A Step-by-Step Guide to Buying Property in the UAE (2025)
The UAE is one of the world’s most attractive real estate markets, offering high rental yields,
capital appreciation, and tax-free investment opportunities. Whether you’re buying your dream
home or investing in a high-ROI property, this guide will take you step-by-step through the entire
process—from legal requirements to closing the deal.
Step 1: Understand UAE’s Property Market & Legal Framework
Before investing, it’s crucial to understand who can buy property in the UAE and what the legal
process entails.
✅ Can Foreigners Buy Property in the UAE?
Yes! Foreigners can buy in designated freehold areas such as Downtown Dubai, Business Bay,
Palm Jumeirah, Dubai Marina, Yas Island (Abu Dhabi), and Al Marjan Island (Ras Al Khaimah)
and many more.
✅ Ownership Options:
● Freehold Ownership: Full ownership of the property and land (available to expats in
zones).
Leasehold Ownership: Ownership for 99 years but without owning the land (common in
some parts of Abu Dhabi).
✅ Legal Documents Required:
● Passport Copy
● Emirates ID (if UAE resident)
● Visa Copy (if applicable)
● Proof of Address (for international buyers, if required by banks)
Timing: This step can take 1-2 days to complete research and gather necessary documents.
Step 2: Decide Your Budget & Consider Additional Costs
Beyond the property price, budgeting for extra costs ensures a smooth transaction.
💰 Property Price – Varies by location (e.g., AED 1.5M+ in Downtown Dubai, AED 800K+ in
JVC).
📌 Additional Costs to Consider:
| Cost | Percentage | Who Pays? |
|---|---|---|
| Dubai Land Department (DLD) Fees | 4% | Buyer |
| Real Estate Agent Commission | 2% | Buyer |
| Oqood Registration (for Off-Plan) | AED 5,250 | Buyer |
| NOC Fees (for Secondary Market) | AED 1,000 – 5,000 | Buyer |
| Mortgage Fees (if applicable) | 0.25% of loan amount + AED 290 | Buyer |
| Service Charges (Yearly Maintenance Fees) | AED 10 – 30 per sq. ft. | Buyer |
💡 Pro Tip: Always keep an extra 6-8% of the property price for these additional expenses.
Timing: Budgeting can take 1-2 days, especially if applying for a mortgage.
Step 3: Choose the Right Property & Area for High ROI
The UAE has diverse real estate options, so selecting the right area and property type is key.
✅ High-ROI Areas in Dubai
| Area | Expected ROI | Key Projects |
|---|---|---|
| Business Bay | 5-7% | The Lana Residences, |
| Downtown | 7% | W Residences Dubai, Burj Binghatti x Jacob and Co Residences |
| Dubai South | 7-10% | EMAAR South, Valley by Emaar |
| Meydan | 6-8% | Sobha Hartland 2, Azizi Riviera, Meraas |
| Dubai Maritime City | 8-10% | Anwa Residences by Omniyat |
✅ Best Off-Plan Investments (2024-2025)
● Aston Martin Residences by Dar Global (Dubai)
● Bugatti Residences by Binghatti (Business Bay)
● Mandarin Oriental Residences by Aldar (Abu Dhabi)
● Ellington Views I & II (Ras Al Khaimah)
Timing: Choosing a property can take 1-4 weeks, depending on research and availability.
Step 4: Secure the Deal – Signing the Sales Agreement (MOU & SPA)
Once you’ve chosen a property, it’s time to finalise the deal.
📌 For Ready (Secondary) Properties:
1. Sign Form F (Memorandum of Understanding – MOU):
● This outlines the terms of the sale.
● A 10% deposit is usually required.
2. Obtain a No Objection Certificate (NOC):
● Issued by the developer to confirm no outstanding dues.
3. Transfer Ownership at the Dubai Land Department (DLD):
● Pay the 4% DLD fee and complete the transfer.
● Receive your Title Deed (ownership document).
📌 For Off-Plan Properties:
1. Sign the Sales Purchase Agreement (SPA):
- States the payment plan, delivery date, and project details.
2. Register with Dubai Land Department (Oqood for off-plan buyers).
3. Follow the Payment Plan until project completion.
Timing:
● Ready Property: Takes 2-4 weeks.
● Off-Plan Property: Varies (6 months to 3 years for completion).
Step 5: Payment Options – Mortgage vs. Cash
Foreign buyers can finance property purchases through banks in the UAE.
✅ Cash Buyers/ Crypto transfer
● Fastest process
● No mortgage interest
✅ Mortgage Buyers
● UAE Residents: Up to 80% loan-to-value (LTV)
● Non-Residents: Up to 50-60% LTV
● Salary Certificate / Proof of Income
● 6-Month Bank Statements
● Credit Report
Timing: Mortgage approval takes 1-3 weeks.
Step 6: Receive Your Title Deed & Manage Your Investment
Once the payment is complete, you’ll receive a Title Deed from the Dubai Land Department
(DLD).
📌 What Next?
● For Investors: List your property for rent (long-term or Airbnb).
● For End-Users: Set up DEWA (electricity & water) and move in!
Final Thoughts: Why Invest in UAE Property Now?
✅ 100% Foreign Ownership in Freehold Areas
✅ Strong Rental Yields (5-10%+)
✅ No Property Tax or Capital Gains Tax
✅ Dubai’s FDI Boom (Highest in the World for 2024-2025)
✅ UAE Golden Visa for Properties Above AED 2M
Want to Invest in UAE Real Estate?
📩 Contact ISK Developments today for exclusive investment opportunities!
