Have you already made the decision to invest in Dubai Real Estate? Are you interested in learning more about some of the stuff you should know before purchasing a property in Dubai?
To be frank, there are numerous factors to consider when purchasing a flat, villa, or other pieces of real estate in Dubai. Today, I’ll go through five such factors that you must consider while purchasing a property in Dubai. So, without further delay, let’s get into those five considered points:
There is a common saying that there are only three factors that determine the price of a property: New location, developed location, and affordable location. When it comes to choosing the best location for a property in Dubai, there are several factors to consider.
New Locations in Dubai
Try looking at communities like Dubai South if you’re looking for something that’s lowest right now but will appreciate in value over time. The population of Dubai is growing all the time, and there will be a massive housing demand in many new areas of Dubai in the next five to ten years.
Developed Locations in Dubai
If your goal in investing in Dubai is to earn a reasonable and consistent rental income, I recommend purchasing in already established areas. Dubai Marina, Jumeirah Lake Towers (JLT), Jumeirah Beach Residence (JBR), Palm Jumeirah and others are some of the choices you can consider.
Affordable Locations in Dubai
If you’re looking for a more budget-friendly alternative, there are plenty of choices in that category as well. International City , Dubai Production City Impz, Town Square , Al Warsan , Akoya Oxygen.
In short, the result you want to achieve is directly related to the place you want to buy property in Dubai.
2. Master Developer
There are a few well-known master developers, such as Meeras (City Walk, Bluewaters Island, Jumeirah Bay and so on),Nakheel (Palm Jumeirah, Jumeirah Village Circle and so on), Damac Properties (Palm Jumeirah, Jumeirah Village Circle, Jumeirah Village Triangle, and so on) and Emaar (Dubai Marina, Downtown Dubai, Dubai Creek & Harbor, and so on),.
In the long run, the master developer determines the worth of your home in Dubai. If the master developer has a strong reputation and the culture is well-kept, it will eventually attract more people’s attention.
As a landlord, you’ll find more tenants eager to rent your house, and as a seller, you’ll find more buyers eager to purchase your Dubai apartment.
Know The Project Developer
A developer is a company that builds a project, such as a residential/commercial building or a group of villas/townhouses.
3. Age of the Building and Property’s Condition
Dubai is a relatively young city, with most of the developments dating back less than 15 years. Since the city is expanding at such a rapid pace, new developments are always on the horizon.
Dubai’s off-plan property sector has always been in high demand due to strong interest from both local and foreign investors. Off-plan properties are common in Dubai because they are less expensive and offer flexible payment options.
However, it all boils right down to what you would like. If you need a ready-to-move-in property in Dubai, off-plan property is useless. If you want to buy something that is already built, knowing how old the building is can be really useful.
In Dubai, the developer is responsible for any defects in your residential unit for a period of one year after completion. For a term of 10 years from the date of completion, the developer is often responsible for structural damages.
So, if you’re buying a brand-new home, you’ll almost certainly be protected by this warranty. If the building is older than ten years, you, as the owner, will be responsible for any repairs that are necessary inside the apartment.
Condition of the Property
The seller must send an inspection report to the buyer in several countries around the world. This inspection/snag report assists the new owner in comprehending the property’s current state.
In Dubai, however, this is not the standard. If you want an inspection as a buyer, you must pay for it.
You may either seize the property and inspect it yourself or contract a private company to do so for you. People in Dubai do not normally conduct a thorough snagging of the property they want to purchase because it is not a standard practice.
4. Evaluate the Price
This is the most important thing you can do before selling the house. Your hard-earned cash should not be wasted due to a lack of knowledge and study.
Seek a detailed review of the property and its developer from your agent. Professional surveying services are also available. They evaluate the property and, if necessary, warn you of any flaws. Aside from that, do a background check on the developer to make sure they’re trustworthy and well-known.
5. Financing Options and Associated Costs
When all is said and done, you’ll need to know the estimated costs of your property purchase. When purchasing a property in Dubai, you will be required to pay certain fees and charges. Among the fees and charges, you will face are the following:
- Real estate agent’s commission.
- Dubai land department charges.
- Mortgage registration fee.
- Property registration fee.
- Property valuation fee.
- Contract fee for off-plan property.
Not to forget the future expenses once you buy the property such as renovations, repairs, etc.