Buying property in Dubai: A guide for investors

Buying property in Dubai: A guide for investors

Buying property in Dubai: A guide for investors

Buying property in Dubai: A guide for investors

  • Tripti Rastogi
  • (0)
  • (662)
  • October 17, 2023

Tips and Advice, Buy Property in dubai,investment properties,property in dubai,Rera


Buying property in Dubai: A guide for investors

When searching for properties in Dubai, investors should consider suitability (i.e., whether the property is located in an area designated for foreign ownership), rental yield, and rental demand in the area. Guest Ready can advise investors on areas with the best yield and guide you through the process of buying property in Dubai.

The process of buying a property in Dubai

Dubai is a city that attracts many real estate investors because of its high rental yields and lack of property tax.

Dubai also has an ever-growing population, is extremely popular with tourism places in Dubai, and is constantly offering new development opportunities. Many areas in Dubai are developing rapidly, with new innovative technologies and interesting structures making up a large part of the area.

1. What are the requirements for buying a property in Dubai?

Citizens of the United Arab Emirates (UAE) or the Gulf Cooperation Council (GCC) can purchase real estate anywhere in Dubai, while foreign investors can only buy property in foreign-owned areas designated by the ruler of the Emirate of Dubai. These areas are:The Palm Jumeirah

Palm Jumeirah

● The World Islands

Downtown Dubai

● Old Town

Burj Khalifa

Business Bay

Dubai Marina

Emirates Hills

Jumeirah Lakes Towers (JLT)

● Jumeirah Beach Residence (JBR)

● Discovery Gardens

Arabian Ranches

● Midriff (specified plots)

● Dubai Investment Park (DIP)

● Falcon City

Dubai Sports City

● Dubai Motor City

● Dubai South

● International City

● Jumeirah Islands & Jumeirah Village

2. How much tax do I pay when buying a property in Dubai?

There is no income or inheritance tax payable on real estate in Dubai, although foreign investors may be subject to income tax in their country of residence if they do not live in Dubai. However, a transfer fee of 4% is payable to the Dubai Land Department when a property is transferred to this authority. In addition, a "Housing Fee" of 5% of the average rental value of the area is payable monthly.

Due to the low taxation, buying real estate in Dubai is a very attractive option for foreign investors. In combination with the good rental yields, there is the possibility to earn a high income with investment properties in Dubai.

3. How to find a property in Dubai?

Several websites are excellent for finding investment properties in Dubai, including Find Properties, Rightmove, Bayut, and PropertyFinder. In addition, foreign investors can also contact real estate agents in Dubai directly to find investment properties.

When searching for properties in Dubai, investors should consider suitability (i.e., whether the property is located in an area designated for foreign ownership), rental yield, and rental demand in the area. Guest Ready can advise investors on areas with the best yield and guide you through the process of buying property.

4. Where can you buy real estate in Dubai?

Palm Jumeirah

The Palm Jumeirah, built between 2001 and 2006, is a series of man-made islands in the Persian Gulf. With a mix of commercial and residential units, the area is popular with investors and tourists. The average selling price for an apartment on the Palm Jumeirah is AED 3.4 million, or about $926,000 or £789,000, making it the most expensive area in Dubai. The average selling price for a garden home is AED 18.5 million, which is USD 5 million or £4.3 million.

The average gross rental yield for an apartment is 5.33% for apartments and 3.39% for garden houses. The tourist nature of Palm Jumeirah makes it a fantastic place to invest in short-term rental opportunities.

CityWalk Dubai

The average selling price for an apartment is about AED 3.2 million, which is approximately $872,000 or £740,000. The area is primarily a neighborhood with shopping, entertainment, and restaurant facilities for residents and tourists place in Dubai. The average gross rental yield for investment apartments in CityWalk is 5.25%.

Jumeirah Beach Residence

Jumeirah Beach Residence is another of Dubai’s most desirable and expensive areas, with an average selling price of approximately 2.4 million AE or USD 650,000. This is equivalent to approximately £550,000.

This stretch of coastline on the Persian Gulf was completed in 2010. The average gross rental yield is 4.76%, making it an attractive opportunity for foreign investors looking to invest in short-term rental properties.

Dubai Marina

The average gross rental yield in the Dubai Marina region of Dubai is 6.3% for apartments, and the average selling price is about AED 1.6 million, equivalent to $436,000 or £370,000. This man-made canal city is not yet completed but is expected to provide housing for about 120,000 people.

Arabian Ranches

Arabian Ranches is a gated villa community in Dubai that opened in 2004. The development consists of three phases, the third of which is still under construction. To date, there are nearly 6000 homes in the area, as well as shopping centers, a golf club, and an equestrian center.

The average rental yield in Arabian Ranches is 4.9%, and the average price of a villa is about AED 6.2 million, which is about USD 1.7 million or £1.4 million. The cheapest properties in Arabian Ranches are located in Al Reem, while the most expensive villas are found in Polo Homes.

