How Does Dubai Real Estate Work? A Guide for International Investors

Dubai’s real estate market is filled with lucrative opportunities for global investors. Renowned for its iconic skyscrapers, luxury developments, and cutting-edge architecture, Dubai has become a top destination for real estate investment. The city’s rapid population growth, paired with its status as a leading tourist hotspot, has resulted in high property demand and limited supply. Watch the video get more details.

According to the Dubai Statistics Center, Dubai’s population surpassed 3.5 million in 2023, and Dubai Tourism reported 16.73 million international visitors in 2022. With the population expected to double over the next 15 years. The real estate demand is expected to intensify, turning it into a highly competitive market for investors.

The Dubai Real Estate Market

The Dubai Land Department (DLD) and the Real Estate Regulatory Agency (RERA) regulate Dubai’s real estate market. These organizations ensure transparency, security, and legal protection for buyers and investors. The market offers various types of properties, including ready-to-move-in units, resale properties, and off-plan properties.

What is Off-Plan Property?

Properties that are sold before their construction is completed are referred to as off-plan. Purchasing off-plan can be highly beneficial due to lower prices, flexible payment plans, and the potential for significant capital appreciation. However, it also comes with risks, such as delays in construction and the final product not meeting expectations.

Steps to Purchasing an Off-Plan Property

Purchasing off-plan property in Dubai involves several steps, and having a knowledgeable specialist can make all the difference. Here’s my exact guide:

• Step 1: Register With A Certified International Property Specialist/Realtor® (that’s me :))
  Find a Certified International Property Specialist/Realtor® with expertise in helping foreigners purchase real estate in Dubai. Your Certified International Property Specialist/Realtor® will be able to help you find your property based on your preferences, goals, and budget. As an International Real Estate Specialist, your real estate agent should also be able to connect you with experts as needed. Such as tax attorneys, mortgage brokers, and property managers.
• Step 2: Figure Out Your Budget
  Work with your Certified International Real Estate Specialist/Realtor® to understand how the payment plans work; what fees may be involved; and how/when you can secure financing. So you can strategize on the price ranges that work for your budget.
• Step 3: Find The Right Properties
  As an International Real Estate Specialist/Realtor®, your real estate agent should have the most up-to-date information regarding upcoming project launches. In order to help you secure your properties before they sell out. Once you are presented with the options, you can view the models at the sales centers with your agent, or virtually through Zoom.
• Step 4: Reserving The Off-Plan Property
  Once you have selected the off-plan project(s) that you desire, you should reserve your desired unit with a 2-10% deposit online (credit card, crypto, cash, or wire transfer) and a copy of your passport.
• Step 5: Booking Your Unit
  On the day of launch, you will fill out a booking form and make a down payment of approximately 20%, depending on the payment plan. Plus a one-time 4% DLD (Dubai Land Department) registration fee and a $315 Oqood fee. Your investment can be protected by wiring it into the developer’s account, which is managed by RERA (The Real Estate Regulatory Agency).
• Step 6: Sign The SPA
  After 24% has been paid and the Booking Form has been signed, the SPA (Sales and Purchase Agreement) will be signed by you within one month. The authorized signatory will simultaneously sign the SPA from the developer’s end and send you a copy.
• Step 7: Continue To Pay Installments
  Based on the selected payment plan, continue to make installment payments.
• Step 8: Inspection And Handover
  Once the building has been completed, and you have settled the pre-decided payment amount for handover as per your payment plan. The developer will invite you to inspect your property on a mutually selected date. Once you are satisfied with the property and your inspection team gives you a green signal, the developer’s handover team shall hand you the property.

Why Choose GG Benitez?

As a Certified International Property Specialist and Licensed Realtor®, I offer a unique advantage to my clients. With offices in both California and Dubai, I bridge the gap between international investors and the thriving Dubai real estate market. My collaboration with top-tier developers like EMAAR ensures that my clients have access to the best properties and investment opportunities.

The Dubai Connect Podcast

For those looking to dive deeper into the intricacies of the Dubai real estate market, I host the Dubai Connect Podcast. Each episode offers valuable insights, tips, and expert interviews on various aspects of buying and investing in Dubai real estate. In a special episode, I discuss how to buy off-plan and resale properties, covering the pros and cons of each approach. This podcast is an excellent resource for anyone serious about investing in Dubai’s dynamic real estate market.

Learn More

For a detailed discussion on how to buy off-plan and resale properties, including the pros and cons of each. Tune in to my podcast episode on The Dubai Connect Podcast. Additionally, check out my YouTube video on GG Benitez International’s YouTube channel for a visual guide on buying off-plan properties in Dubai.

Investing in Dubai real estate can be a rewarding experience with the right guidance. Contact me, GG Benitez, your Certified International Real Estate Specialist/Realtor®, to start your journey today.