Frequently Asked Questions
General Real Estate FAQs
When buying property in the UAE, consider location, developer reputation, property type (freehold or leasehold), budget, payment plans, and service charges. Additionally, check the legal requirements for foreign ownership.
Dubai and Abu Dhabi offer high rental yields (5-8%), tax-free property ownership, a growing economy, world-class infrastructure, and strong investor protection laws.
Ensure the company is registered with the Dubai Land Department (DLD) or Real Estate Regulatory Agency (RERA). Check their RERA license number and reviews on official government portals.
- Choose a property in a freehold area
- Sign a Memorandum of Understanding (MOU)
- Pay a deposit (usually 10%)
- Obtain a No Objection Certificate (NOC)
- Transfer ownership at the Dubai Land Department (DLD)
- Pay transaction fees (approx. 4% of property value)
For individuals: Passport, Emirates ID, proof of funds, and signed sales agreement. For companies: Trade license, MOA, and board resolution.
For individuals: Passport, Emirates ID, proof of funds, and signed sales agreement. For companies: Trade license, MOA, and board resolution.
- Freehold: Full ownership for life, with the right to sell, lease, or pass on to heirs.
- Leasehold: Ownership for a fixed period (10–99 years), after which it reverts to the landlord.
+
Renting & Leasing FAQs
Tenants are protected under RERA’s Rental Law, which prevents unjustified eviction, allows fair rent increases, and requires landlords to provide a 90-day notice before raising rent.
Renewing a tenancy contract requires signing a new agreement with the landlord. If rent is to be increased, the landlord must follow RERA’s Rental Index guidelines.
- Find a property and negotiate terms
- Sign the tenancy contract
- Register the contract with Ejari (Dubai) or Tawtheeq (Abu Dhabi)
- Pay security deposit and rent (usually via post-dated cheques)
- Get DEWA (Dubai Electricity and Water Authority) and other utilities connected
Ejari is a Dubai government system that officially registers rental agreements to protect tenant and landlord rights. Without it, tenants cannot get visas or utility connections.
Rent increases are regulated by RERA’s Rental Index. A landlord can raise rent only if the current rent is significantly below the market average and must provide a 90-day notice.
Property Investment FAQs
Popular investment areas include Dubai Marina, Downtown Dubai, Business Bay, Jumeirah Village Circle (JVC), and Palm Jumeirah, offering high rental yields.
Rental yields vary by location but typically range between 5-8% annually in prime areas like Dubai Marina, JVC, and Business Bay.
Yes, foreigners can buy property in designated freehold areas such as Dubai Marina, Downtown Dubai, and Palm Jumeirah.
Off-plan properties are projects under construction. They offer lower prices, flexible payment plans, and high ROI potential but come with completion risks.
Property flipping involves buying an off-plan or underpriced property, holding it for appreciation, and selling it for a profit. The DLD imposes a 4% transfer fee on resales.
Property flipping involves buying an off-plan or underpriced property, holding it for appreciation, and selling it for a profit. The DLD imposes a 4% transfer fee on resales.
Legal & Financial FAQs
Service charges cover maintenance, security, and community services. They vary based on the property type and location, usually ranging from AED 10 to AED 40 per sq. ft. annually.
Expats can get mortgages up to 80% of the property value. Banks require a minimum salary, a down payment (20-25%), and a good credit history.
- Dubai Land Department (DLD) fee: 4%
- Agency fee: 2% (or agreed percentage)
- Mortgage registration fee: 0.25% of the loan amount
The Sharia Law applies to inheritance unless a will is registered. Expats should register a will with the DIFC Wills & Probate Registry to ensure their wishes are followed.
Additional costs include service charges, mortgage processing fees, valuation fees, and DLD registration fees. Buyers should budget an extra 6-8% of the property value for these expenses.