10 Steps to Buying A Property In Dubai
The process of acquiring a piece of property in Dubai is so straightforward that it almost feels like a fool’s errand to try and explain it; But then again acquiring a property (especially in a foreign country) always has its own complications and we are here to make any complexities go away in 10 simple steps to buying a property in Dubai.
Dubai is one of the top choices of investors and high net worth individuals all around the globe. The pure excellence in quality and the remarkable variety of choices available for foreign investors are enough reasons to convince anyone to invest their money in Dubai’s real estate.
But the United Arab Emirates’ government has taken a step further and created an absolutely streamlined process for buying property in Dubai to make things as easy and smooth as possible.
In this feature we are going to go through a step by step (exactly 10 steps) guide on how to buying a property in Dubai; The topics covered and the ten step are as follows:
Why buy a property in Dubai?
- Step 01: Goals and Criteria
- Step 02: Budget and Options
- Step 03: Agencies and Agents
- Step 04: Meeting the Requirements
- Step 05: Check the Documentation
- Step 06: Sign the Memorandum of Understanding or MOU
- Step 07: Get the No Objection Certificate or NOC
- Step 08: Visit the Dubai Land Department or DLD
- Step 09: Pay the Fees and Taxes
- Step 10: Finalize the Transfer
- Final word
Why buy a property in Dubai?
Dubai’s real estate market has always been an extremely interesting destination for international investors and high net worth individuals. After the outbreak of Covid-19 the demand for property in the UAE emirates, especially Dubai skyrocketed and it has been on the rise ever since without any signs of slowing down.
The United Arab Emirates has created a place of safety and intrigue for foreign investment over the years and Dubai’s real estate is among the most profitable sectors for investors in all of the UAE.
The sheer quality and variety of the different types of properties in Dubai and the advantages offered by the UAE’s government to foreign investors in programmes such as the Dubai Golden Visa leaves practically no room for any doubt over why any intelligent and rational investor should choose Dubai’s real estate for investment.
Now that we have garnered your attention, let us dig in to the matter at hand without further ado: 10 Steps to Buying A Property In Dubai.
Step 01: Goals and Criteria
The first of the 10 steps to buying a property in Dubai is also somewhat the most important one: Why are you buying a property in Dubai? We know we should not be asking this after all we said just a few paragraphs above but you should be asking yourself this question (and a few other questions after that but more on them in a bit).
So what is it that you are looking for exactly? A high return on investment? A quick return on investment? Are you looking to live and reside in Dubai? Are you looking to obtain the UAE Golden Visa?
Next you must create a clear list of your criterias; Do you want a property in a commercial or a residential area? What types of ownerships are you even considering? Do you want to be a freehold owner or a leasehold owner of property?
The goals and criteria are deeply connected and the determination of one helps you to figure out the other simultaneously. Now that you know what you want, you must look at what you can have.
Step 02: Budget and Options
As we have said numerous times, there is no shortage of options and choices when it comes to buying property in Dubai. Whether you are looking into the commercial areas or the residential parts, there is a vast number of selections to choose from. The only question is, can you afford it?
The prices and costs of apartments and houses are almost as different and diverse as the types of housing available. You can start searching online for apartments listings and check out the obtainable projects such as Viewz By DANUBE or Mudon Al Ranim Phase 4 By MERAAS to name two.
Whether you found what you were looking for or not, you need to start looking for a reputable agency.
Step 03: Agencies and Agents
As we have seen so far many of the early steps to buying a property in Dubai can be taken on one’s own and without the help of professional agents. But it is always better to go through the very sensitive process of acquiring a property in a foreign country with qualified help by your side from the very beginning.
By getting help from professional agencies such as Jasper Real Estate you do not need to worry about clarifying your criteria, finding the best options and as we will see later, going through the legal process.
Step 04: Meeting the Requirements
All foreigners are allowed to buy and own property in Dubai and being a resident is not a prerequisite either. But aside from that, there are a few requirements that need to be met in order to make you completely eligible for owning property in Dubai.
The requirements are mostly a list of documentation such as passport, ID and contact details which are extremely easy to prepare. You also need to obtain a MOU and an NOC which we will explain in the steps six and seven.
Step 05: Check the Documentation
This may sound like a very obvious point in steps to buying a property in Dubai but it still needs to be addressed and emphasized given the importance of the matter at hand i.e. buying a property in a foreign country; Plus it is extremely important for both the buyer and the seller to have all the right documentation prepared if you do not want the process of the transaction to take longer that it needs to.
These documentation normally include the buyer’s ID, the property title deed, seller service charge clearance letter, bank documentation in the case of buying a property with a mortgage. None of these should be a matter of concern if you have acquired the services of a professional agency.
Step 06: Sign the Memorandum of Understanding or MOU
A Memorandum of Understanding or MOU in short is a contract that outlines the terms of agreement between the buyer and the seller in the case of purchasing a ‘resale’ property.
The MOU which is also known as Contract F or Form F must be signed by both parties of the deal in the presence of a witness (normally the agents) at the Registration Trustee’s office.
In this step the buyer needs to pay 10% of the property’s price to the Trustee’s office as a security deposit; This money will later be paid back to you once the deal is finalized.
Step 07: Get the No Objection Certificate or NOC
In the next step the buyer and the seller need to go to a developer’s office and apply for a Non Objection Certificate or NOC in short. An NOC is just to make sure that there are no issues with the property. This form is issued for a fee by the developer in a very simple standard procedure.
Step 08: Visit the Dubai Land Department or DLD
Once you have acquired the MOU and NOC, you are almost done. At this stage both parties need to pay a visit to the Dubai Land Department or DLD in short to make everything official.
Step 09: Pay the Fees
Again this may seem like an obvious point to make but since the costs of the legal procedures can be significant, it is important to know all the fees that need to be paid by you as the buyer so you can have a clear understanding of your budget and expenditures.
These fees can include the cost for an NOC, the commission of the real estate agents, transfer fees, trustee fees, the developer’s service charges and the mortgage registration fees in the case of a purchase with a loan.
Since these fees can vary depending on the details of the deal, so do not hold back contacting the qualified agents of Jasper Real Estate to ask any questions you have in this regard.
Step 10: Finalize the Transfer
Congratulations! You have completed all the necessary steps to buying a property in Dubai and can now call yourself a proud owner of a property in the second largest emirate of the UAE.
Final word
As you saw, the steps to buying a property in Dubai are extremely simple and clear so much so that it does not seem necessary to secure the assistance of real estate agencies; But to be completely frank we made things look a bit easier than they really are.
The truth is in reality any legal procedure comes with a lot of minor yet vital details that getting help from professionals is not only a smart move but simply a necessity. And so we recommend you contacting the Jasper Real Estate agents in order to make sure you face no challenges should you make a decision to buy a property in Dubai.
