Comparison of investment in real estate with investment programs to obtain a residence permit in the UAE

The UAE as an investment platform

There are favorable economic conditions, advanced infrastructure, many real estate properties under construction, fully-constructed property, developed tourism and a generally high standard of living in the United Arab Emirates. All these factors promote the status of the country as a promising investment platform with loyal conditions for business people from all over the world.

Analysts predict an increase in the potential profit in 2021 from sales and rentals. Abu Dhabi and Dubai are the most promising cities for foreign investors as they are ahead of other regions in terms of technological development and living conditions.

Abu Dhabi and Dubai are very popular with tourists. Due to this, the demand for housing always remains high in these cities. Therefore, the high profitability of real estate is present. There are always buyers and tenants who want to realize their dreams of a better life. Moreover, you will always have the opportunity to resell the property.

Advantages of investing in real estate in the UAE:

• Consistently high demand for commercial and residential real estate;
• High profitability and fast payback;
• Mitigated conditions for investors and businessmen from the state;
• Freehold zones where the buyer is the rightful owner of the purchased property without paying additional taxes and duties;
• A large range of options in the real estate market at attractive prices.

The real estate sector is one of the most profitable economic areas in the United Arab Emirates. The average cost of 1 m2 of housing is 6,000 dollars. If you are the owner of an apartment of 100 m2, worth 700,000 dollars (2,500,000 dirhams) in Dubai’s prestigious center, provided that you rent it out for 3,000 dollars, your potential income will be 5% per annum.

Investment programs to obtain a residence permit in the UAE

The population of the United Arab Emirates consists of more than 85% of foreigners who have moved there from other countries. Every year, the percentage is increasing which means that the issue of obtaining a residence permit in the UAE is more than relevant.

In the UAE, there is a special initiative that allows foreign citizens to live and work in the country under an investment program. Let's have a look at this topic in more detail.

«Golden Visa Program»

A foreigner who wants to obtain a residence permit in the UAE can get it:

• by birth;
• by naturalization after living in the country for 30 years;
• through marriage provided that you have lived together with your spouse in the Emirates for 5 years;
• for special services issued in exceptional cases directly by the UAE government;
• through investment by obtaining a long-term visa.

Let’s learn more about the last point.

«The Golden Visa program» was launched in the country in 2019 to attract new minds and investments. With this, a foreigner can safely live and work in the UAE for 5 or 10 years.

The minimum amount of investment in real estate to obtain a resident visa for 5 years is $ 1,350,000. To obtain a resident visa for 10 years, you need to invest $ 2,720,000 in real estate.

• Investment programs offer 100% profitable return on investment;
• The program applies to all family members;
• It allows you to live in any city of the UAE;
• It has no restrictions on living, working, or doing business.

Investment or residence permit

For those who want to do business, the UAE offers many opportunities with investing in real estate being one of the ways to ensure a stable income. At the same time, you do not have to be in the country itself; you can buy real estate in the UAE for your business online. It is important to analyze the market well and find a decent intermediary which will allow you to manage the real estate property and make a profit from renting or reselling.

Investment programs are suitable for those who have seriously decided to move to the country for prosperity. If you are an entrepreneur who likes the country and you would like to increase your business here, getting a golden visa will be a convenient solution for you.