Material updated: 01.06.26
Dubai has become a real city of the future, as evidenced by its tall skyscrapers, offices of global companies, and a frenzied tourist flow. But is it worth buying a flat in Dubai? Buying real estate in the UAE can be a daunting task. If you are an inexperienced investor, you can make a lot of ridiculous mistakes. In this article, we will tell you how to find a profitable flat in Dubai, what to look for when buying, and what questions to ask an agent.
Why is it worth buying a flat in Dubai?
Any real estate in Dubai is a great opportunity to earn passive income. This is especially true in areas that are in great demand among tourists. By purchasing a flat in Dubai, you can regularly relax by the sea without having to look for accommodation, make a profit from renting out your flat, or even obtain a resident visa. This city is constantly growing and developing, so you can invest in construction and get a flat in a respectable neighbourhood in Dubai in a couple of years.
So, you should buy a flat in Dubai for a number of reasons:
- Attractive investment climate;
- No real estate taxes in Dubai;
- Minimal costs for buying real estate in Dubai;
- High ROI: 5-8%;
- Possibility of profitable resale of flats in Dubai;
- High flow of tourists.
What to consider when buying an apartment in Dubai
If you have decided to buy an apartment in Dubai, be sure to consider the following factors when choosing an object:
- Purpose of purchase. It is almost impossible to find universal real estate on the market. Therefore, for each purpose of purchase, it is necessary to select individual search criteria: a flat for investment or own residence, for rent or profitable resale, etc. If you want to buy an apartment in Dubai for long-term investment, it is better to give preference to properties under construction, as this will save money. But if you want to move into a new flat immediately, this option is not suitable.
- List of important facts. Before buying an apartment in Dubai, clearly define how much you are willing to spend. If you want to obtain a UAE residency visa, the minimum value of the property must be 750,000 AED or the equivalent of about $204,000. It is important to keep in mind that if you buy a flat in Dubai in instalments, you will receive a visa only after you pay the full amount of the transaction. Also, determine which amenities and benefits are most important to you: proximity to the centre or a specific area, availability of schools or beaches nearby, free parking, pat friendly policy, etc.
- Choosing a broker. Of course, you can buy real estate in Dubai on your own. However, in this case, you are not immune to many mistakes and loss of invested funds. An experienced agent is aware of all the possible nuances and pitfalls, which will help you choose a flat in Dubai. Important: your broker must be licensed by the Real Estate Regulatory Authority (RERA). Make sure the agent knows the city well and can tell you in detail about any neighbourhood you choose. In addition, it is better to choose independent brokers rather than representatives of a particular developer, as they are biased and interested in selling their product.
- Detailed research of the area, project and developer. It is not necessary to be a resident of the UAE to buy real estate in Dubai, as any transaction can be concluded remotely. However, in this case, it is necessary to find out from the broker detailed information about residential complexes with a large portfolio and a number of completed projects, price dynamics, demand and payback rates, transportation, etc.
- Additional costs. If you decide to buy an apartment in Dubai, you will have to pay not only the cost of the apartment itself, but also other additional costs: 4% fee to the Land Department, administrative fee, agency fee, real estate registration fee in Dubai, etc. Additional costs can reach 4-5% of the cost of a flat in the primary market and 5-6% in the secondary market. In addition, mortgage costs should be taken into account, which can reach 2.5% of the cost of a flat in Dubai.
- Construction time, instalment and resale terms. In the United Arab Emirates, you will definitely not encounter unfinished construction, as all investors' funds are protected by the state and kept in escrow accounts. However, the construction timeline can always be shifted. Any developer can take advantage of a grace period of 1 year, during which they have the right to delay the commissioning of the facility. In addition, all developers may have their own rules for reselling flats during the construction phase. Therefore, if you don't want to wait for the project to be completed and plan to sell the property as soon as possible, be sure to check the minimum amount you need to pay to the developer in instalments.
So, buying an apartment in Dubai is an important and responsible step. Before embarking on such a time-consuming and complex task, you should carefully research the market, determine your needs and capabilities, consult with a professional broker and study all legal aspects. Such a responsible approach will allow you to maximize the benefits and profits from real estate investments in Dubai.
