How to Buy an Apartment in Dubai

Dubai has been a major hub for property investments for a few years. Buying property in Dubai requires some simple steps. The Dubai Land Department (DLD) oversees and instructs strict adherence to real estate laws regarding apartment buying in Dubai. Purchasing a property requires crucial knowledge to avoid wasting money. A good real estate agent is the right choice to consult. This blog will discuss the practical steps for buying an apartment in Dubai. 

Law No. 7 of 2006

The law no. 7 of 2006 is enacted regarding real property registration in the Emirate of Dubai. It has laws for owning a property under the right conditions in Dubai. The law gives the right to the U.A.E. nationals and GCC (Gulf Cooperation Council) citizens to own property in Dubai. Foreigners can own property in designated freehold or leasehold areas.

Documents Required for Buying Property in Dubai 

The following documents are required:

1. A valid passport
2. Proof of residency visa
3. Sale and purchase agreement
4. NOC (No Objection Certificate)
5. Power of Attorney

Step-by-Step Guide to Buying a Property in Dubai 

The process of buying property in Dubai involves several key aspects:

Prepare the Buyer/Seller Contract

The process begins by preparing a buyer/seller contract. After finding a property, discussions are initiated with the seller. A precise contract needs to be drafted and upfront payment or mortgage options are considered. This phase does not necessitate the hiring of a real estate agent but outlining pricing, payment methods, and terms is essential to avoid future misunderstandings.

Execute the Real Estate Sale Agreement

The second step is to execute the Real Estate Sale Agreement. Acquire MOU/Form F from the Dubai Land Department (DLD). Download the form from DLD’s official website. Customize the contract to include personal terms and conditions. Signatures of both parties are to be included in front of a witness at the Registration Trustee’s Office. This process requires a 10% deposit fee.

Obtain NOC

The developer provides NOC. The developer finalizes the process of ownership. If all the dues are clear then the developer will issue the certificate. 

Transfer Ownership at the Registrar’s Office

The ownership is transferred to the buyer at the Registrar’s Office. Attend in person or send an authorized representative to prepare the necessary documents. This process requires submitting necessary documents, a payable check, original identification documents, NOC and the signed contract Form F. Verify the documents, pay the fee, and receive a payment slip. You will receive an approval email; a new title deed is issued in your name as the new owner of the bought property.

How Jaxtox Real Estate Can Help

Buying an apartment in Dubai can be confusing, but Jaxtox Real Estate makes it easy. We guide you through every step—from finding the right property to handling paperwork and registration.

With Jaxtox, you get:

• Expert advice
• Help with documents and legal steps
• Support until you get the title deed

Let us make your property buying journey smooth and stress-free.

Costs to Consider Before Buying a Property 

Down Payment: 25% of the total property for expats and 20% for nationals. 

Property Valuation: Above AED 2,500 + 5%, VAT.

Processing Fee for Bank Mortgage: 0.5% of the total loan amount and 5% VAT extra. 

DLD Registration Fee for Property: AED 4000 + 5% VAT.

DLD Fee for Mortgage Registration: 0.25% of the total loan amount + extra charges. 

Fee for Transfer: 4% of the agreed purchase price + extra charges. 

Issuing Title Deed: AED 580.

Admin Fees to the DLD: AED 4,200.

Factors to Consider Before Buying a Property

Some factors are important to consider before buying property in Dubai.

Property Type

Freehold: Freehold ownership provides ownership of the property to the buyer.

Leasehold: Leasehold provides ownership to the buyer for 99 years. 

Market Research 

The real estate market trends are continuously changing. It is extremely important to keep ourselves up-to-date with them. Understanding property and market trends gives us an idea about the current market prices. Before investing, doing research on a suitable location with all the facilities is necessary. 

Conclusion

Before buying a property in Dubai, one must consider carefully all the possibilities of the purchase of property. We need to understand the dynamics of the changing market trends and the rise and fall of prices. Hiring experienced professionals who survey our needs and advise accordingly is a sure way of securing a good apartment in Dubai. A high-value property leads to continuous profits over time. Acquiring a property is an easy task but acquiring a suitable property is another task. Apartment hunting is no joke. Dubai’s real estate market offers potential for good apartments. It offers diverse options like holiday homes, rental or permanent residency services and facilities. This is a cue to start an apartment hunt in Dubai.

FAQs

How much does an apartment cost in Dubai?

The cost of an apartment depends on several factors such as location, area, and facilities. The average cost of an apartment in Dubai is per square meters approximately AED 18,950 for off-plan apartments and AED 11,450 per square meter for luxury properties. 

How much deposit do I need to buy an apartment in Dubai?

U.A.E. nationals need a 20% deposit amount of the total property value and for expats, it’s 25%.

Can foreigners buy an apartment in Dubai?

Foreigners can buy property in Dubai and enjoy a tax-free environment. Foreigners can buy, sell and rent property as per 2002’s Freehold Law, but they have to follow any special rules and regulations mentioned in Dubai’s legislation.

Can a Pakistani buy an apartment in Dubai?

Pakistani nationals can buy property in Dubai, and anyone else as long as they abide by the local rules and regulations.

What is the minimum salary to buy a house in Dubai?

The requirement is a monthly income of AED 15,000 for expats. A buyer must pay 25% of the down payment or deposit on average to buy the property of their choice. The average interest is 4%.