Thanks to new and dynamic real estate and property laws, the United Arab Emirates’ property market has caught the attention of foreign investors especially in up-and-coming zones around the cities. In Dubai, for example, a lot of interest was placed around the areas of Dubai Silicon Oasis (DSO), Dubai Sports City and Dubailand. This situation has led to a rising demand for construction of residences. The attention to the real estate and infrastructure sectors and the upcoming Expo 2020 has been motivating developers in the construction industry to fulfill the strong demand for both villas and apartments.
Property prices in Dubai and elsewhere in the UAE can be high. However, prices are starting to come down slowly, as the UAE’s real estate market continues to grow with new, off-plan “affordable” properties that make it a bit easier for expatriates, who are looking for alternatives to renting, to secure mortgages and procure the 25 per cent of the property value upfront that is normally required.
When buying a home in Dubai and Abu Dhabi, whether you’re a first-time buyer, resident or non-resident, residential or commercial buyer, finding the right mortgage in the UAE with affordable fees and monthly payments can be perplexing, especially because of the huge range of options available from both local and international banks and financial institutions lenders. When shopping around for the best rates, it’s important that prospective homeowners think also of all other costs associated to the mortgage and the house deed.
So, before applying for a home loan and borrowing money, it is recommended to search, find and compare a number of different options to determine which one offers the better deal when it comes to interest rates (Fixed Rate Mortgage is one of the safest options), loan amounts, down payment requirements, duration of the loan, arrangement lender fees, early settlement cost charges (your goal is to pay it off sooner rather than later), and a number of less-known charges that you might want to become familiar with.
Are you ready to find a mortgage that moves you to the UAE and take on the real estate investment experience? If so, be sure to find a trusted home-buying expert to assist you in the process to know what banks or financial institutions offers the lowest rates and has a variety of loan options to choose from to meet your needs. A professional can help finding the better option and give expert advice on local laws and regulations, as mortgage rules change often in the UAE.
Many are also the regulations to abide to in order to register a property and the fees to consider. When it comes to buying and selling property in Dubai or Abu Dhabi, the Property Law No. 14 of 2008 concerning mortgages is a good place to start researching. In Dubai, land transactions are the responsibility of the Real Estate Regulatory Agency (RERA), the Dubai Land Department (the “DLD”); while, in Abu Dhabi this task is carried out by the Municipality of Abu Dhabi.