Buying Property in Dubai

Winemaking or vinification is the production of wine, starting with the selection of the fruit, its fermentation into alcohol, and the bottling of the finished liquid.

1What are the requirements to buy a property in Dubai?

As of Janurary 2024, buying property in Dubai is a pretty simple process, much like purchasing real estate in most Western parts of the world.

There are no age restrictions whatsoever, and if you’re a resident (considered someone who lives in the UEA), you can simply make an offer and acquire ownership by successfully navigating the sales process.

If you’re a foreigner (someone who doesn’t live in the UEA), you’re able to acquire freehold ownership without restrictions either, whether that’s a freehold property contract, off plan properties (construction yet to be completed), usufruct rights, or a leasehold up to 99 years.

No visa is required.

That said, you may only purchase a new title deed for freehold properties if they’re within the designated land plots, as outlined in pages 129 – 132 of the Emirate of Dubai (a document known as Article 3 of Regulation No. 3 of 2006 Determining Areas of Ownership by Non-Nationals of Real Property – but you won’t need to memorize that).

  • Umm Hurair 2
  • Al Barsha South 2
  • Al Barsha South 3
  • Emirates Hills 1
  • Emirates Hills 2
  • Emirates Hills 3
  • Jebel Ali
  • Palm Jebel Ali
  • Warsan 1
  • Al Jaddaf
  • The World Islands
  • Ras al Khor
  • Al Rowyah
  • Sheikh Zayed Road
  • Sofouh 1
  • Sofouh 2
  • Palm Jumeirah
  • Al-Qouz 3
  • Al-Qouz Industrial Area 2
  • Al-Qouz Industrial Area 3
  • Mirdif
  • Dubai Marina
  • Nad al-Sheba

2How much tax do I pay when buying a property in Dubai?

By far, one of the greatest benefits of buying property in Dubai is the fact that you don’t need to pay tax on it in the traditional sense.

Quite simply, there’s no income tax or inheritance tax payable on property in Dubai, although foreign investors may be subject to income tax from their country of residence if they don’t actually live in Dubai.

However, and here’s the important bit: there is a 4% transfer fee payable to the Dubai Land Department when a property is transferred to them. In addition to this, a ‘housing fee’ is payable monthly, equivalent to 5% of the average rental value of the area.

But this still means big profits for any investors looking to snatch up available property opportunities in the area.

For comparison, here’s what you’ll pay in taxes in various other countries based on a $700,000 property (figures depend on the state, region of the property and property value):

  • UK: £18,700, including up to 12% stamp duty and up to 28% capital gains tax as an investor (depending on income and whether you’re a first-time buyer), as well as legal fees, inspection fees, and survey costs (average £5,000).
  • USA: $31,500, including up to 2% of property value in transfer fees, plus title insurance, attorney fees, and appraisal fees, with an average of up to 5%.
  • Australia: $29,000, including stamp duty typically up to 5.5% of the property value, as well as legal, application, and inspection fees
  • Japan: $35,000, including tax up to 3% of property assessed value, plus 2% license tax, as well as estate agent fees and city planning tax, up to 3%.
  • Dubai: $28,000 – and then that’s all you need to pay.

As you can see, as a result of the low taxation, buying property in Dubai is a very attractive option for foreign investors. Combined with the good rental returns, there’s a potential to make a great income from Dubai property ownership.

3How to find a property in Dubai?

Several websites are great for finding investment properties in Dubai, including but not limited to;

You can also contact Dubai real estate agents directly in order for them to connect with appropriate investment properties.

Here at JellyFish, we’ll work alongside you to find the best Dubai properties in suitable areas, while also considering your investment finances, guiding you through the property buying process, assessing the rental yield of the area and property, and other crucial figures, like rental demand in that area – all to make sure you get the best return on investment possible.

4Where to buy property in Dubai?

When buying property in Dubai, new investors are often spoiled for choice, given the sheer variety of world-class developments on offer.

But where is best for you?

Well, that depends on several factors, including budget, lifestyle appeal, and income potential, but to help create an overview, here are some of the best spots in Dubai that deserve your attention.

Palm Jumeirah

The Palm Jumeirah, built between 2001 and 2006, is a series of man-made islands in the Persian Gulf. With a mixture of commercial and residential units, the area is popular amongst investors and tourists. The average sale price of an apartment on the Palm Jumeirah is 3.4 million AED, or approximately $926,000 USD or £789,000, making it the most expensive region in Dubai. The average sale price of a garden home is 18.5 million AED, which is $5 million USD or £4.3 million.

The average gross rental yield for an apartment is 5.33% for apartments and 3.39% for garden homes. The touristic nature of the Palm Jumeirah makes it a fantastic place to invest in short-term rental opportunities.

The stats

Apartment

  • Average Asking Sales Price: 3,264,000 AED ($888,671)
  • Average Transaction Sales Price: 2,687,509 AED ($731,713)
  • Average Rental Price: 175,000 AED ($47,646)
  • Average Gross Yield: 5.40%
Villa/Townhouse (4 Bedrooms)

 

  • Average Asking Sales Price: 30,000,000 AED ($8,167,932)
  • Average Transaction Sales Price: n/a
  • Average Rental Price: 1,200,000 AED ($326,717)
  • Average Gross Yield: 4%

That said, due to the touristic nature of the Palm Jumeirah, it’s a fantastic place to invest in short-term rental opportunities.

CityWalk Dubai

CityWalk Dubai, developed by Meraas and currently managed by Merex, is a vibrant, urban lifestyle destination in the heart of Dubai.

Established as a bustling neighbourhood and shopping centre, it seamlessly combines innovative retail and upscale gourmet outlets with residential units, making it a unique fusion of luxury and comfort.

With its aesthetic blend of modern architecture and outdoor lifestyle options, CityWalk has quickly become a preferred destination for both tourists and investors. Its prime location and diverse mix of amenities contribute to its status as a high-demand area for property investment.

The Stats

Apartment
  • Average Asking Sales Price: 2,150,000 AED ($585,368)
  • Average Transaction Sales Price: 2,430,000 AED ($661,602)
  • Average Rental Price: 190,000 AED ($51,730)
  • Average Gross Yield: 8.80%

Villa/Townhouse (4 Bedrooms)
  • Average Asking Sales Price: 19,527,000 AED ($5,316,506)
  • Average Transaction Sales Price: n/a
  • Average Rental Price: n/a
  • Average Gross Yield: n/a

5Filtration

Filtration in winemaking is used to accomplish two objectives, clarification and microbial stabilization. In clarification, large particles that affect the visual appearance of the wine are removed. In microbial stabilization, organisms that affect the stability of the wine are removed therefore reducing the likelihood of re-fermentation or spoilage.

sixth stageBottling

A final dose of sulfite is added to help preserve the wine and prevent unwanted fermentation in the bottle. The wine bottles then are traditionally sealed with a cork, although alternative wine closures such as synthetic corks and screwcaps, which are less subject to cork taint, are becoming increasingly popular. The final step is adding a capsule  to the top of the bottle which is then heated for a tight seal.