Dubai is looming as an international destination for overseas investors. Modern infrastructure, political stability, a cosmopolitan environment, consistently strong economic outlook and a major tourist destination are amidst many contributing factors that entice investors. As per the recent report from the Dubai Land Department, foreign buyers from 123 nationalities invested estimated Dh12 billion of dirhams into the emirate’s real estate market which take account of investors from India, Pakistan, United Kingdom, Iran and Russia who poured millions, considering Dubai as the bankable real estate market. Despite a decline in oil prices, the country’s economy is on a stable upward course and is expected to grow by 4.5 per cent this year. Dubai hosting the World Expo 2020 will also benefit the country economic as it is expected to spread over the period of time.

The city seems like a profitable and gifted place for foreign investors indeed, prices in Dubai’s prime properties seem quite a reasonable as compared to the international market as London is six times pricey and Hong Kong is even pricier. Dubai is the world’s only real estate market where more than 140 nationalities invest. Investment in real estate brings enormous revenue in Dubai and as per the Dubai Land Department, Indian invested more than Dh10.5 billion whereas Britons buy into Dh5.8 billion, during the first half of last year.

Buying a Property in Dubai

Non-Resident real estate investors with enduring plans find it pragmatic to buy property in Dubai. On average owners here get a net rental revenue of about 7- 8 per cent of the property value, additionally they can also enjoy high yield in terms of capital appreciation on the resale price. Besides, here investors are free of all the capital gain taxes, and the government permits complete ownership on freehold properties.

Mortgage in Dubai

For the Non-Resident investor, currently banks are financing 50 -70 per cent of the property value at 4.5-5.25 per cent profit rates for a year with the simple documentation. If you buy a property for below Dh5 million, then minimum 30 per cent deposit should be done, while 35 per cent for property beyond Dh5 million. Any if buying second properties the minimum deposit is 40 per cent. Banks are more comfortable on pre-approval fees and even reduce the entry barrier. After the pre-approval is done and the property is selected, you can get the mortgage loan by submitting the original documents and memorandum of understanding.

Due to the increased appetite for the Dubai property, the country is now enjoying a prominent place on the world map. Therefore, if you are planning to have unique experience with cherished and lasting memories then take the advantage of various non-resident plans that allow you to purchase a residential property here either for investment or as a second home.

Furthermore, if you are looking to cash save through your mortgage, then seek a mortgage advice from us before investing and we will guide you the best.

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