8 Facts You Don’t Know about Dubai Real Estate
Posted: Jul 26, 2018
Many of us don’t know the real estate facts about, apparently the most fascinating place in the world, Dubai. EZestate brings you a comprehensive list of the facts related to real estate in Dubai.
1- No Property Tax Imposed
Dubai is a city where you have the advantage of untaxed property. The government has not levied any taxes on the property in Dubai, which has uplifted the demand of property in Dubai.
2- The Return on Investment in Real Estate
One of the best places to invest in property market, Dubai yields higher rental sums than most of the metro cities in the world. If you are planning to attain a property in Dubai to rent it out, than you shouldn’t wait any longer
3- Freehold and Leasehold Areas
The government of Dubai has segregated the areas into 2 categories. The freehold areas are those where anyone from any corner of the world may own a property, and the leasehold areas are those where foreigners may only lease the property for up to 99 years. The locals may, however, own a property in the leasehold areas too.
4- The fee Associated with the Purchase of Property
Real Estate Dealer’s Fee – The standard rate of the agent’s fee is 2% in Dubai
Dubai Land Department’s Fee – The buyer is liable to pay 4% of the purchase price of the property to the Dubai Land Department (DLD)
Registration Trustee’s Fee – The Registration Trustee’s office is the place where the transfer of the ownership takes place. The trustee’s fee is AED2,000 on the price below AED500,000 and AED4,000 on the price above AED500,000
5- The Variation in the Prices
Dubai is one of the cities with the most variable rents per annum. The cheapest areas are;
- The International City
Where you may get apartments ranging from AED25,000 up to AED75,000 annually
The most expensive areas are
- Old Town
- Palm Jumeirah
Where you may get apartments ranging from AED95,000 up to AED160,000
6- Around 85% of the Population is International
Having a volatile yet the most attractive economy, only 10% to 15% of the population is Emirati, the rest is foreign. This is one of the major reasons that a rapid growth is witnessed in Dubai property market. Dubai welcomes everyone, and to resolve the hassle of accommodation, a whole lot of real estate dealers are present in Dubai.
7- 39% of the Space of Burj Al Arab Cannot be Utilized in Accommodation
The grand architecture of Burj Al Arab wastes 39% of the structure just to make the built aesthetic, instead of allotting most of the area to be utilized in the accommodation. This decreases the livable capacity and increases the prices of accommodation.
8- World’s First Climate Control City to be Built by DubaiDubai has unveiled the plans to build the world’s first climate-controlled city. It’ll be a 48 million sqft. city with the world’s largest indoor amusement park, 100 hotels and apartment complexes and an entertainment center facilitating up to 15000 people. The cost and models are expected to be exhibited at the UAE World Expo trade fair in 2020.
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