For a long time, the legislation of United Arab Emirates did not allow foreigners to own real estate and land. The authorities sought to support locals and protect them from possible infringement of their rights. However, they realised that the demand for property in UAE among expats can be used to develop the country's economy. Changes were made to the legal framework and now everyone can buy property in Dubai. Foreigners can choose any property for sale in freehold zones.
Table of contents:
- Land plots for sale in UAE
- Most popular areas in Dubai
- Land prices
- Purchase features
- Return on investment
- Emirates.Estate helps buy land plots and housing in UAE
Land plots for sale in UAE
Real estate agencies in UAE offer many options in the UAE. Since 2016, foreigners are allowed to buy land plots in one of the most popular megacities of the country - Dubai. They can use both cash and a mortgage to buy a land plot. Local banks offer favourable mortgage terms, because of the drop in demand for real estate in UAE caused by the economic crisis and the global pandemic. To apply a mortgage loan, the borrower must meet the following requirements:
- Be at least 21 years old. The upper age limit is not legally limited, but practice suggests that people over 60 are often refused to get a mortgage.
- The mortgage term is at least five years, but not more than 25 years.
Most popular areas in Dubai
Foreigners can purchase land plots and be their rightful owners in the following communities:
These are the most popular areas to buy land plots, therefore it may be quite challenging to find the best option. You can find more offers in Al Furjan, Jumeirah Village and Dubai Sports City.
They directly depend on the location. Like apartments in Dubai, land plots in central and popular tourist areas with developed infrastructure are more expensive. The average cost of a square meter starts from AED 100 in communities such as Silicone Oasis and Sports City and can go up to AED 450 in the central neighbourhoods. The cost of land plots for commercial development is higher. The most affordable prices can be found in areas with developing infrastructure.
In Abu Dhabi, expats are allowed to acquire land plots in several areas, including Al Rem, Yas Island and Al Saadiyat. Geodetic features of these areas allow building medium-rise housing. There are 11 investment zones in the capital. In most of the capital's neighbourhoods, land plots are available to foreigners only for long-term lease.
TNot all land plots can be purchased. It is therefore necessary first to decide whether land can be owned and disposed of at will, or whether it can be leased on a long-term basis. There are currently over 60 freehold zones in Dubai where foreign investors can own land. It is important to use the services of a reliable real estate agency or a qualified lawyer. It allows you to:
- Study in detail the features of the selected housing unit;
- Be sure of the authenticity and literacy of the documents to be drawn up;
- Know that the deal is completely legal;
- Take into account the necessary taxes and charges required by local authorities in the transfer of ownership.
India and Pakistan are leading investors. UK residents rank third. The purchase can be made for independent development or resale to third parties. Before buying a property, you need to have a clear plan for its further use, since not only the price depends on it but also the size and location of the plot.
RETURN ON INVESTMENT
Buying a land plot in United Arab Emirates is a great investment. Among the investment reasons are:
- Economic stability and a high standard of living. Real estate and building plots are in constant demand in the country, which increases their liquidity.
- Affordable prices. Compared to major cities in Europe and the United States, UAE's land prices are more affordable.
- Long-term returns. The local currency has been stable against the US dollar since 1997.
- Broad investment prospects. The government is actively developing business sectors, and as a result, the number of jobs is increasing, which leads to the growth of demand for real estate.
- What are the payment options when buying land? Depending on the offer, you can pay the full amount, or you can choose an instalment plan. In this case, the first instalment is about 10% of the total amount, the second instalment is made six months later, and after some time (the term may depend on the seller) you must make the third instalment.
- What offers in UAE are worth investing? The tourist areas in Dubai are the most popular options. In addition to Palm Jumeirah, you can consider the alluvial islands.
- What guarantees does the buyer have? Land transactions are as transparent as possible and are protected by the legislation. Sales are monitored by the Department of Land Management, which eliminates any risk.
- Do I need to build a property on my own? No, it is optional. Regardless of whether you are planning to build a home or a commercial building, you can work with local construction companies.
Emirates.Estate helps buy land plots and housing in UAE
The Emirates.Estate property catalogue offers a wide selection of land plots and other types of real estate. You can find property in UAE in all the emirates. In addition to apartments and villas, the database includes land plots for commercial and construction purposes. Start choosing the best investment land plot right now to not miss out on the most interesting offers!