Since 2002, non-UAE nationals have been able to buy freehold property in designated areas of Dubai. The title deed is issued by the Dubai Land Department (DLD) in the buyer's own name, with no local partner, no residency requirement and no time limit on ownership. Roughly two thirds of HFO's clients bought their first Dubai property from abroad, most of them without visiting before the reservation.
Where foreigners can buy: freehold areas
Foreign ownership is limited to freehold areas, but those areas cover almost all of new Dubai: Downtown, Business Bay, Dubai Marina, JBR, Palm Jumeirah, Dubai Hills Estate, Jumeirah Village Circle, Dubai Creek Harbour, Arabian Ranches, DAMAC Hills, Dubai South and dozens more. Older districts such as Deira, Bur Dubai and parts of Jumeirah are generally not freehold for foreigners. Our area guides cover 25 of the communities where our clients buy, with entry prices, yields and what to check.
The buying process in six steps
1. Define the goal, then the budget. Yield, capital growth, own use or Golden Visa eligibility lead to different communities and different unit types. Decide this first; the listing search follows from it.
2. Shortlist and view. Ready property can be viewed in person or by live video call. Off-plan is bought from floor plans, show units and the developer's escrow record. Expect to look at five to ten units before offering.
3. Offer and MOU. Once a price is agreed, buyer and seller sign the DLD's Form F, the memorandum of understanding. The buyer pays a deposit, customarily 10 percent, which is held by a registration trustee, not by the seller or the agent.
4. NOC and due diligence. The seller obtains a no-objection certificate from the developer confirming there are no outstanding service charges. We check the title, tenancy status, service charge history and, for older buildings, facade and maintenance records.
5. Transfer at the DLD. Buyer and seller, or their attorneys, meet at a registration trustee office. The buyer pays the balance by manager's cheque, the DLD fee is paid, and the new title deed is issued the same day.
6. Handover. Keys, access cards, DEWA and district cooling transfer, and Ejari if the unit is tenanted. For off-plan, this step happens at completion, and our inspection partner checks the unit before you accept it.
What buying in Dubai costs on top of the price
The DLD transfer fee is 4 percent of the purchase price, plus an administration fee. The registration trustee charges a fixed fee, currently around AED 4,000 plus VAT for properties above AED 500,000 [verify at the time of purchase]. Brokerage commission is customarily 2 percent plus 5 percent VAT. Mortgage buyers add a mortgage registration fee of 0.25 percent of the loan, a bank valuation and an arrangement fee. For off-plan, the 4 percent is paid as the Oqood registration fee at reservation. Budget 6 to 7 percent of the price in total for a cash purchase, 7 to 8 percent with a mortgage.
Mortgages for non-residents
Several UAE banks lend to non-residents, typically up to 50 to 60 percent of the value, with the buyer's income and age as the main criteria. Residents can borrow up to 80 percent on a first property below AED 5 million. Rates are set against the UAE central bank rate and are usually higher than in Germany or Switzerland, so many buyers from abroad finance at home against existing assets instead. We work with independent mortgage advisers who compare the banks.
Buying from abroad without flying in
A notarised and attested power of attorney allows a representative in Dubai to sign the MOU and attend the transfer on your behalf. The attestation chain runs through your home country's foreign ministry and the UAE embassy, then the UAE Ministry of Foreign Affairs. Allow two to four weeks. Many of our clients complete the entire purchase remotely and see their unit for the first time at handover.
Five mistakes we see buyers from abroad make
Paying launch prices for off-plan in communities where the resale market is already cheaper. Ignoring service charges, which range from about AED 10 to 30 per square foot and decide the net yield. Buying a view that is not the view: the unit in the render faces the lagoon, the unit in the contract faces the car park. Signing with a broker who is not RERA registered, which leaves you without recourse. And buying for the Golden Visa before checking the DLD valuation, which can come in below the AED 2 million threshold.
Taxes for foreign owners
The UAE has no property tax, no capital gains tax and no tax on rental income for individuals. Your home country may tax the income or the gain: Germany, Austria and Switzerland each treat foreign rental income differently, and double taxation agreements apply. We coordinate with your tax adviser before you buy, not after.
Frequently asked
Can a foreigner own property in Dubai outright?
Yes. In freehold areas, foreigners of any nationality receive a title deed in their own name from the Dubai Land Department, with no local partner and no residency requirement.
Do I need to be in Dubai to buy?
No. With a notarised and attested power of attorney, a representative can sign and attend the transfer for you. Most HFO clients from Europe buy remotely.
How long does a purchase take?
A cash purchase of a ready property typically completes two to four weeks after the MOU. With a mortgage, allow six to eight weeks.
Is there property tax in Dubai?
No annual property tax, no capital gains tax and no tax on rental income for individuals. Home-country tax rules may still apply.
Want this calculated for a specific unit? Send us the listing, we send back the net numbers.
