As a foreigner, buying a resale property in the UAE is similar to how you do it in other nations, but it is better to get legal advice here. Finding goods and putting in an offer is typically handled by a broker. In the United Arab Emirates, there is a two-tiered legal system, comprised of the national judiciary and local courts. As a result, there may be notable variations involving the Emirates when it comes to dealing with property issues. Below are a few of the guidelines to safeguard your property from a legal perspective.

Property investment is a good way to earn money and boost your income. However, the overall project may be affected by certain risks particularly especially if you are a first-time investor in Dubai. Your investment can be safeguarded from the danger of double taxation under certain laws, and if there are any queries regarding the regulations which you may have, you can contact a UK Lawyer in Dubai.

In the UAE, it is hard for foreign investors to buy properties. Real Estate properties in every emirate are governed by rules and regulations. Additionally, each emirate has its own authority when it comes to enacting its own laws and regulations. Furthermore, it’s worth noting the fact that there is a dual legal system in the UAE- a federal and an emirate level. Despite the fact that foreign ownership is allowed, there are restrictions to title to a particular region for people of specific countries. For ex-pats and foreigners, the location of the property is vital to purchasing a property in the United Arab Emirates. 

Checklist- 

If the developer has been certified by a regulatory agency, and you’ve found a property for sale in:

• Dubai: Regulation (3) of 2006
• Umm Al Quwain: Consult with Umm Al Quwain officials
• Fujairah: Contact the Fujairah Municipality for assistance
• Sharjah: Annulment of the property section
• Ajman: Ras al Khaimah Decree (18) of 2005.

Be sure that:

• You’re aware of when and what you’ll probably have to pay.
• You have got confirmation that at whichever community you choose, foreign investors are permitted to purchase a property.
• It has been examined by either you or your lawyer from the Best UK Law Firms In Dubai so that you will be aware of the developer’s responsibilities if the job isn’t completed within the expected timeframe.
• You might have a premium to cover, which is typically a percentage of the initial charge and the transportation fee. Representatives’ fees usually range from 2% to 3%. Verify this prior to signing any contract, and make sure there are no hidden fees.

For foreign citizens, there are designated areas where they can locate freehold and leasehold properties. To further explore these choices, you may want to consult a lawyer from the Best UK Law Firms In Dubai. It is important to do research so as to prevent potential problems down the road and it plays an important role. Independent advice should be sought prior to signing any contracts. The vast majority of foreign investors buy property upfront, directly from your developer and perform their own negotiations.

Case in point, in Dubai, Dubai Law No. (7) of 2006 allows the acquisition of freehold and usufruct properties by foreign nationals or ex-pats, respectively, for a maximum of 99 years. Foreign ownership of property is subject to certain limitations in Dubai. Getting legal advice from a lawyer in the Best UK Law Firms In Dubai is a good idea prior to entering into any contract. 

Make sure you’re completely aware of the end dates, the deadlines, and all the costs involved in the contracts. If in the event you purchase a property off-plan, you will have to pay a preliminary deposit of approximately 10%. Then, staged payments are made on a set schedule before the construction of the home is completed. Your contract should specify this. We encourage you to consult a lawyer to do so.

Checklist for Buyers

• It is obvious that you have taken into account every necessary cost to incorporate deposit, that your lender has granted your loan, and that broker charges, transport charges, and more have also been granted.
• You have spoken to a few property owners or agents that must be recorded. 
• It has been verified that you can purchase property in the desired area, as a non-resident national.
• A cost check will ensure the property you’re purchasing is being sold at a fair price. 
• As a result, you are aware of your contractual obligations and have sought advice from a UK Lawyer in Dubai and expressed any worries you have with the relevant authorities.

Checklist For Borrower: 

You’ve found a lender and determined how much you will be expected to pay each month and the amount you can borrow. Having calculated your prices so, you proposed that the amount is at the top of the cost of the whole investment. If your area bank account has been set up and all the paperwork has been submitted: 

• Identity Card
• Address and residency proof
• Statements of bank accounts
• Paystub from employer

The rental market is now highly competitive due to the recent drop in costs. 

It is important to work with registered agents. Obtaining a RERA card may prove that the agent is operating legally and not freelancing, which is against UAE law. You should be ready to pay a fee of approx 5% of the annual lease.

• Read the contract within and make sure you understand what you’re signing. Which obligations do you have?
• When it comes to maintenance and repairs, what are the landlord’s responsibilities?

In most cases, you will be asked to provide a copy of your passport and proof of residency when you find your dream property. Only then, you will be expected to pay 5% of the annual rent to the landlord to protect the asset. Furthermore, you must provide numerous post-dated checks; the amount is still determined by the landlord. You must specify when the checks will be delivered, the contract states explicitly. You may want to photocopy the checks to provide proof of what you have provided. In the UAE, it’s illegal to bounce a cheque if you don’t have enough money to cover the fee, then you will be arrested and held.

Checklist For the Renter

• Learn more about the marketplace, discuss with local real estate agents, check out local papers, etc.
• Make sure your agent is registered if you’re hiring one. 
• Ensure you are aware of your responsibilities within your contract – read the fine print
• Get legal advice from the Top British Law Firms prior to entering into a contract.
• Find out whether your contact needs to be registered.

About GH International, One of the Best UK Law Firms In Dubai

GH International earned an unmatched position as one of the most established British Law Firms in the Middle East. International and national clients turn to the attorneys at our Top UK Law Firms In Dubai, London and Iraq across the complete array of their corporate and business requirements such as company incorporation, Mergers and Acquisition, Intellectual property and more.