Overview

• What are the mortgageable properties according to Dubai law?
   

  According to the rules and regulations implemented in Dubai, any property or real estate unit can be mortgaged as debt security, subject to the following conditions:

  • The property is registered with the Dubai Land Department.
  • The mortgaged property or real estate unit must be established and have an existing insurance mortgage or verdict on the map at the time of the mortgage.
  • The insurance mortgage can only be made on a property or real estate unit that is legally transactable.
• Why Should You Invest in Real Estate in Dubai?
   

  The transparent real estate market in Dubai provides investors and purchasers with a high return on their investment (ROI). For the reasons listed below, it is the best market to invest in:

  • Safe and secure environment, suitable for families.
  • High living standards and excellent living conditions.
  • excellent infrastructure and a variety of economic sectors.
  • Tax-free incomes.
  • high property income, so high that it can be compared to that of New York and London.
• Do Properties in Dubai Required to Pay VAT?
   

  Sales of commercial property are subject to Value-Added Tax (VAT), which is levied at a rate of 5%. It does not, however, apply to the following:

  • Leases of commercial property.
  • Sales or leases of residential property.
• Can a Foreigner Have 100% Property Ownership in Dubai?
   

  Although full foreign ownership was not permitted in Dubai until 2006, the government has since created new incentives that permit it. The brevity of the response is that it is possible to own 100% of a property in Dubai. In free zones like Al Furjan and Palm Jumeirah, foreigners are able to own real estate and have complete ownership.

• How Long Does It Take To Buy a New Property in Dubai?
   

  It takes around a month to complete the typical property transaction in Dubai. This period commences when the buyer and the seller sign the sale agreement.

• What is the duration of a real estate residency visa?
   

  There are two types of real estate residencies: a three-year residency on a property whose value is AED 750,000 or more, and a five-year residency on a property whose value exceeds AED 5 million.

• Should real estate transactions be registered in Dubai Land Department?
   

  In order to protect the rights of investors, all real estate laws in Dubai emphasize the need for all real estate transactions, including ownership, transfer, or modification with or without payment, to be registered. Any real estate transaction that isn't listed in the registers maintained by the DLD is deemed void.

• What is the initial registration process?
   

  Initial registration includes properties bought off-plan or ready-made properties for which an initial sale certificate is issued indicating the registration of a property. It also refers to the process of registering real estate sales contracts and other legal actions off-plan before transferring them to the real estate registry. The goal of this is to protect investors' and owners' rights.

• When is the completed property transferred to the Real Estate Registry and the title deed issued?
   

  As soon as they acquire a certificate of completion from the appropriate authorities, developers are required by law to register completed projects in the Dubai Land Department. As a result, the completely paid-for real estate units will be moved from the original register to the Real Estate Registry, where the investor will receive a title deed or usufruct certificate.

• Is there a certain age required to own or transact properties in Dubai?
   

  In Dubai, there is no legal age restriction on property ownership. However, if someone wishes to sell, give away, or mortgage any portion of a property owned by a minor, they must submit a judgment from the competent court for the remaining categories and from the Awqaf and Minors' Affairs Foundation for citizens holding a registration extract (Khulasat Qayed) from Dubai, approving the sale of the minor's real estate. If a minor (those under 21) wants to buy property, their legal guardian must sign the agreement on their behalf.