Guide to buying a property in Dubai
by Jyoti D. Real Estate BloggersBuying a property is one
of the most exciting things you can do. With Dubai being one of the world's
most exciting cities to live in, buying property here can make for an even more
thrilling experience. But if you are not from Dubai or the UAE, the process of
identifying and buying a good property can be cumbersome. As one of the Top Developers in Dubai with over five decades' experience in UAE, we at
Shapoorji Pallonji have put together this quick guide to help those looking to
buy property in Dubai understand the basics and steps involved in making such
an investment.
If you're interested in purchasing real estate in Dubai but don't know how to, there is no need for concern because this guide will walk you through every step of the process.
Types of Real-Estate in Dubai
There are several types
of commercial and residential property for sale in Dubai.
● Residential properties
● Commercial properties
● Land
● Off-plan development projects
● Serviced apartments and villas
In addition to these, there are several other kinds of buyable property you can look at. These include apartments, townhouses and studio flats.
Due Diligence is
Essential, especially for Foreign Buyers, before making a purchase.
Before purchasing your
property, it is important to perform due diligence on the property. Due
diligence refers to a process of investigation and examination to ensure that a
buyer is not buying a property that may be subject to environmental or legal
issues. It is a legal requirement in Dubai, Abu Dhabi and some other emirates
of UAE. You can employ Third-Party companies or real estate agents specializing
in due diligence services.
Suppose you do not
engage in this process. In that case, it could result in your sale being
canceled by authorities after completion, which will cost you and your
developer dearly if it happens after construction has begun.
What we suggest you to
do is to download the official app to check project status called Dubai Rest
from the app or play store and then click on check project status from the Home
Screen or Services Menu to check the status of the project.
The location of your
property has a big impact on its price.
● Location is important:
You need to consider the
location of your property carefully because it will affect the price, quality
of life and resale value.
● The location of your property has a big impact on
its price:
This is especially true
in Dubai, where residential properties have limited options. For example, if
you want to buy an apartment in Downtown Dubai, expect to pay more than if you
were buying a villa in Jumeirah Lake Towers (JLT) or Marina.
● Location affects rental income and capital
appreciation:
The long-term appreciation of the value of your property also depends heavily on the location of your investment.
Buying off-plan can be
beneficial, but there is also risk involved.
It can be beneficial for
you to buy an off-plan property as you can negotiate the price before the
project is completed, and you can also make a deal on the finishing touches of
your property before it's built. The
biggest benefit of buying an off-plan property is that your investment is
subjected to an appreciation as soon as the project is ready, without you having
to pay the full amount upfront. However, there are risks involved with buying
off-plan:
● You have to wait to move into your apartment
until possession is allowed.
● But off-plan properties can be subject to delayed handover and completion because of construction delays. Even though property developers in Dubai are known for their tremendous work ethic and deliverables
You will face some fees
when buying a property in Dubai.
The following fees will be levied on you when buying a property in Dubai:
● Transfer fees: Dubai Land Department (DLD) levies a one-time tax/fee paid to the government of 4% of the property's total price. The DLD fee in Dubai is legally divided equally between the buyer and seller. (In most cases, the buyer pays the full amount). If you are mortgaging the property, you will also have to pay the mortgage registration fees along with the DLD.
● Registration Fees: Above AED 500,000= AED 4000 + 5% VAT.
● Mortgage
Registration Fees: Up to 0.25% of loan amount + AED 290.
The buying procedure is
straightforward.
One less thing to worry
about when it comes to buying a property in Dubai is the visa, as you don't
need a visa to buy any type of real estate property in Dubai. You are eligible
for an Investor visa if the total investment is north of AED 750,000 (US$205K)
and if you purchase a ready residential/commercial property only then.
All you have to do is contact a broker or real estate property developers in Dubai who will be able to guide you through the whole process of making the offer, negotiation, NOC, transfer and the final handover. Once you sign your sale agreement with the developer, you are ready to enjoy life owning a piece of paradise.
Conclusion
We wish you all the best in your property search. It can be a very exciting time, but we want to remind you that it's important to take your time and do plenty of research before committing to anything. While property developers in UAE are known for their transparency, there are projects like Imperial Avenue with luxurious Apartments for sale in Dubai, for investing in without hiring a broker. It's also true that plenty of scammers would love nothing more than to get their hands on your money.
So, keep your wits about
you and only make decisions once you've done some serious due diligence on
every aspect of the purchase. With this advice in mind, we hope that buying a property in Dubai
will be one of the most fun and exciting things you've ever done!
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Created on Jun 30th 2022 06:19. Viewed 325 times.