Buying land in the UAE

The most promising districts of Dubai for land purchase

In Dubai, several hundred land plots are on sale at the same time in different districts and at different prices. Land in central and popular tourist districts with good infrastructure is more in demand. Jumeirah Palm, Downtown, Business Bay, Jumeirah Village Circle, DAMAC Hills, Mohammed Bin Rashid City, etc. are considered promising. But whether the purchase of a plot in one of these parts of the emirate will bring profitability, you need to consider everything individually. Not everything depends on the location.

If we talk about approximate prices, for example, in the Silicon Oasis and Sports City districts, the price of a land plot starts from 100 dirhams per square meter. When buying land in one of the communities located in the center of Dubai, the cost can reach 450 dirhams/sq.m. The most affordable prices can be found in districts that do not yet have developed infrastructure.

Peculiarities of buying land in Dubai

You can buy a plot of land in Dubai directly from the state or from a developer who owns large territories. The purpose of acquiring land may be different either for development or for resale. It is best to decide on it before the selection of offers.

Requirements and conditions of lending

Plots in Dubai are sold for cash and mortgages. What are the requirements for a borrower planning to purchase land:

• age over 21. The upper age limit is not officially specified, but banks mostly refuse to issue loans to buyers over 60 years old;
• the loan is issued for no longer than 25 years;
• income starts from 10,000 dirhams (approximately $2,700).

As for the terms of lending for the purchase of a land plot, the first payment is about 10%. In most cases, payment must be made in stages: foremost the first installment, after six months the second installment and after some time the third installment.

Types and terms of land ownership

The UAE Civil Code provides for different types of ownership of property, including land:

• freehold — the right to use land permanently, sell it, lease it, etc.;
• musataha — the right to build up a plot for a certain period (up to 50 years) and to be considered as the owner of the building (buildings) on it for a specified period;
• usufruct — the right to use and occupy land belonging to another person for a certain period, which should not exceed 99 years.

The process of buying a land plot

Before purchasing land in Dubai, it is important to determine for what purpose the plot is being purchased. It depends on which part of the emirate it is best to look for offers. The purchase procedure also includes such stages as the preparation of documents, approval of loan issuance in the bank, etc.

If you use the services of a reliable agent who knows all the peculiarities of the procedure to buy land in Dubai, you can save time and money. Mayak Real Estate agency can help an investor with:

• find great deals on land plots;
• study the features of the selected object;
• prepare the buyer’s documents and check the authenticity of the issued documentation;
• apply for a mortgage loan;
• confirm the legality of the transaction;
• inform about the payment of necessary taxes and fees, etc.

Contact experienced professionals to successfully invest in land in Dubai. Mayak Real Estate company has been present in the real estate market for more than 10 years.