How to Buy a Freehold Property in Dubai?
The royal decree 2002 that permits foreign nationals to own and buy freehold property Dubai has to lead to the boom in the industry over the years. This proclamation grants foreigners and ex-pats to buy, own, or lease freehold properties in designated freehold areas. What’s not to love about freehold properties? Total control over your property with no pressures of further payment or charges. Are you considering investing in freehold properties in Dubai? You have made the right decision and this article is for you. However, it can get tricky and confusing especially for the inexperienced or foreigners. As an expert, we have put together an outline of what freehold property is, and how you can buy a freehold property in Dubai. Read on!
What is a freehold property? Before delving deeper on how you can buy freehold properties in Dubai, Let us take a look at freehold property meaning. Freehold property is one where the owner has absolute control over the unit and the land it stands on outright, in perpetuity. The owner has the rights to do whatever he wants with the property provided it is in accordance with the rules and laws. Whether you want to move into it, give it out the highest paying rent, or pass it on for inheritance, the choice is totally yours to make. Buying freehold property in Dubai is different from leasehold where the buyer only has control over the unit- not the land. In leasehold, the right to occupy or live in the property can be for 99 years or less.
The freeholder is much better than leaseholder for one important reason- total control.
Where can I buy freehold properties in Dubai? It is important to know that non-UAE nationals and ex-pats have been given designated areas in which they can buy freehold properties. Freehold areas in Dubai 2020 span across over 23 neighborhoods. The most popular areas include Downtown Dubai, Dubai Marina, Jumeirah Village Circle (JVC), Arabian ranches, Business bay, Emirate hills(to mention but a few) Coming from an expert point of view, freehold property in Sharjah has been experiencing an upbeat lately. Following the legislation that allows all nationals to own freehold properties, Sharjah has become a home for foreign investors globally. Reasons can be the low cost of entry and the high future returns it promises to investors. Wherever you decide to make the investment, ensure it is in designated areas stipulated by the government. However, If you are looking to go for non-designated areas, leasehold is the sure bet.
Should I work with a local real estate agent? Going solo when buying freehold property in Dubai as a foreign investor or inexperienced nationals can cause more harm than good. That is why it is important to work with a reputable local real estate agent that understands the inside out of freehold property in Dubai. RERA laws and regulations keep changing every time. Thus, working with a local real estate agent that is very familiar with the local property laws is very important. Moreover, they allow you to access different freehold apartment Dubai which provides you diverse options to choose from. A good rule of thumb is to conduct research on any local agent you decide to work with. Check their documents, credibility, and past work before hiring one.
What is the timeframe? After the agreement of sale has been signed, an average property transaction in Dubai usually takes 30 days to complete.
What are the documents required? Documents required for an individual buyer include: Buyer’s original passport Proof of address Contact Details
What are the benefits of buying freehold properties in Dubai? Aside from the complete control over the property, there are a lot of other benefits of buying freehold properties in Dubai. The fact that a lot of investors are aggressively embracing it to tap into the opportunities comes as no surprise. The number one good and obvious reason are Dubai offer zero property tax.
As compared to leasehold, freehold property is less risky, more stable and there is high capital appreciation in the long run. Freehold property can be sold, leased for high rental yield at owners’ discretion making it a perfect investment option.
Owners together with the immediate families can be granted UAE renewable residential permits. Property can be passed on to heirs if the owner dies, which means the property remains in the family. Investors can pay by instalments on Dubai property prices especially on the offplan property where you can get as low as 5% down payment. Either it is off-plan property or already built one, foreign investors can avail of mortgages from UAE banks. Dubai rules and regulations in regards to freehold properties favour non-resident investors. This is to ensure maximum security and protection on their investment
For any additional information or questions, contact the experts in REMDubai. This is one reputable real estate agent that will provide you the necessary guidance and ensure you have a hassle-free real estate investment in Dubai. Source: https://remdubai.com/freehold-property-dubai/