The United Arab Emirates (UAE), with its strategic geography, is the perfect gateway between the East and the West. The country's pivot from a traditional Oil and Gas exporter to a tourism, technology and financial hub has made it an attractive destination for global investment. Large-scale infrastructure, welcoming residency policies for foreigners, and tax incentives add to the benefits of moving to and working in the UAE.

Emirates like Dubai, Abu Dhabi, and Ras Al Khaimah stand out for their luxurious property offerings, which include deluxe apartments and grand villas for sale and rent. The UAE's well-organised real estate sector presents an opportunity for overseas buyers to secure long-term residency and work or do business here.

As one of the safest countries to live and work in, property demand is always high. This presents an opportunity for investors to leverage high rental yields and tax-free income, a rare combination in any part of the world.

Strategic global location

Situated in the Middle East, the UAE is easily accessible to three continents, including Europe, Africa and Asia, making it a favourable destination for large businesses and multinational corporations to set up their regional base. An influx of major corporations has led to talent from all over the world coming to Dubai and Abu Dhabi, further bolstering connectivity and increasing the demand for quality housing in these cities.

A diversified economy

Beyond its fossil fuel industry, the government has also worked towards developing its tourism, finance, logistics, healthcare and technology sectors to create a diversified economy. With an overseas population of over 11 million, more than 85% of its total residents are expatriates and foreigners working or doing business in the country.

Tax-free property investment

Unlike many developed countries, where property investments are subject to income and capital gains taxes, the UAE does not tax earnings from renting or selling a property. With reduced operating costs, property investors find it beneficial to buy properties and rent them out privately.

High rental yields

A growing population means high housing demand, and with many overseas professionals relocating to Dubai and Abu Dhabi, rental yields in these cities can go as high as 9%. A thriving tourism sector also means high demand for short-term holiday lets that can yield even higher rental returns in prime areas.

World-class luxury properties

Renowned property developers like Emaar, Nakheel, Sobha, Aldar and many others have thousands of units ready for sale or under development across several leading property hotspots. Their vibrant masterplan communities include a diverse mix of luxury, featuring stunning waterfront apartments and villas with all the latest lifestyle amenities.

Safety and political stability

As one of the world's safest places to live, work and invest, the UAE provides a stable geopolitical environment for overseas investors. Low crime rates, a peaceful society, and favourable government policies make investing in the country attractive to foreigners.

Freehold ownership

Foreigners can own freehold properties across several designated areas in the country, making it easy to buy, sell, lease or transfer properties as inheritance without any restrictions. A robust legal framework and transparent transaction process mean overseas buyers find investing and owning properties safe here.

Golden visa policy

Those buying properties in the UAE would like the option to live in them hassle-free. Therefore, the government is offering investors a Golden Visa that permits up to 10 years of uninterrupted residency for property investors and their families. You can easily secure this visa by meeting the property buying thresholds for foreigners.

What are the legal and financial requirements for overseas investors in the UAE?

Due Diligence

Before making a property investment in the UAE, it is essential to check the background of the developer or seller. Also, property buying can entail additional costs, such as registration fees, agent charges, and mortgage expenses, which must be factored in and prepared for in advance.

Financing options

Depending on the type of property you want to buy and its market price, several banks and lenders will offer financing plans to suit your needs. Generally, banks provide loans covering 50-75% of the property's value for overseas borrowers.

Legal regulations

Most leading Emirates in the UAE have real estate regulatory authorities set up to protect the interests of overseas property buyers and ensure transparency and developer accountability. When buying property in the UAE, it is recommended that you work with a qualified and reputed estate agent with expertise in global property transactions.

Tips for overseas property buyers in the UAE

i. Work with trusted agents

Working with a reputed and trusted property agent like Benham and Reeves, who have all the necessary licences, will ensure you get the best services for finding the right property to match your needs.

ii. Consider off-plan property purchases

Off-plan properties still in the planning or early development stage offer much better prices than completed, ready-to-move-in residences. However, check the delivery timelines and other assurances made by the developer before making any payments.

iii. Budget for other expenses

Set aside a budget to cover related expenses, such as registration fees and service charges, in addition to the property's purchase price. Luxurious property developments may require regular maintenance and use more energy, leading to high utility bills.

iv. Stay updated about visa and ownership rules

Property ownership and residency rules for overseas buyers are subject to changes and updates. Staying updated about the latest policies will ensure you are prepared to take the proper measures when the time comes.

Are you interested in buying a property in the UAE?

Whether you plan to buy a holiday home or invest in a rental property to earn a good income, the UAE offers overseas property investors a secure and attractive real estate landscape. With a growing foreign population, tax benefits and supportive government policies, investing in Dubai, Abu Dhabi and Ras Al Khaimah offers investors many perks. Our experienced property professionals at our Dubai office are just a call away to discuss your property needs and help you find what you want.