Dubai Downtown

Dubai Downtown is home to some of Dubai’s most famous attractions and therefore attracts a large number of tourists every year. Short-term rental apartments are sought after by a large number of people in the area, making it a very popular option for foreign investors who appreciate the strong rental demand.

The average selling price of an apartment is just over AED 2.1 million, which is equivalent to USD 572,000 or £485,000. The average gross rental yield is 5.43%, making it a good opportunity for investors compared to many other popular areas in Dubai.

5. How to avoid problems when buying property in Dubai?

Some of the problems that foreign real estate investors may encounter when buying a property in Dubai are:

● Fraud
● Buying a property in the wrong area
● Buying fake property or property that is sold without the legal right to do so
● Buying property at too high a price
● False or missing papers
The best way to avoid problems when is to check the real estate agents to make sure they have the right licenses. Before you start buying property, you need to make sure that the real estate agent or developer is registered with the Real Estate Regulatory Authority (RERA).
In addition, foreign investors must ensure that their real estate agent has completed the proper paperwork for the property purchase, including a Letter of Intent (MOU) and a No Objection Certificate (NOC).
Foreign investors must ensure that they have done their due diligence on the neighborhood in which they intend to buy and comparable property prices and rents in the area. This is to prevent them from paying too high a price for a property and making a poor investment decision as a result. Guest Ready advises foreign investors on rental rates and property prices, calculates rental yields, and provides tips for the future.

6. Why buy a property in Dubai?

Many foreign investors choose to purchase real estate in Dubai because of the high rental yields, lack of property taxes, growing population, constant development opportunities, visa requirements and low real estate costs.

First, rental yields in Dubai are among the best in the world. This means that the annual income from investment properties, especially short-term rental properties, is usually a good percentage of the purchase price of the property, which represents a good return on investment

After purchasing a property and paying the transfer fee to the Dubai Land Department, foreign investors do not have to pay property taxes on investment properties. This helps to increase the profits earned from investment properties. Keep in mind that if you are not a Dubai resident, you may be subject to income tax in the country where you live.

7. Is now a good time to buy real estate in Dubai?

Now is a good time to buy real estate in Dubai because property prices and rents are on the rise. Since the coronavirus pandemic, tourism place in Dubai has developed, and short-term rental properties are more popular than ever with tourists and investors.

8. Can foreigners buy Real Estate in Dubai?

Yes, foreigners can purchase property in Dubai in designated areas for foreign real estate ownership. These areas are designated by the Ruler of the Emirate of Dubai and include regions such as Palm Jumeirah, Downtown Dubai, Dubai Marina, Arabian Ranches, and Jumeirah Beach Residence.

Foreign investors are advised to buy property in Dubai through regulated real estate agents to reduce the risk of fraud and fake properties.

Dubai has an ever-growing population, is extremely popular with tourists, and is constantly offering new development opportunities. Many areas in Dubai are developing rapidly, with new innovative technologies and interesting structures making up a large part of the area.

Foreign investors who purchase real estate in Dubai worth more than a certain amount are entitled to a residence visa. The duration of these residency visas is roughly proportional to the value of the property, which means that owners of properties with a higher value can expect longer residency visas.

Finally, many of the properties in Dubai are cheaper than anywhere else in the world with similar rental yields. This makes them accessible to a wide range of real estate investors from around the world. If you are new to the short-term rental market, GuestReady offers several tools to help you calculate your property's daily rental rate and make informed decisions.

9. Is buying a property in Dubai a good investment?

Yes, the lack of property taxes and the growing population make Dubai a great place to invest and also a Great tourism place in Dubai. The visa program makes it an attractive investment opportunity, as do the high rental yields and relatively low property prices.

Therefore, buying property in Dubai is a good investment due to the high rental yields, lack of property taxes, constant development opportunities, visa requirements, and low property costs.

Buying property in Dubai: A guide for investors

10. Invest in Dubai with Guest-Ready

At Guest Ready, we are experts in the short-term rental market in Dubai. Contact us to find out about the areas with the highest rental yields and how we can help you buy property in Dubai, whether it's a holiday home or an investment property only.

We help investors maximize their rental income by optimizing online listings, coordinating cleaning and maintenance services, property setup, and assisting with professional photography.

Loading blog data...

