Expat investment opportunities in Dubai
Nowadays, more than ever, it’s crucial to align your business goals with yours. This means taking stock of where you are now and where you want to go in the future!
One of the most recognizable cities in the world, Dubai has been a popular place for foreign nationals to live and use as an investment destination in recent years. Suppose you’re an expat living outside of Dubai looking for lucrative opportunities for your investments. In that case, it cannot be easy to identify which sectors or industries provide the best returns.
In this blog article, we will talk about the best investment options for ex-pats in UAE, i.e. real estate and how you can capitalize on it.
Is it easy to buy property in Dubai?
The Emirates were well-known for their strict purchase and sale rules and regulations, making the process a bit daunting for first-time ex-pats. But recent relaxations have made the process reasonably easy. Allowing property investment in the UAE by ex-pats can be made in the freehold areas of Dubai.
Buying Property in Dubai as an Expat
Property buying in Dubai feels like a never-ending journey. New developments, offers, and attractions always keep you entertained. These offerings, paired with the excellent infrastructural development of the region, have allowed foreign property investment to flourish in the freehold areas of Dubai.
Property developers in UAE offer all kinds of residences, luxury properties and apartments. There is no age limit to property ownership in residential projects in Dubai. An owner can take up a Freehold or a Leasehold property. The difference between the two being that the freehold property is granted for a lifetime, whereas a leasehold property comes with a lease of 99 years.
The best part about investing in Dubai’s real estate market is the availability of options for all budgets and preferences. Plus, the property can be used for any purpose, given you own the property in perpetuity.
Suppose you are looking to buy a real estate property in Dubai as an ex-pat. In that case, you should start identifying your motive and investment projects.
Identify your motive for buying property in Dubai.
There are many reasons ex-pats might choose to invest in property in Dubai. Some people may be looking for long-term financial stability. In contrast, others may be attracted by the city’s wealth of opportunities and welcoming culture. Whatever the reason, various investment opportunities are available to those with the proper knowledge and resources.
The biggest reason why people invest in Dubai is to take advantage of the high market capitalization and high rental yield that the city provides to the investors.
Purchasing property in Dubai for Investment Purpose
When it comes to purchasing property in Dubai for investment purposes, there are many reasons ex-pats would want to consider doing so. Firstly, the city is one of the most rapidly-growing and affluent metropolitan areas, with projected growth rates of over seven per cent annually for the next few years. As an international financial centre and transportation hub, Dubai has many opportunities for investors — from real estate to investments in various sectors such as tourism and shipping.
And if you’re looking for a bit more flaunted luxury? Then Dubai has something special for you too. In fact, according to Knight Frank’s most recent report on global luxury real estate trends, over 60 per cent of all residential property sales in Dubai were classified as “ultra high end.” This means that you cannot only purchase some of the most abundant properties available in the city — but you can do so at a fraction of the cost compared to purchasing similar properties elsewhere on the globe.
Due to its open immigration policies and international business environment, Dubai is welcoming for investors and entrepreneurs worldwide. The most significant benefits of investing in Dubai real estate are high capital appreciation and rental yield.
How can an expat invest in properties in Dubai?
There are many ways in which an expat can invest in Dubai properties. One option is to buy a property outright. Another is to purchase a property through a Dubai investment company. There are also options available for renting out properties.
Factors to consider before buying property in Dubai for Foreigners
There are many benefits to owning property in Dubai, and foreigners are no exception. First, real estate in Dubai is expensive, but it’s still much cheaper than living in other parts of the world. Secondly, Dubai has one of the world’s most vibrant economies, meaning property prices will continue to rise. Thirdly, Dubai is a safe city with low crime rates, making it a great place to live and raise a family. And finally, many expatriates feel at home in Dubai because of its tolerant and welcoming attitude towards foreign cultures.
If you’re thinking of buying property in Dubai for yourself or your family, consider these factors: location, size, type of property, and price. The property type is essential because you want to select an area that matches your needs and preferences. The area is key because you want to choose a convenient and safe neighbourhood. Size is important because you want enough space for your family and belongings (a 3 bedroom apartment in Dubai can suffice for a large family). And finally, price is important because you don’t want to overpay for an unwanted property.
Use these tips as a starting point when looking for properties in Dubai!
Expenses Associated with Purchasing a Real Estate in Dubai
Here are some expenses to keep in mind before purchasing real estate in Dubai:
1. NOC fees: In the range of AED 500- AED 5000. It is paid directly to the real estate developer or real estate.
2. DLD Registration: 4% of the total acquisition price of the property.
These are the only two initial expenses you must bear when investing in Dubai. However, depending on your investment, a real estate agent’s commission can also be charged.
Conclusion
If you’re looking for an international investment opportunity, look no further than Dubai. The city is home to a burgeoning population and high levels of tech development — making it ripe for business growth. With a wealth of real estate options and international prestige that a few other cities can only rival, Dubai shines as one of the most promising expat destinations today to own.
