Dubai is the fourth-most-visited city in the world, surpassed only by Bangkok, Paris, and London. In addition to this, the city is flooded with amazing skyscrapers and more affordable real estate than many other cities in its league. It is also a major hub of both international business and employment growth. In short Dubai has made a brand name for itself as one of the most successful places in the world for real estate, business, and tourism.
Indeed hyper-connected pro-business hub, Dubai delivers efficiency, security and a forward-looking ecosystem for accelerated growth.
Here we are discussing the most relevant points bear in mind prior to your property investments in Dubai .
1. Property Ownership : Investment can be done in Dubai in two ways
a. Individual Ownership
Individual ownership , property investment is the traditional and old approach investment structure , prevails in the world . As an expatriate in Dubai or non resident in UAE can hold properties under his/ her name .
b. Corporate Ownership ( Holding Company)
Corporate ownership is the structured and professional way of approach of property investments by the expatriates in UAE. By doing property invest under the holding company ( JAFZA OFFSHORE COMPANY/ DUBAI OFFSHORE COMPANY) expatriates are protected from the inheritance law in the region and also have the privilege of ‘Company Never Dies’ concept.
Even though the status of the investor is expatriates, he/ she is eligible to register the WILL in UAE . So for registering the WILL most convenient way is holding of assets under one roof .
2. Bank Account Opening : As you know for all the deals making payment against the investments must be through a proper channel is very important . In property deals you have to prepare the mode of payment and opening the bank account prior to closing the deal. Bank account under the company name / OR personal name should be open to route the payment to the seller . In this scenario holding company’s bank account , the personal bank account must be ready prior to the registration of property.
3. Service Charges: Services Charges are more important than the property price since service charges are recurring & it may leads to looting of money from out of pocket.
4. Amenities in the property: Amenities are another important factor we bear in mind prior to take the decision. What are facilities are providing by the builders or property management companies . ( like spa , Gym , car parking, house keeping , laundry, parking)
5. Maintanance & Services : Top of the above maintenance and services are making good value of return in the market and keeps the property without further investment. Should be go throughly the terms and conditions of maintanance & services agreement prior to get into the deal
6. Property value : We can call it as the prime factor and most relevant element on our property investments in Dubai . Whether the investment is worth against the property value . This worth factors combined of several factors like ;
a. Location of property: Whether the property is located in prime location with all the facilities. If it in prime location either in the residency area and commercial area will make sense in your investment.
b. Transportation facilities: While choosing the property investment in Dubai , we always bear in mind about the transportation facilities around your proposed property. Public transportation and infrastructure structure will make remarkable factor in the value of property and rate of returns.
b. Rate of returns : All the investments we have to calculate the rate of returns on investments. Same it will be reflect in property investments. To choosing the property bear in mind about ROI prior to closing the deals .
7. Real Estate Developers : Choosing the right developers is another major task in property investment. While buying an apartment or villa or pent house or any other property you should be aware of the developers history in the market . We advise to make a proper background checking about developers.
NEX Consultants can guide on your real estate investment in Dubai and advise on estate planning , deal negotiations and structuring of your property investments.