What Is A Good Investment In Dubai Real Estate Market in 2021?
residential property investment
residential property investment
it’s hard not to see why Dubai is an investment paradise for Real Estate.
How safe it is to invest in Dubai Real Estate market?
Following the announcement of the long-awaited Foreign Ownership Decree in 2002, which allows non-Emirati citizens to own property in Dubai, the city has experienced a construction boom that has attracted foreign investors to the Dubai City property market.
Today Dubai offers a wide range of investment opportunities in the housing sector, both ready to use and as a long-term investment.
- This industry is now highly regulated by the Dubai Land Department and the Real Estate Registration Agency (RERA) aimed to protect the investors.
- Potential for long-term capital growth as UAE economy is expected to continue growing towards 2030 and beyond.
- 3 to 10 years investment residence visa will be eligible for investment worth AED 750,000 or above, with a maximum of 50% of the property value is under mortgage.
- Attractive short and long term rental yields with an ROI of 4% to 9%.
- Some Payment-plans facilities can be arranged with the developers for up to 10 years.
- Low tax rates on Real Estate Investment for maximum profit.
- Amazing lifestyle attractions from sunny beaches, luxury hotel resorts and shopping malls.
- One of the world's most safest places to live due to it's low crime rates.
UAE GDP Growth 2000-2019
Iconic Projects
What are the expected fees associated with buying a property in Dubai?
You should expect additional government and 3rd party fees when doing a Real Estate transaction in Dubai, these figures may change from time to time:
Government Fees
- Dubai Land Department Fees
4% of your purchase price plus an admin fee (between AED40 to AED 580) - Property Registration Fees
Properties below 500,000 AED will be charged AED 2,000 + 5% VAT
Properties above 500,000 AED will be charged AED 4,000 + 5% VAT - Dubai Land Department Mortgage Registration Fees
0.25% of the loan total plus AED 290
Agency Fees
- Real Estate Agent Fees
2% of the purchase price + 5% VAT - Conveyance Fee
Usually between AED 6,000 and AED 10,000
Mortgage Fees (depending on bank offer)
- Arrangement fee
1% of loan amount + 5% VAT - Property Valuation Fee
Usually between AED 2,500 and AED 3,500 + 5% VAT
Conclusion
With every investment comes the risk factor, and there is nothing called a 100% risk free investment. However, we believe investing in Dubai's Real Estate market is one of the best and safest investment methods now in particular the residential properties. Getting in touch with the right professionals, will direct you away from Real Estate scams, false advertisements, and guides you towards the right investment decision that best fit your requirements.
