As you surely already know, Dubai features one of the world’s largest real estate markets. In comparison to other markets throughout the world, Dubai’s real estate market excels in meeting the needs of house buyers by providing tremendous benefits, exceptional value, and a variety of amazing amenities.
Are you planning to buy Dubai properties? Are you interested in learning more before purchasing real estate in Dubai? Find out the final 10 things you need to know before purchasing real estate in Dubai by reading on.
1. Dubai Location
According to a well-known saying, three elements determine a property’s price. Location, location, and location make up those three factors. There are many factors you should take into account when selecting the ideal place. Your needs determine the best community for you in every way.
For instance, families desire a home close to their children’s school. However, singles or young professionals want a location close to the city centre. Therefore, you must ask yourself a crucial question: “What is your objective in having a house in Dubai?” Trust me, if you have a clear response to this query; choose a neighborhood will be much simpler.
2. Buying Off-Plan Real Estate
It makes sense that off-plan real estate is major business in Dubai. A few structures have beautiful architecture that solidifies Dubai’s image as a real estate market to be reckoned with. A hold is typically placed on an off-plan property and the purchase process agreement is created with deposits of between 10 and 25 percent. Once this is done, both the buyer and the Dubai developer are committed to the transaction, which may be finished rapidly. Off-the-plan homes sell well in online real estate transactions, attracting buyers from all over the world.
3. Acquire A Used Property
Different sales procedures apply to resale property. The MOU, or Memorandum of Understanding, is the first component. This outlines all the pre-agreed terms of the sale, and the transaction is completed by paying a small deposit, often 10%. Resale property closing times vary depending on the paperwork and whether financing is available, but normally take no longer than two months.
4. Invest In Rental Properties in Dubai
Investors seeking for rental properties do well in Dubai, but you need examine regional rent returns. It also depends if investors focus on long-term contract markets or holiday rent markets. For instance, Dubai’s downtown is well-known for its tourism. The community drive in the market for rental Dubai properties comes primarily from married couples or single working professionals; as a result, apartments are preferred over houses. The last thing to remember is to look into the amenities, transportation, and retail options in the Dubai communities of your choice.
5. Purchase of a Freehold or Leasehold Real Estate
The freehold and leasehold neighbourhoods that make up Dubai City define who is permitted to purchase there. While some neighbourhoods in Dubai are non-freehold and exclusively accessible to GCC citizens who have registered, others are freehold neighbourhoods where any foreigner may buy real estate. In addition, leaseholds with a 99-year term are available in Dubai.
6. Financing, Charges, And Significant Expenses
When establishing your budget, take more into account than just the cost of the property. There are additional costs and fees associated with buying and getting a mortgage, such as mortgage fees and agency fees. Add 8% to the purchase price of the property as closing charges. Think about the cost of furnishings and utility connections as well. Include yearly service and property maintenance charges and fees as well. These differ depending on the Dubai real estate complex, facilities, and whether you buy a villa or an apartment. Service fees must be paid annually to the Dubai Land Department. The department based its square foot land costs on the RERA service charge and maintenance index.
7. Understand The Sales Processes
Although purchasing real estate in Dubai can be intimidating, understanding the sales process can help you feel more at ease. Before a client purchases a home in Dubai from us, we provide a payment schedule and a description of the procedure. Therefore, there are no unpleasant shocks for you. Additionally, we manage the sales process and make sure you are updated along the route.
8. Remember Liquidity When Purchasing
The most exciting aspect of the Dubai real estate market is buying but keep in mind that you could eventually want to sell. Any wise real estate investment must include liquidity. Dubai has a lot of it, thanks to the domestic and international markets, but some locations do better than others do in terms of resale potential and value. Amenities, yearly service fees, locations, and property conditions can also impact the potential liquidity of your real estate portfolio.
9. Features and Amenities of Real Estate
Examine the amenities carefully in the subdivision or location you intend to purchase. For instance, while that sizable, all-inclusive, cutting-edge gym might motivate you to get fitter, is it a long-term passion? Similarly, many kid-friendly advancements promote learning and fun, but are they worthwhile if you do not plan to start a family in the next 10 years?
There are two ways to determine whether a property is worth your effort. The first is an assessment by the agent & developer, or you can choose to be independent by working with your own assessment firm. To ensure that the property’s worth is consistent with market expectations they will evaluate every component.