As it happens, many are looking for investment opportunities in Dubai, especially in the real estate sector, especially for foreigners, especially considering the availability of flexible payment plans offered by banks or real estate finance companies to the buyer. The United Arab Emirates has been rated as one of the safest countries in the world in 2020 for investment, but it is also a sector that comes with risks, and these risks can be mitigated by having a good and accurate knowledge of the required investment before starting it.

The question may differ whether the investor is a resident of the country or abroad and therefore there are some things that he needs to follow as it may be difficult for him to manage and rent out the property and for this we will tell you about some Dubai property investment tips for foreigners and some things that need to be taken into account

Tips for investing in Dubai property for foreigners

Start your search: Understand the Dubai property market

Take time to study and understand the Dubai property market before you decide to invest in it, read the business news of the project to know the current market trends and forecasts in the industry. Historical market trends can also be a good guide. Also, check out the various Dubai developers who offer good opportunities for budding investors by offering low prices and flexible payment plans.

Know your purpose: Define your purpose of investing in Dubai

Are you investing for personal reasons or to earn extra income by renting it out? Would you consider selling your personal real estate investment in the future? Consider the unlimited possibilities. Determine your goals for investing in Dubai. Evaluate your options, develop your plan, set a deadline, and monitor the progress of your investment.

Determine your budget: Research Dubai property prices

You need to research Dubai property prices, choose the property you want, and then calculate your budget minus the cost of maintenance, repairs, and other fees. Also, determine the required capitalization ratio of the property: (annual income minus expenses) compared to the purchase price of the property. If you earn a good interest rate, you will get a great return on investment

Know the location of the property you will be investing in:

Location is a major factor in determining the profitability of the property, which helps in increasing the return on investment, in addition to the services and entertainment facilities located nearby or associated with the property, including educational institutions, parks, commercial centers, medical centers, and others.

It stands out in Dubai because it is close to offices, tourist attractions and business centers including Dubai Marina which includes freehold property in the country which is a great opportunity when considering buying property in Dubai for foreigners.

Real Estate Agent

One of the most important things is also to work with the right Dubai real estate agent who will help you with advice and inform you about the market trends and the list of the best areas for property investment in Dubai and the real estate agent will save you a lot of time in the process of searching for the right property.

Down payment when buying property in Dubai

To buy a property in Dubai, you will need to pay some expenses in advance and this is not limited to making a down payment when buying a property in Dubai. For example, the Dubai Land Department also charges a number of administrative fees, perhaps the most important of which is the transfer fee, which is 4 percent of the property value, in addition to other administrative fees of AED 580. You should keep in mind that you will have to pay these fees within a short period of time, otherwise the cost will double, and you may also pay an additional fine of up to AED 10,000.

More information on buying and renting property in Dubai

Whether you are buying or renting a house in Dubai, you will have to pay an annual maintenance fee. For example, the maintenance fee for a three-bedroom house in Dubai is between AED 70,000 and AED 100,000 per year.
There are also some additional costs such as paying annual fees which vary depending on the size of the house, for example, a tenant will pay annual fees in exchange for documenting the lease agreement

Long Term Residence in Dubai

A person determines their options before taking the step to buy, especially if they intend to live in Dubai for a long time, owning a house may be the right decision.

Gulf News advises expats who plan to live in the UAE for more than 15 years to take advantage of the benefits of buying a property. In the long run, the Emirates will achieve significant savings on housing costs.

Getting a Permanent Residence Permit in Dubai:

Permanent residence in Dubai makes the option of owning a more financially viable option. The benefit is not limited to reducing monthly expenses compared to the rent paid, but there are also social and economic benefits such as a sense of stability and the dignity of social responsibility towards the new environment in which you are going to live. If you are planning to rent or buy a property in Dubai, carefully consider all the options available. It is best to consult with a specialist in the field to discuss the best options available based on your personal circumstances. As a real estate company, we provide free real estate consultancy services in Dubai.

However, despite the uncertainty surrounding the investment decision in this area, the Dubai real estate market remains strong due to a number of factors that make the investment climate in the emirate attractive and strong in the long term.