UAE is, undoubtedly, a prime location for real estate investors with many opportunities. If you plan to buy a villa or apartment in Dubai, you may get some of the advantages from the government. These advantages will be in loans, visas, and other forms.
The government of UAE has brought some schemes for the country's development with great confidence. As a country based on tourism, COVID-19 caused lots of damage; many businesses closed, and people went to their respective countries.
That is why, after the COVID years, the UAE government decided to bring new schemes to retain outsiders and sell more properties to the people. These schemes will surely help buyers and investors save and invest their money safely. Let's see why we should buy property in Dubai. Will it be beneficial for us?
Here are the top reasons to buy property in UAE, especially in Dubai -
New Investment Opportunities
Dubai is specifically entirely occupied, and most of the real estate has already been taken by someone, but old properties in Dubai are now being redeveloped, so new investors can also invest in them. If we remove Dubai, the other six states of the UAE are still in high demand. These properties cost less than in Dubai, and properties in Abu Dhabi are less expensive compared to Dubai.
Good Tax Schemes
Mostly, taxes are a burden on people worldwide, but not here in Dubai or UAE because you need to pay 0% tax on your property. No matter how big your property is, you are not required to pay any taxes in Dubai. Custom duty and other requirements in Dubai are also less compared to many parts of the world.
High Education
If you are willing to move with your family to Dubai, it will be highly beneficial for your children to teach and let them grow in Dubai. Children in Dubai are safe. They can even travel alone at night; this is Dubai's security. Schools in Dubai hire teachers and staff from around the world; these teachers are highly qualified.
Career Opportunities
You will have many career opportunities while living in Dubai. Whatever your dream is, proper career opportunities are available in Dubai for that profession. Performing arts, scientific studies, and commercial, Dubai has opportunities for everyone.
Quality Living
Dubai offers quality for sure; without a doubt, a person can live a happy life in Dubai if they are financially stable. Hospitals in Dubai will provide proper health care, world-class education here, and many things to do off work in Dubai. The place is an adventure. You will get everything you desire; if you still need to, congratulations, you have a new business opportunity.
Here are government schemes for buying a property in Dubai -
Home Mortgage
The government of UAE is up with many home loan, mortgage, and facility schemes due to COVID-19. Different mortgage schemes exist for other people and situations in Dubai for property. One can fit themselves into the specific criteria under which schemes fall for their property.
There are government schemes for properties in Dubai for people of different cultures and parts of the world. For Muslims, there are numerous schemes, and for outsiders too, there are schemes available. To take a mortgage in Dubai, your salary should cover the monthly payment of the instalment, and only you are eligible for such schemes.
For most mortgage schemes, you must pay at least a 25% down payment of the total price of the house you have bought; this will ease your financing process. This is the home finance system of Dubai; if you fall under a special category, then you may get some extra perks, too.
Scheme For UAE Citizens
UAE adores its citizens a lot, which is why they have good schemes for their citizens. If your property costs less than 5 million AED, then the government and banks in Dubai can provide you loans for 80% of the property's total price; the remaining 20% shall be paid as the down payment first.
If your property costs more than 5 million, then the government and banks will not provide 80% of the loan; instead, they will pay only 70% of the total amount of the house. Here, you can pay the remaining 30% as a down payment or arrange that sum of money through personal finance.
People who will buy their second home in Dubai do not expect more than 65% of the loan amount from the banks because the limit is 65%, but you will get around 50-60% by most. People owning multiple properties of more than two are not eligible for government loans.
Scheme For Foreigners
We talked about citizens, but what about foreigners trying to settle in Dubai? For them, the government has excellent schemes. Through these schemes, foreigners get more advantages than citizens.
If your property costs less than 5 million AED, the government and banks in Dubai can provide you loans for 75% of the property's total price; the remaining 20% shall be paid as the down payment first. If your property costs more than 5 million, then the government and banks will not provide 80% of the loan; instead, they will pay only 65% of the total amount of the house. Here, you can pay the remaining 30% as a down payment.
People who will buy their second home in Dubai do not expect more than 60% of the loan amount from the banks because the limit is 65%, but you will get around 40-50% by most. However, foreigners with good income sources have more chances of getting a loan.
Off-Plan Schemes
Off-plan properties are the properties that are purchased by the customer even before the construction has started. These properties are mostly less expensive because a ready property has yet to be prepared. However, the government has a loan scheme for off-plan properties, but less than most properties.
You will get 50% of the total property price in these schemes, which applies to both country residents and outsiders. The remaining amount should be paid according to the developer or builder's concern.
This is applicable only if you get loan tenure at or below 25 years, and the reimbursement time for citizens before retiring is 75 years for both self-employed and working citizens. For foreigners, the age of reimbursement of the total amount is 65 years. These options are mostly not considered because loan tenure automatically decreases because 50% of the amount shall be paid as the down payment.
Ten-Year and Less Residential Visa Schemes
A year Visa is also called a golden visa in UAE. To get a golden Visa, the person should invest over 10 million AED in public sectors or businesses. Secondly, the property they buy should be 1 million AED or more; if not, there should be three properties that sum up the value of 1 million AED.
Most importantly, the investment made of 10 million AED should not be a loan from any bank of UAE or associated banks. People who are in the field of science and technology can get a golden visa. A five-year plan for a visa is applicable for making an investment in Dubai or UAE of more than 5 million AED. This invested amount shall not be taken by loan.
The property criteria are the same as a golden visa, but here, you cannot sell the property for three years, and you can allow your family and spouse with you to live here.
Retirement Visa
This Visa only applies to retired residents of Dubai. This scheme for buying property in Dubai helps foreigners and residents live peacefully in Dubai even after retirement. Such schemes are not observed in any other countries except the UAE.
The age should be more than 55 years old, and yes, you should be officially retired from a company or organization to fall under this category. You should purchase property worth over 2 million AED, have life savings of more than 1 million AED, and have an active income of 20,000 AED. This active income can be your pension, business profit, or the income of your children or spouse who is not retired.
The revised scheme law applies to certain foreigners, such as investors, professionals, and individuals with unique talents, allowing them and their families to obtain Emirati citizenship under certain conditions. With these new regulations, we aim to increase real estate demand by encouraging foreigners to live in Dubai. These schemes are special schemes.
To check eligibility, visit the official government website to learn more about the criteria. The government's new initiatives to attract foreigners include the self-financing remote work visa. It allows employees worldwide to reside here, work for a company, and invest in UAE based on the salary scale or how much business that individual does while living in UAE.
Plans and schemes are not limited to Dubai; you can enquire more about such schemes with an agent who directly works with the government; these agents can help you find the exact scheme according to your criteria. One thing common in every government scheme in the UAE for property is that you should be an investor in the country.
We can help you with the best property in Dubai. Get in touch with us now at Dubai Housing!
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