Popular Property


Real Estate event in Hyderabad

Expo in Hyderabad 2024

Top villa in Dubai

Tourist places in Dubai

Things to do in Dubai

New launch Projects in Dubai

New launch Property in Dubai

Ready To Move In

3BR Safi Townhouse For Sale

Damac Properties

Elegance Tower

Emaar The Cove

Dubai Creek Harbour

Emaar The Cove 2

Park Field Apartments

Madinat Jumeirah Living

Lamtara Apartments

Sobha Hartland

Crest Grande Tower

3-bedroom villas

Cascades Villas

4 bedroom premium apartments

Meraas Holding

Meraas Bluewaters Residences

Property Investment

Azizi Star Residential Apartments

Dubai Marina

Azizi Star

Villa Property for sale

Dubai Science Park

Opalz Apartments

duplex property for sale

townhouse property for sale

apartment property for sale

Eleganz by Danube

Viewz Residence

Jumeirah Village Triangle

Fashionz Apartments

Gemini Property Developers

Gemini Splendor Townhouses

Gemini Splendor Apartments

Gemini Splendor Apartments & Townhouses

Danube Properties

Al Warsan

Danube Petalz

Danube Properties

Al Furjan

Danube GEMZ

wealther in Dubai

Rainfall in Dubai

Bharat Mart

Bharat Mart in Dubai

Location in Dubai

Tourism place in dubai

Best Tourism Place in Dubai

BAPS hindu temple

Tourism Place in Dubai

Hindu temple

The Atria




Republic Day

Aljada Sharjah

2 bedroom apartments.

ARADA Developments

Apartments at Aljada Sharjah

Tiraz Apartments

real estate

Apartments and villas

Real Estate Transactions

Toursim place in Dubai

Visit place in Dubai

Best tourist place

The Dubai Mall

Burj Khalifa

Places to Visit in Dubai

Real Estate In Dubai

Dubai Real Estate Trends

Dubai Real Estate Market

Dubai Real Estate Investments

Dubai Real Estate


Dubai's property market

off-plan properties in Dubai


Top developer

Developers in Dubai

Property Developers in Dubai

Hyderabad Expo 2024



Real estate expo



Toursim place in Dubai

Transportation service


taxi service

Dubai taxi company

Dubai taxi


Best tourists place

Tourist place



Best location in Dubai

Localities in Dubai


buy apartment in Dubai

Real estate

Best tourism place in dubai

Dubai real estate

rent property in dubai

Rents in Dubai

Real estate

Dubai rent


binghatti properties

Mercedes benz

Downtown Dubai

Dubai properties

Villa In Dubai

Property in Dubai

Dubai rental apartments

Burj khalifa

Real Estate agents

Apartment in Dubai

real estate investing

Investment in dubai

Property for investment

Jumeirah lake towers

Damac hills dubai

Dubai rental properties

Rent apartment in dubai

retirement visa in dubai

sell property in dubai

Rent property in dubai


property in dubai

real estate market

investment properties

Buy Property in dubai

invest in dubai

real estate developer in dubai

new launch project

bellevue tower

Bella rose

Dania apartment

prime view


Burj khalifa

top floor of the Burj Khalifa

safest place in dubai

cleanest city


Safest city in dubai

jumeirah beach


downtown dubai

luxury homes

jumeirah bay

2br apartment

central park

city walk

central park at city walk

jumeirah beach

central park apartments

jumeirah bay

3br apartment

marina promenade

port de la mer


sur la mer townhouses

3br townhouse

jumeirah bay

antonio citterio

downtown dubai

sheikh zayed road

jumeirah bay

bvlgari marina lofts

bvlgari marina

dubai skyline

jumeirah beach road

luxurious living

jumeirah bay


bvlgari resort

arabian gulf

meraas holding

pearl jumeira

foreign investors



apartment for sale in dubai

1 bedroom apartments

dubai flats

luxurious life

wilton park residence

1 bedroom apartments

apartments for rent

3 bedroom apartment



dubai property

luxurious lifestyle

mohammed bin rashid city

dubai real estate



leisure places

luxury apartments



joya blanca residences


elegant homes

ellington properties

jumeirah village circle

eaton place


Zero tax investment

waves grande

transportation system in Uae

Tower in Dubai

Top property in Dubai

The crest apartments

Tax-free Investment

Sobha Reserve in Dubai

Sobha Reserve

Sobha Realty

Sobha grande

Residency in Dubai free

real estate property in dubai

Real Estate Investment in Dubai

Real estate broker

Property in Dubai at cheapest Price

Property in Dubai

offplan property in dubai

off plan property in Dubai

Nakheel Properties


Investors in Dubai

Investores in Dubai

Invest in Dubai


Habtoor Tower in Dubai

Golden Visa

Get Dubai Golden Visa

Free golden visa in Dubai

Expo Golf villas

Emaar Properties


Dubai Property Market

Dreams Home in Dubai

Dream Home In Dubai

Deyaar Properties

Deyaar New Launch Mar Casa

Deyaar New Launch

Damac Properties

Creek palace aparments


best real estate agent in Dubai

best property in dubai

Best property developer in Dubai

best areas to invest in dubai

Best Area to Buy Property in Dubai 2023

best apartments in dubai

Azizi Developments

Area to Buy Property in Dubai

Apartments in Dubai

apartments for sale in dubai

2 bedroom set property in dubai