As of May 2002 non-Emirati citizens were able to purchase freehold property within certain areas of Dubai. This was a major change to Dubai property law, as previously foreigners could only purchase property on a 99-year lease. This change in law sparked a property boom that has been growing right through to present day.

The decision was welcomed by the thousands of expatriate residents in Dubai and the regular overseas visitors who had fallen in love with the city. On certain properties, the main purchaser is entitled to apply for a residency visa.

A resident’s visa does not entitle the holder to work. The main purchaser may re-apply for residency every 3 years indefinitely as long as the applicant is still a property owner and has not breached any Dubai regulations. The cost of a residency application is around £1000. This may vary between developers. There will also be an administration charge to arrange.

The main purchaser may then sponsor the rest of his family. The number of bedrooms in the property will determine how many resident permits may be allowed. Properties may be purchased jointly by a husband or wife but a main purchaser must be designated and the principle purchaser only will be allowed to apply for the residency visa. Once the principle purchaser has a residency visa then he/she will be allowed to sponsor other immediate family members. They will not be allowed to sponsor friends or partners.

A resident will be required to enter Dubai at least once every six months, for his visa to remain valid. There are other conditions, please inquire for full information, PRV2 Real Estate Agents in Dubai - UAE can arrange for a Dubai company to assist with the application for a small fee.

You have two choices when purchasing a property in Dubai, you can either purchase direct from the developer or you can purchase from someone who has already bought the property from a developer (this is called a secondary purchase). When purchasing from a developer you will most likely be buying “off plan”, this means that the project is not completed. It may take up to 2 years for an “off plan” property to be completed, but there are big advantages to purchasing this way. They are:

• No transfer fees
• Much lower initial payment compared to a secondary purchase
• Your payments can be spread over the construction of the property
• There will be no premium to pay

If you choose to secondary purchase a property in Dubai you can expect the project to be either already completed or close to completion. However you will be paying more for this type of property as there is high demand for completed property in Dubai. Your costs will usually include a 2% transfer fee and a larger initial payment.

Foreign investors can now own a property on a 99-year lease, or in certain areas on a freehold basis. Owning a property freehold means that the property is placed in the buyers name for life, subject to all the payments being satisfied. The buyer will also have the right to rent, lease or sell the property to a third party. A freeholder is considered to be the absolute owner of the land and buildings comprised in the title. Consequently, the buyer has the right to occupy, use and enjoy the property forever (‘in perpetuity’) and the buyer’s heirs are entitled to inherit the title upon his / her death.

Service and maintenance charges for common areas will be about £1-£1.75 per sq ft depending on the development and are payable yearly in advance.

The Dubai Land Department will be the final registration authority for properties. The Land department charge 1.5% for registering new properties. To register a transfer of an existing property, 2% is payable to the developer.

There are now over 20 new residential communities in Dubai they are at varying stages of development. Some are completed, some are under construction and some have been announced to the public. It is possible to purchase property in any one of these developments. Depending on the construction status the price will vary. Off-Plan properties will generally be cheaper than a completed property of the same quality.

The residential districts are located throughout the city area within a radius of approximately 20 kilometers of the central business district, where the Sheikh Zayed Highway runs alongside the emerging Burj Dubai district and Dubai International Financial City.

The Dubai property development sector has risen energetically in recent years, as a Dubai home-seeker, you will discover an impressive range of options:

• You can live in a luxurious villa at in one of the tranquil developments such as The Springs or The Meadows, or you can choose to live in one of the iconic high rise towers that are sculpting the Dubai skyline.
• Choose between city living, waterfront locations, desert settings, championship golf courses, an equestrian center or even a clutch of man-made islands.
• Whether your taste favours Arabic, Spanish or New York architectural and decorative theme, you are likely to find many intriguing alternatives.

Property portfolios: Indeed, if you were unable to select between the many styles of home on offer, but are lucky enough to have sufficient funds not to have to choose, there is nothing to prevent you from owning 2 or more Dubai properties.

In Dubai you will find properties to suit all budgets and everyone’s needs can be satisfied, from a young bachelor seeking a functional studio apartment to a millionaire seeking a grand and exclusive mansion on its own hilltop.

New homes: The Dubai property market currently comprises a majority of new homes, so the local developers will be able to provide you with pricing information at the launch of each new project, 2-3 years in advance of its completion date. These type of properties are usually referred to ‘off –plan’ purchases. Here at PRV2.com we can help you make the right choice when buying off plan in Dubai.

Pre-owned homes: Naturally, as time progresses, the secondary residential property market is taking shape in Dubai. Developments are being completed every day and as with every growing city resident’s look to move around. We have a large range of pre-owned homes in Dubai that would meet your needs.

Do not forget that you will need to budget to make your new house or apartment into a real home. Fortunately, Dubai offers numerous choices in how to go about this task!

New furnishings: You can buy new ready-made or self-assembly articles, or select your own materials and designs and hire expert craftsmen realize your dreams. You can select between contemporary or traditional styles, sourced from the far and near North, South, East or West. Most of the famous, international furniture and electrical appliance brands are readily available and retailers are always happy to arrange delivery and installation at your convenience.

Used bargains: If you are operating to a tight budget, you can often pick up exceptional second hand items from private sales or adverts posted by individuals in every supermarket.

There is fundamentally no difference in buying a home in Dubai, compared with most other long-established property markets.

Whether the vendor is an individual or a development company, the buyer may choose whether to pay cash or obtain mortgage finance, to spread his payments over time; non-Emiratis are allowed to finance their home in Dubai over any period, up to 15 years. To satisfy this need, several specialist mortgage companies and local banks now offer loan packages.

If you live in Dubai, or are able to visit, you can take the opportunity to take in some of the developers’ dedicated presentation centers, where you can take as much time as you wish to view scale models of the new communities, review the property brochures and ask questions from hospitable and helpful members of staff over a soft drink.

Service charge: Owning a new property in Dubai will generally require the owner to contribute an annual service charge, which will vary, according to the level of amenities provided by the developer. Within a specific community, the scale of these charges will normally relate directly to the overall floor area of your home.

“Optional extras”: You may also choose to customize your home to suit your specific needs and enhance its value further. For example, many people have installed a private swimming pool in the garden of their villa, or made modest modifications. Permissions to conduct such modifications are generally not difficult to obtain, providing safety factors are addressed and your changes do not detrimentally affect your neighbors, their properties, or the visual amenity of the neighborhood.

Absentee owners: Should you intend to spend most of your time outside Dubai, you need not worry about the maintenance or security of your home, as there is an extensive support infrastructure already in place. There is also a substantial residential rental market, which caters for the majority of the Dubai population.

Pool services: For those owning a villa with a garden, there are many facilities management companies, providing reliable services with good value for money, which can keep your surroundings in prime condition. Many families also install their own swimming pool, which can also be regularly maintained under a straightforward service agreement.

“Concierge” services: As you would expect, the needs of overseas owners have encouraged many full-service, property management companies to establish a presence in Dubai. Some of these companies are homegrown and some are affiliates or associates of international organizations. For the ultimate peace of mind, serious consideration of this “one-stop shop” option is recommended.