What You Need to Know Before Buying Property in Dubai

Purchasing real estate in the UAE is possible both for your own use and as an investment. In any case, such a purchase becomes a serious step. There are many features in the United Arab Emirates that you need to be well versed in. Even if the purchase is for the purpose of investing money, you need to know the specifics of local life. This will allow you to choose the right object so that the invested funds bring maximum income.

Property types

Real estate in Dubai is divided into the following types:

• Residential – apartments, cottages, apartments;
• Commercial – offices and business centers;
• Retail – shopping areas;
• Land Plots – plots for development.

When purchasing Land Plots, be aware that construction must comply with local codes. Strict requirements ensure high quality of construction projects. It is worth noting that only a certain part of the site can be built up.

Documents for purchasing real estate

Purchasing real estate involves preparing a certain package of documents. In the UAE, the buyer's passport will be required to complete the transaction. For citizens of the Russian Federation, a foreign passport is required. If a trustee is representing the interests of the buyer, it is necessary to use a power of attorney certified by a notary.

Taxes

Purchasing real estate in the United Arab Emirates is attractive due to the absence of property and income taxes. You will not have to pay taxes both during personal use of real estate in Dubai and when generating income with its help. This feature of local taxation attracts investors from all over the world.

Real estate registration

The Land Department is responsible for registration. You will have to register in the registry in the following situations:

• confirmation of ownership;
• concluding a long-term lease agreement;
• leaving property as collateral.
• The registration price is formed from the following components:
• 4% of the cost;
• fixed payment for the work of a special center;
• payment for obtaining a certificate (determined by the type of property being purchased).

Maintenance costs

Purchasing real estate imposes certain obligations on the owner. He is responsible for maintaining the property in good condition and his responsibilities include paying maintenance costs.

The amount of payment is set by the management company. It includes costs for building security, cleaning, garbage collection and removal, and maintaining the condition and functionality of the infrastructure. The infrastructure usually includes parking lots, swimming pools, gyms, private beaches, and recreational areas. Payments start from $20 per square meter per year, payment is made in advance.

The property owner must pay utility bills. The cost of a liter of water is $0.008, 1 kW/h of electricity is $0.06.

Visa regime

Life in the United Arab Emirates is characterized by an excellent level of safety. One of the ways to ensure this is through strict selection criteria for obtaining resident visas that provide the possibility of permanent residence. Owners of real estate whose price is estimated at 274 thousand US dollars or more (depending on the local currency exchange rate) are eligible for a visa. If the value of your property in the UAE is less, then it may not be possible to obtain a visa based on title.

There are also the following ways to obtain a visa:

• registering your company;
• employment;
• admission to an educational institution;
• petition of a close relative who has resident status.