What foreigners can buy
In Dubai, foreign nationals can buy freehold property in designated freehold areas. Outside them, foreigners can usually only hold long leases or usufruct rights.
- Freehold areas in Dubai include Dubai Marina, Downtown Dubai, Business Bay, Palm Jumeirah, Jumeirah Village Circle, Dubai Hills Estate, JLT and Arabian Ranches.
- Abu Dhabi has its own investment zones where foreigners can buy freehold.
- Ownership can be personal, joint, or through a company (onshore, or an approved free-zone or offshore company, subject to Dubai Land Department rules).
- Funds can come from abroad. Banks apply anti-money-laundering checks, and agents and trustees must verify the source of funds for cash deals.
What buying really costs
On a ready property in Dubai, budget about 6–7% on top of the price when paying cash and 7–8% with a mortgage. The 4% transfer fee is the largest part.
| Cost | Amount | Notes |
|---|---|---|
| DLD transfer fee | 4% of the price | Plus a small title-deed admin fee. The buyer pays it in practice. |
| Registration trustee fee | AED 2,000 or AED 4,000 + 5% VAT | AED 2,000 below AED 500,000; AED 4,000 from AED 500,000. |
| Agency commission | Usually 2% + 5% VAT | Negotiable. Not due on direct developer sales. |
| Mortgage registration | 0.25% of the loan | Plus bank arrangement and valuation fees (valuation often AED 2,500–3,500). |
| Developer NOC | AED 500–5,000 | Resale only; set by the developer. |
Off-plan: the 4% fee is due when the unit is registered (Oqood). Some developers pay part or all of it as a promotion.
Buying cost calculator
AE- DLD transfer feeAED 80,000Dubai Land Department; other emirates differ
- Registration trustee feeAED 4,200incl. VAT
- Agency commissionAED 42,000incl. VAT
- 6.3% of the pricePrice plus costs: AED 2,126,200
Dubai fees for a buyer. Other emirates differ. Bank arrangement and valuation fees, and the developer NOC, come on top.
Indicative figures from each market's standard fees. Not a quote.
| Cost | Amount |
|---|---|
| Service charges | Per sq ft per year, set per building. Commonly AED 10–30 per sq ft for apartments, higher in luxury towers. |
| District cooling | Billed separately in some buildings. |
| Housing fee | 5% of the annual rent, billed to the occupant through DEWA. |
| Annual property tax | None. |
| Capital gains tax | None for individuals. |
Rental income of individuals is generally not subject to UAE income tax; companies may fall under UAE corporate tax.
When you sell: agency commission (commonly 2% + VAT), the NOC fee and, with a mortgage, an early settlement fee capped at 1% of the outstanding loan or AED 10,000, whichever is lower.
How a purchase runs
A ready (resale) purchase in Dubai typically takes 30–45 days in cash and 45–60 days with a mortgage, from the signed MOU to the new title deed.
- Agree price and termsWith the seller, usually through a RERA-registered broker.
- Sign the MOU (Form F)The standard Dubai Land Department contract. It sets the price, the deposit, the transfer date and penalties.
- Pay the depositUsually 10% of the price, as a security cheque held by an agent or conveyancer until transfer.
- Finalise the mortgage, if anyYour bank issues final approval and a valuation. A seller's mortgage is paid off at transfer.
- Developer NOCThe developer confirms that no service charges are outstanding.
- Transfer at a trustee officeYou pay the price, the transfer fee and the trustee fee. The title deed is issued in your name, usually the same day.
- After transferMove the utilities (DEWA), update the owners' association and register any tenancy with Ejari.
Followed step by step in ReconciergeAE
- Offer
- MOU (Form F) signed
- Deposit paid
- Developer NOC
- Transfer at DLD trustee
- Handover
Each step comes with its checklist of documents, payments and checks, shared with the people you invite.
Buying off-plan works differently:
- The project must be registered with the DLD and RERA, and your payments must go into the project's escrow account. Never pay an instalment to a personal account or to a broker.
- You sign a booking form with a reservation amount (often 5–20%), then the Sale and Purchase Agreement.
- Oqood is the interim registration of the unit in your name. The 4% fee is paid at this stage.
- Instalments follow dates or construction milestones, sometimes with a post-handover plan. Check the penalties for late payment and for delay.
- Resale before completion is often allowed only after 30–40% is paid, with an assignment fee.
- Banks usually lend at most 50% on off-plan property, often only near completion.
Mortgages
Residents can borrow up to 80% of the value of a first home up to AED 5 million. Some banks lend to non-residents, typically at 50–60%.
| Buyer | First home up to AED 5M | Above AED 5M |
|---|---|---|
| Expatriate resident | 80% | 70% |
| UAE national | 85% | 75% |
| Second and further homes | Around 60–65% | Around 60–65% |
| Off-plan | Usually up to 50% | Usually up to 50% |
| Non-resident | Typically 50–60%, at some banks | Typically 50–60%, at some banks |
- Term: up to 25 years. The loan must usually end before age 65 (employees) or 70 (self-employed).
