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Who can buy a property in Dubai

Documents Required To Buy A Property In Dubai

The process of purchasing property in the UAE and specifically in Dubai is rather simple and not hugely complicated. In this guide we are going to review the step by step procedure of how to buy a property in Dubai.

Before we delve into the matter at hand however, we feel obligated to remind you that this article does not replace legal advice; We recommend you contact the specialists at Jasper Real Estate for more detailed information on this topic, should you wish to do s.

In this feature we will be reviewing the following topics:o

Who can own property in Dubai

Types of ownership in Dubai:

Before getting to the legal matters of how to buy a property in Dubai it is necessary to know about the two types of property ownership in Dubai which include freehold & leasehold.

Types of property in Dubai

As is suggested by the name, a leasehold ownership gives you the rights of a property for a certain and limited period of time which is usually 99 years for residential and 50 years for corporate properties.

There are certain restrictions for the owner in this type of ownership. For instance any big change to the property such as remodeling and renovation must be with the permission of the freehold owner of said property.

On the other hand almost any liability for repairs is also the responsibility of the main owner and the price of leasehold properties are generally lower than freehold properties; It must also be noted that 99 years is not a short time.

In a freehold ownership however you will obtain absolute control of not only the property but the land on which the property is built upon.

In this type of ownership you have all rights over the property and the land. One of the biggest perks of freehold ownership is that they make you and your family eligible for long-term residency visas. These properties will be inherited by your heir upon your demise.

Types of property in Dubai:

Investors and prospect buyers have a wide range of options when it comes to obtaining freehold properties in Dubai. From apartments and penthouses to villas and townhouses there are hundreds of different choices available for interested parties.

There is a long list of designated areas in which the investors can obtain the ownership of properties such as The Business Bay, The Dubai Studio City, Downtown Dubai, Arabian Ranches, Emirates Hills, Palm Jumeirah and more.

This list is updated by the Dubai Land Department on a regular basis. In order to find the best options that fits your criteria in order to buy a property in Dubai we advise you to get help from Jasper Real Estate.

Investors can also buy off-plan or ready-made properties in Dubai. As always there are certain pros and cons to each type of property. When you purchase a ready property you know what it looks like and more importantly you can start generating revenue instantly.

On the other hand when buying off-plan properties you have more options and choices and you have the opportunity to acquire the better units in an apartment or in different areas which would warrant a bigger return on investment when the property is ready.

The choice between ready and off-plan properties all depends on your priorities and what you are planning to do with the property once you gain their ownership.

Who can buy a property in Dubai?

Buying and owning property is limited to the UAE or GCC citizens. And foreign investors can also acquire property in Dubai in certain designated areas; Purchasing property in these areas does not require any form of residency for foreigners.

Property tax in Dubai

On the other hand, there are different types of real estate investment visas with which you can acquire long-term residency in Dubai. These visas can vary from a minimum of 3 years to a maximum of 10 years; Since each visa is subjected to different rules and regulations it is highly recommended to contact the specialists of Jasper Real Estate in order to gain more comprehensive information.

What are the necessary steps to buy a property in Dubai?

The Dubai Land Department or DLD in short has made the process of buying property in this city as straightforward as it can be. Simply put the procedure is as follows:

  • The buyer and the seller agree on the price and terms of the deal and formulate a contract.
  • Signing Contract F.
  • The parties then need to apply for a NOC or Non Objection Certificate from master developer, owner and association.
  • After that the parties must pay a visit to the DLD trustee offices across the city.

Who can buy a property in Dubai

Right now you definitely have more questions than answers. Do not worry. We are going to go through each step and explain the details.

The first step of the process is finding your target property, meeting with the owner and agreeing upon basic details such as price and the method of payment.

It needs to be noted that this first step can be done on your own and the parties involved do not necessarily need the aid of an agency although if you are a first time buyer in the UAE it is suggested that you go through all stages with the help of qualified agents in authorized agencies.

In the second step you are required to sign an agreement called Memorandum of Understanding (or MOU in short) something that is also known as Contract F or Form F in Dubai. the buyer is obligated to pay 10% of the whole price.

And last but not least the seller and the buyer must pay a visit with the required documents to finalize and make the transfer official.

What are the necessary documents to buy a property in Dubai?

Now that you have clear understanding of the process, we can look into the necessary documents in order to buy a property in Dubai; In short the documents demanded from the parties involved are as follows:

  • A manager’s cheque by the buyer in the amount of the price of the property.
  • Identifications by the seller and the buyer (ID & Passport).
  • The NOC or No Objection Certificate.
  • The Memorandum of Understanding or Contract F.

Once the paperworks are concluded you will officially be the new owner of the property. It must be noted that if you are a corporate buyer the number of documents needed to buy a property in Dubai is longer.

Also it must be said that the whole process of buying a property in Dubai does not take more than a month. That is if the transaction does not involve a mortgage; If the buyer is purchasing the property with the help of a mortgage or if the seller is still paying mortgage for the property the bank will most definitely be involved in the process and the added paperwork would naturally slow things a bit.

Property tax in Dubai:

Under the Dubai laws foreign property owners are not required to pay any kind of tax including annual property tax, income tax, capital gains tax, rental revenue tax or added value tax.

That said, it must be remembered that investors might still have to pay taxes to their home country’s government for the properties they own in Dubai and any revenue that are gained from them; It is highly recommended to seek legal advice from tax experts in your home country before completing any purchase  a property in Dubai.

Final word

An extensive range of splendid options, constantly increasing prices, world-class constructions, state of the art urban infrastructure and services, incredibly high return of investment and the opportunity of long-term residency are among just some of the reasons why investing in real estate in Dubai is extremely popular.

Dubai has been a city on the rise for some decades now and there are no signs of stopping any time soon. Investing in real estate in this magnificent cosmopolice must be a no brainer for any investor anywhere in the world.

In order to gain professional guidance on how to invest, buy and gain residency through purchasing property in Dubai we recommend getting in touch with verified consultants in the Jasper Real Estate Office; Do not waste any more time and act now.

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