Frequently Asked Questions

A transfer fee is due when you transfer your property to another person. It is an administrative fee charged by the first developer.

Waiving Dubai Land Department (DLD) registration fees is a common offer from developers. The DLD fee is 4% of the property purchase price, plus an administrative fee of AED 580. Waiving the DLD fee means that the buyer does not have to pay this fee, but that the developer pays it. Sometimes developers offer a discount of 50% to 100% on the DLD fees, which means that the buyer has to pay the rest of the fees if necessary.

A plot of land on which no structure has yet been erected; land under construction.

Mohamed Ali Rashed Alabbar is the founder and chairman of Emaar Properties PJSC, one of the leading developers in the United Arab Emirates. He has a total net worth of $76 million and is ranked 8th on the UAE’s list of 10 richest politicians.

The Real Estate Regulatory Agency (RERA) is the DLD regulatory body that governs the real estate sector in Dubai. It regulates the relations between all contracting parties and organizes the exchange of real estate.

Dubai is often considered a pricier city to reside in compared to many others in the region. The cost of living in Dubai is primarily influenced by factors like housing, transportation, food, and entertainment. Housing costs can be particularly high, especially in sought-after areas and for larger properties. However, the overall cost of living can be balanced by other factors, including the relatively affordable cost of goods and the absence of income tax.

It’s important to note that the cost of living in Dubai can vary significantly based on individual circumstances and lifestyle choices. Expats with higher incomes may find it relatively affordable, while those on tighter budgets may face more financial challenges.

It’s worth exploring ways to manage and potentially reduce your cost of living in Dubai. Options like sharing housing costs with roommates, preparing meals at home, and taking advantage of the city’s many free or low-cost activities and events can help you maintain a comfortable lifestyle while keeping expenses in check.

Dubai hosts a roster of distinguished real estate developers, each boasting a diverse portfolio of top-tier projects. Below is a compilation of the top 10 real estate developers in Dubai:

1. Emaar Properties: Renowned as one of the largest and most influential developers, Emaar’s portfolio encompasses high-rise towers, residential communities, and shopping destinations.
2. Dubai Properties: As a subsidiary of Dubai Holding Group, Dubai Properties is celebrated for its opulent residential and commercial ventures.
3. Nakheel: A prominent real estate developer acclaimed for its grand-scale projects, including man-made islands, residential communities, and shopping hubs.
4. Damac Properties: Distinguished for its luxury residential and commercial developments, Damac Properties is known for high-rise towers and golf course communities.
5. Meraas: A multifaceted developer recognized for its mixed-use projects, spanning residential communities, retail centers, and tourist attractions.
6. Azizi Developments: A prominent developer acknowledged for its luxury residential undertakings, encompassing high-rise towers and gated communities.
7. Sobha Group: Esteemed for its luxury residential projects, Sobha Group boasts high-rise towers and gated communities.
8. Deyaar: A respected developer synonymous with high-quality residential and commercial endeavors, featuring high-rise towers and gated communities.
9. Ellington Properties: Celebrated for its superior residential and commercial projects, including high-rise tower communities.
10. Danube Properties: A reputable developer known for its high-quality residential and commercial ventures, including high-rise towers.

These developers have consistently demonstrated their ability to deliver exceptional projects, with many harboring plans for further expansion. When contemplating real estate investments in Dubai, conducting thorough research and comparing the offerings of different developers is advisable to align with your unique needs and investment objectives.

Freehold ownership bestows the privilege of indefinite property ownership, affording individuals full rights to use, transfer, and sell the property. Freehold properties are highly esteemed and often viewed as a more secure investment option.

Conversely, leasehold ownership permits individuals to utilize and inhabit a property for a specified duration, typically spanning 50 to 99 years. Once the lease period concludes, ownership reverts to the government or the landowner. Leasehold properties, generally more affordable than freehold properties, provide a lower entry point for those seeking to invest in Dubai’s real estate market.

Prior to making a purchase, it is imperative to weigh the advantages and disadvantages of both options and conduct thorough research into a property’s ownership status. Considerations should encompass the lease’s duration, the terms of the lease agreement, and the potential for future capital growth and rental income. Collaborating with a knowledgeable real estate professional will empower you to comprehend the distinctions between leasehold and freehold ownership, allowing for an informed decision that aligns with your investment aspirations and goals.

The choice between purchasing a property in Dubai with a mortgage or using personal savings hinges on your financial circumstances and investment objectives.

Opting to pay for a property in full with personal savings offers several benefits, including:

• Freedom from Monthly Mortgage Payments: Full payment eliminates the need for ongoing monthly mortgage payments, freeing up cash for other expenses or investments.
• Interest Savings: By avoiding borrowing, you sidestep interest costs that can accumulate over time.
• Enhanced Equity: Complete ownership of the property gives you full control and equity in the asset.

Nevertheless, using personal savings to purchase a property in full has its downsides, such as:

• Capital Tied Up: Significant capital is tied up in the property, limiting its use for other investments or expenses.
• Limited Access to Funds: Placing all savings into one property can restrict access to funds for other financial needs or investments.

Opting for a mortgage to acquire a property in Dubai offers several advantages, including:

• Lower Initial Costs: Borrowing allows for a smaller upfront investment, making more savings available for other expenses or investments.
• Equity Accumulation: Monthly mortgage payments contribute to building equity in the property over time.
• Extended Payment Schedule: Borrowing spreads the property cost over a longer period, reducing monthly payment amounts.

Nonetheless, obtaining a mortgage to purchase property in Dubai has its drawbacks, such as:

• Monthly Mortgage Obligations: Monthly mortgage payments can affect cash flow and budget considerations.
• Interest Expenses: Borrowing incurs interest costs that can augment the overall property cost over time.

Ultimately, the decision to pay for a property in full with personal savings or secure a mortgage will hinge on your financial scenario and investment aspirations. It’s essential to assess your budget, cash flow, and long-term financial goals when reaching a verdict. Seeking guidance from a financial advisor can also aid in making an informed choice.

Freehold grants full ownership of the land and buildings, allowing you to sell, lease, or use it freely (governed by Law No. 7 of 2006). Leasehold grants rights to use the property for a set term (usually 99 years) but not ownership of the land itself (also under Law No. 7 of 2006). Understanding these distinctions is crucial for making informed decisions.

Yes. Only in specific freehold areas can foreigners purchase property. Emirati and GCC citizens have more freedom to buy anywhere in Dubai. These restrictions are outlined in Regulation No. 3 of 2006.