- Debt burden: total monthly debt payments are capped at 50% of income.
- Costs: a bank arrangement fee (often up to 1% of the loan), a valuation fee, mortgage registration, and life and property insurance.
- Rates: fixed rates usually hold for 1–5 years, then move to a variable rate linked to EIBOR.
Residence visas linked to property
Property worth at least AED 2 million, in one or several properties, can support a 10-year Golden Visa. Buying property does not by itself give the right to work.
- Golden Visa (10 years): property investment of at least AED 2 million. Off-plan property from approved developers and mortgaged property can qualify under conditions. Family members can be sponsored.
- Property investor visa (2 years): has been available for lower values (historically from AED 750,000). Check current eligibility.
- Residence visas need a valid Emirates ID and the medical and insurance steps.
Renting in Dubai
Rent is agreed per year and often paid in 1–4 post-dated cheques. To move in, budget a 5–10% deposit, a 5% agency fee and the utility deposits.
| Cost | Amount |
|---|---|
| Annual rent | Often in 1–4 post-dated cheques. More cheques can mean a higher rent. |
| Security deposit | Commonly 5% of the annual rent unfurnished, 10% furnished. Refundable. |
| Agency fee | Usually 5% of the annual rent + VAT. |
| Ejari registration | Around AED 220. Required for DEWA, visas and disputes. |
| DEWA deposit | Commonly AED 2,000 for an apartment and AED 4,000 for a villa, plus a monthly housing fee of 5% of the annual rent. |
- Rent increases at renewal are capped by the RERA rental index: none if your rent is within 10% of the area average, rising in steps up to 20% when it is far below market.
- Notice: either party must give 90 days' notice before expiry to change the terms.
- Eviction is only possible for the reasons in the law. For sale or the owner's own use, a 12-month notice through a notary or registered mail is required.
- Disputes go to the Rental Disputes Settlement Centre.
For investors
Gross yields on Dubai apartments have often been in the 5–8% range, depending on the area. Net yield depends on service charges, vacancy and how the property is let.
- Compare like for like: price per sq ft against the area average, and the rent that comparable homes actually ask.
- Service charges are the main running cost. They are approved through the official service charge index and vary widely between buildings.
- Holiday lets need a holiday home permit from Dubai's Department of Economy and Tourism.
- A sitting tenant keeps their lease when a property is sold. Check the existing tenancy before you buy.
Where we cover
- Dubai
- Abu Dhabi
- Sharjah
- Ras Al Khaimah
- Ajman
How Reconcierge helps in the UAE
The guide tells you the rules. Your concierge applies them to your brief and to each listing.
- A selection, not a searchListings from agencies, developers and portals, ranked against your brief and refreshed as prices change.
- The real cost of each oneFees and taxes itemised for the price in front of you, with the yield it could earn.
- Answers at any hourAsk about areas, ownership, visas or financing, and have contracts explained before you sign.
- The right people, then one placeMeet qualified agents and developers, then follow offers, documents and deadlines together.
Questions people ask
Can foreigners buy property in Dubai?
Yes. Foreign nationals can buy freehold property in Dubai's designated freehold areas, such as Dubai Marina, Downtown Dubai, Business Bay and Palm Jumeirah. Outside those areas, foreigners can usually only hold long leases or usufruct rights.
How much are the fees when buying property in Dubai?
Budget about 6–7% on top of the price for a cash purchase of a ready property and 7–8% with a mortgage. The main items are the 4% Dubai Land Department transfer fee, the trustee fee of AED 2,000 or AED 4,000 plus VAT, and an agency commission that is usually 2% plus VAT.
Does buying property in Dubai give a residence visa?
It can. Property worth at least AED 2 million can support a 10-year Golden Visa, and a 2-year property investor visa has been available for lower values. Thresholds and conditions change, so check the current rules before relying on one.
Can a non-resident get a mortgage in the UAE?
Some UAE banks lend to non-residents, typically 50–60% of the property value, with higher rates and income documents from abroad. Residents can borrow up to 80% on a first home up to AED 5 million.
Is there property tax in Dubai?
There is no annual property tax and no capital gains tax for individuals. Owners pay yearly service charges per sq ft, and occupants pay a housing fee of 5% of the annual rent through the utility bill.
What do I pay upfront to rent in Dubai?
Usually a refundable security deposit of 5% of the annual rent (10% furnished), an agency fee of 5% plus VAT, Ejari registration of around AED 220 and a DEWA deposit, on top of the first rent cheque.
Which emirates does Reconcierge cover?
Dubai, Abu Dhabi, Sharjah, Ras Al Khaimah and Ajman. The fees in this guide are Dubai's; other emirates set their own.
Figures are indicative. Official fees and rules are set by the Dubai Land Department (DLD), RERA, the UAE Central Bank and the federal residence authorities, and can change. Other emirates have different fees.
