What is the Exchange Rate?
The exchange rate is 6.5AED to the £UK sterling (approximately).
Do I need a U.A.E Bank Account?
No, purchasers are not required to hold a local bank account.
Who can buy?
Anyone.
In a major boost to Dubai’s property market, the concept of freehold properties was introduced in the city of Dubai for the first time in any Gulf country.
“Freehold” became the buzz word in May 2002 when H.H. General Sheikh Mohammad Bin Rashid Al Maktoum, Crown Prince of Dubai and U.A.E.
Defence Minister, announced that 100% freehold ownership of certain properties in Dubai was available to all nationalities.
What taxes will I have to pay?
Dubai has no taxes of any kind when purchasing a property in the emirate.
Dubai also benefits from no business taxes, except in the banking industry.
Will I gain Residency?
New Property owners and their immediate family are granted applications for residence visas in accordance with the latest immigration regulations, which permits the holder to work in Dubai.
What is the payment process?
When buying off plan the payment process does differ dependent upon the development however typically you will be expected to make a down payment on exchange of contracts plus further installments of a percentage of the total purchase price based around milestones in the construction process.
The final installment is due on the completion of the project.
What is the situation with Freehold?
While the Federal Law of the UAE doesn’t prohibit the ‘ownership’ of property by a foreign national, so far registration procedures have yet to be established.
However, the Emirate of Dubai is leading the process to make title registration possible and the consensus is that the new land law will be formally released in the next twelve months (approx Sep 2006).
This piece of legislation will enable foreign nationals to register and be issued a title deed for their ownership of Dubai property via the local Lands Department. The likely impact of the new land law is an uplift in market value as it is expected that another wave of buyers will enter the Dubai market as soon as this legislation is in place.
Additionally the arrival of the new property law or laws will clarify the situation for lenders and many more mortgage products will become available which will also open up the market, further increasing demand over supply.
What is the climate like?
Dubai has a winter and summer season just like Europe, however you won’t feel quite so cold! In the winter months, from November to April you can expect on average, eight hours of sunshine per day with the temperatures ranging from a very pleasant 20C - 28C.
In the Summer, you can expect up to eleven hours of sunshine a day, with temperatures ranging from 32C - 42C. Dubai has very little rainfall – only 8 cm (80 mm) per year.
Most rain falls in the winter months, from November to April. Don’t be surprised if the whole summer passes by without a drop!
What Finance Packages are avaliable?
When buying in Dubai there are a wide variety of finance packages available for property bought off-plan in Dubai, offered by local lenders such as Tamweel or global banking organisations like HSBC.
Finance can take the form of a standard home loan of up to 70% of the purchase price, or alternatively the developers themselves may offer an 8 to 15 year repayment plan as a purchase option.
These packages come at competitive rates of interest and bring the convenience of fixed monthly repayments over the long-term in place of staged equity instalments up to completion.
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