Why buy property in Dubai?

If the world's most booming city with its robust economy, incredible infrastructure, year-round warm weather and uncompromising security hasn't convinced you to move to Dubai yet, here are a few more reasons to invest in the United Arab Emirates.

Dubai property rental prices are regulated at the government level. There is an institution that monitors this. In Dubai, it is not possible for one seller to list a home in the same area for 1,000 euros per square metre and another for 500 euros per m2. This same institution also regulates rental prices. They are set as a percentage of the value of the dwelling. The calculation represents between 8% and 10% of the value of the property as a rental price on an annual basis. This means that if you buy to let, your return on investment (ROI) is guaranteed to be 10% per year and you recoup the money invested in just a few years. This in the Bulgarian market is an absolute mirage.

To own a home in Dubai, you don't need a bank account in the country, a visa, your own company or a work contract. All that matters is that you have capital to invest in cash, a bank account or cryptocurrency.

Security in green purchases is also very different. Every building under construction has a state escrow account (ESDC account) set up. Until the building is fully completed, buyers remit payments against the payment scheme into this account. The builder himself is not allowed to dispose of this money until the building is completed and if something happens and construction stops, the money is returned to the buyers. In addition, the prices are regulated so that guaranteed after the completion of construction, the price of your greenfield purchases goes up by 20%. This is also why greenfield sales in Dubai are so attractive globally because of the guaranteed high profit margin.

And if all that hasn't convinced you, let us tell you about the UAE's tax breaks compared to the rest of the world. The only tax that is paid for owning a home is a one-time tax of 4% on the purchase itself to get the property listed. There is no "building tax", "garbage tax" or rental profit tax in Dubai.

And one more reason to prefer a property in the UAE over many other countries. Unlike Bulgarian properties, for example, you do not pay for common areas in addition to the area of the property. In Dubai, there is no building without a gym, cleaning and landscaping, but these common areas are not distributed as property among the apartment owners to cheapen the price. In Bulgaria, investors rarely take responsibility for building maintenance, but here it is mandatory.

Furthermore, in Dubai, a parking space is always included in the price of the property, and the number of parking spaces is determined by the number of bedrooms.

And something else extremely impressive compared to our property market- the finishing works are also included in the price at which you buy. That is, the famous issue of the properties in our country- on plaster and putty, does not exist here. All apartments are handed over to their future owners with flooring, painted walls, kitchen installed, bathrooms finished, interior doors and light fittings and state of the art cooling and heating systems. All that's left for you to do is furnish.

The whole policy of the state is aimed at attracting investors and people to invest their money in the Emirates. Such an incentive is also obtaining a different type of visa to stay in the country according to the amount invested.

The myth that you don't acquire life estate is absolutely false. Yes- there are parts of Dubai where land ownership is not allowed, but they are very few. In the most attractive areas, any foreigner can acquire a home absolutely free and clear forever- they are called "freehold areas" or freehold areas. Such are, for example, the famous Downtown, Burj Khalifa, Emirates Hills. The most preferred ones for 2023 in terms of registered transactions are Dubai Marina, Palm Jumeirah, Sobha Hartland, Business Bay and Dubai Creek Harbour.

And yes- as safe and regulated as everything is in the UAE consulting a broker will bring you the biggest possible return on your investment and save you a lot of time and nerves. Brokers in the United Arab Emirates are licensed consultants who are fully dedicated to finding, vetting and negotiating your property. They prepare all the necessary documentation. You are required to attend the transaction and make payment 3 days before the transaction to a trusted account or the seller's account.

If we've piqued your interest, feel free to contact us for more information. The consultation is completely free of charge. We work with trusted partners in the Dubai real estate market.