’s most popular location among foreign property buyers. There are several steps to buying property in Dubai.
Step 1. Property Selection
Up to one week
Foreigners may buy property only in the designated freehold areas in Dubai, such as Dubai Marina, Downtown Dubai, Palm Jumeirah, Emaar Towers, The Greens, and Dubai International City.
Step 2. Property Booking
From three days to two weeks
A property booking contract fixes the price and removes the object from sale. A small booking fee is charged now as an advance payment which is deductible from the total property price.
Booking fees and further payments are often made online in Dubai. A buyer and developer use the electronic payment system connected with the Dubai Land Department.
Step 3. Execution of Sales Agreement
One to three days
The seller and buyer sign the sales and purchase agreement (SPA) stating the floor area, price, location, and other details of the property. Once the SPA is executed, the buyer pays up a full property price or makes a down payment. In the latter case, the payment plan with due dates and instalment amounts is attached to the SPA.
Step 4. Title Deed Issue
Two to three weeks
The buyer obtains the title deed after the transaction is registered by the Dubai Land Department. The title deed is necessary to apply for the residency visa.
Property Tax in Dubai
There is a 4% transfer tax levied when property ownership rights are passed on. In Dubai, the buyer and seller share the duty by paying 2% each. An administrative fee of 540 dirhams (approx. 150 US dollars) is levied upon payment of the transfer tax.
The seller and buyer pay the registration fee: 2,000 dirhams (approx. 550 US dollars) for the residential property worth less than 500,000 dirhams (up to 137,000 US dollars) or 4,000 dirhams (approx. 1,100 US dollars) for the residential property worth more than 500,000 dirhams (137,000 US dollars or more). The registration fee is to be paid upon acquisition of residential property.
A registration fee of 250 dirhams (approx. 70 US dollars) is charged upon issuing the title deed.
Real estate broker’s fee amounts to 2% of the property price. The fee is equally divided between the seller and buyer in case of a pre-owned property or fully paid by the seller in all the other cases.
The UAE law does not require mandatory participation of a lawyer in property sale transactions.
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