In Dubai, average prices per square meter are not applicable to real estate properties. There are two categories of real estate properties: investment properties and self-use apartments. Investing properties are the most common type of real estate property purchased by buyers. The cost of Dubai apartments is different in different areas.
These properties are usually located in popular neighborhoods with good infrastructure. They are also equipped with everything needed for a comfortable stay. However, in this blog, we are going to share the different types of fees involved in buying an apartment in Dubai. In addition, we will also discuss the different types of apartment costs in different areas of Dubai. Let us get started:
Different Types of Property Fees in Dubai
1. Conveyance Fees
The number of conveyance fees for buying an apartment in Dubai can vary. They are typically around seven percent of the purchase price. However, the number of fees may be lower or higher depending on the bank you select. Some banks offer loans that cover the DLD fee. You can also ask your mortgage adviser for information on all the costs involved with purchasing an apartment in Dubai.
The fees for a conveyance include the number of fees you must pay to the government. If you are buying an apartment in Dubai off-plan, the fees are usually waived. However, if you are buying a property that is off-plan, the fees may be higher.
2. Real Estate Agent Fees
Real estate agents charge around two percent of the price of a property plus VAT, which can add up to a significant sum. However, using a real estate agent will ensure that you get the best advice and avoid any costly mistakes. They also help ensure that the transaction is legal and saves you time. In addition, a licensed conveyancer will handle the paperwork and ensure that all contracts are in order. These services typically cost AED 6,000 to AED 10,000.
Dubai real estate agent fees are among the lowest in the world. In other countries, broker fees start at five to six percent. This number can rise to seven percent in some markets. In the UAE, however, brokers are allowed to charge up to two percent of the total price. Developers also generally offer higher fees than two percent for brokers.
3. Mortgage Registration Fees
A mortgage registration fee is one of the costs to buy an apartment in Dubai. This fee is typically around 0.25% of the total cost of the apartment. The DLD will then register the mortgage on the property. This fee is not applicable if the buyer is paying cash for the property.
The fee is collected from the buyer within 60 days of the transaction. The amount depends on the property value. In theory, the buyer and seller share this cost equally, but in practice, the fees are paid by the buyer.
4. Land Department Fees
Buying an apartment in Dubai carries certain legal obligations, so it is important to know the fees that are associated with Land Department services. In order to facilitate the buying and selling process, the Land Department has created a standardized system of fees. The fees will apply to all types of real estate transactions.
The fees that must be paid for buying apartments in Dubai are lower than the fees in most other jurisdictions. However, all property transaction applications must be done in person, and this can mean long queues at the central office. However, the Land Department has been able to improve this process by introducing Registration Trustees, a process whereby companies facilitate the registration of property transactions.
Cost of Apartments in Dubai’s Areas
5. Dubai Marina
One of Dubai’s most sought-after neighborhoods in Dubai Marina. This magnificent neighborhood offers its residents urban waterfront living, a variety of entertainment and dining options, and luxury skyscrapers. Dubai Marina is the most sought-after location for purchasing opulent apartments and attracts the most user searches. The Downtown Dubai apartments price starts from AED 500000. And the maximum cost of apartment is AED 5 Million.
6. Downtown Dubai
Downtown Dubai, as its name suggests, is the center of Dubai and is rapidly developing all the time. The region is a hub of activities and is home to numerous landmarks and well-known attractions, such as the Burj Khalifa, the Dubai Mall, and the Dancing Fountains. The highly desirable location helps to keep Downtown busy all year long. There are always some exciting innovations to do in Downtown Dubai, which draws tourists constantly. The region is best known for providing an opulent way of life. It was formerly a vertical community, but the number of apartments for sale has increased as well. The cost of Downtown Dubai apartments starts from AED 1 million. And the maximum price of apartment is AED 20 Million.
7. Emaar Beachfront
On Dubai Harbour, there is a private, gated island community called EMAAR Beachfront. The building is situated between JBR and Palm Jumeirah, close to Dubai Marina. The project is strategically situated close to the best malls, eateries, and yacht clubs in the city. It also provides access to Sheikh Zayed Road, making it simple to travel to other parts of the city. The cost of Emaar Beachfront apartments starts from AED 1 million. In addition, the maximum price of the apartment is AED 7.5 Million.
8. Palm Jumeirah
The world’s largest artificial island is called Palm Jumeirah. It is constructed in the shape of a palm tree, a common plant in the Middle East, and is situated on the Arabian Sea coast. The island’s distinctive shape is created by the combination of the Trunk, the Crescent, and 16 Fronds. An exceptional selection of opulent villas, townhouses, apartments, and hotels can be found in this area. Living on the Palm Jumeirah is an experience in and of itself, boasting first-rate amenities and beautiful views.
A variety of fine dining establishments, stylish cafes, and adventurous entertainment venues that cater to both the weak of the heart and the adrenaline junkies. So, the cost of Palm Jumeirah apartment start from AED 1.5 million. And the maximum price of apartment is AED 20 Million.
9. Dubai Creek Harbour
The history and heritage of the city are greatly influenced by Dubai Creek. The Creek served as Dubai’s focal point and primary commercial hub from the middle of the 19th century until the late 1960s. Dubai was a fishing and maritime trading village. The city’s center has moved westward to places like DIFC, Downtown Dubai, and Business Bay because of significant change in the intervening decades.
By expanding the Creek through the Business Bay region with the opening of the Dubai Water Canal in 2016, this change was further cemented. The most historic waterway in Dubai, however, has not vanished into obscurity. A significant development for the city’s future is currently taking place there. So, the cost of Dubai Creek apartment start from AED 1.5 million. And the maximum is AED 5 million. However, Prices may vary with rooms and floor.