With an ever-growing population and thousands of foreign workers relocating to Dubai annually to expand their careers in a safe, cosmopolitan, and global trading hub, it is hard to miss why Dubai is a haven for real estate investment.
After the long-awaited foreign property ownership decree, which permitted non-citizens to purchase property in Dubai, was issued in 2002, the city experienced a tremendous development boom that attracted foreign investors to the city's real estate market.
Today, Dubai provides a variety of home investment choices, including both short-term investments and apartments that are ready to move into.
Extensive Regulation of Industry
Extensive Regulation of Industry
A system of laws and rules governing real estate is in place in Dubai to protect the interests of real estate investors.
The Land Department of Dubai
The registration of land sales and purchases, as well as the authorization, coordination, and documentation of transactions involving registered land and real estate in Dubai, are all handled by the Dubai Land Department (DLD).
Today, the DLD provides customers in the real estate sector with more than 26 main services and 216 sub-services, including land and title registration, the registration and licensing of real estate professionals, and the development of a regulatory framework to draw in and manage investments in the real estate sector while promoting awareness of and knowledge of relevant laws.
To help investors stay up to date on current real estate prices in Dubai, the DLD also gathers and posts information regarding real estate purchase and sale transactions on a weekly and monthly basis on its website.
Real Estate Registration Agency (RERA) – Regulatory Arm
The Real Estate Regulatory Agency (commonly referred to as "RERA") was established in 2007 with the goal of creating an environment that is conducive to investment and protects the interests of all market participants. RERA is responsible for putting in place legal frameworks and mechanisms and regulating the operations of real estate development and brokerage firms as well as owners associations.
To safeguard the larger interests of the market and investors, RERA keeps an eye on all development initiatives from a financial and technical perspective. In addition to enforcing fines for infractions, including the termination of stalled projects, RERA actively monitors the compliance of developers, brokers, and other licensed real estate professionals with pertinent laws and regulations.
According to investment-friendly visa schemes available to people who choose to invest in a residential property worth AED 1 million or more with a maximum of 50% of the property value under mortgage, investors in residential properties in Dubai receive a shortcut for legal residency in the city.
Investors with a minimum share value of AED 1 million in a jointly owned property may submit an application.
The investment can only be made in a single residential home; commercial properties are not permitted. Additionally, only freehold residential properties are eligible for the visa. This visa cannot be applied for with an off-plan home.
The investor may maintain the visa for a period of time ranging from three to five years
The three-year visa is available to individuals who have purchased a property of AED 1 million or more. In contrast, the five-year visa requires ownership of property worth at least AED 5 million.