A large number of properties on the market for sale are new properties that have not yet been built and are often sold to other investors even before construction is completed. This type of investment is called “flipping”.
In any case, the investor is advised to hire a lawyer who would help carry out all the necessary checks and carry out the purchase process correctly. The most common real estate investment is investment in flats for sale in Dubai because the price is relatively affordable and it can bring good extra income from renting it out.
Where a foreign investor is allowed to purchase property in the UAE?
The UAE does not have a general federal law regarding property rights to real estate and its registration. Thus, each particular emirate has its own regulations and procedures applicable to real estate transactions.
Investing in real estate in Dubai
In 2006, Dubai passed a law that allowed foreign investors to obtain ownership of real estate in certain areas of Dubai, which were established by this law. Most of these areas have fairly popular names.
Since there may periodically appear new areas allowed for foreign ownership, it is always necessary to clarify the listings of objects when intending to invest in Dubai. The listings are available on the Dubai Land Department website.
Consider legislation, traditions and expert opinion
An investor, when investing in Dubai, must have a full understanding of their rights and risks associated with buying property in Dubai, however, as in any country in the world. Of course, if the investor is a foreigner, then it is necessary to carry out even more thorough checks and research of the legislation, since some laws or market strategies may be completely different from what the investor expects.
It is important to consider what exactly in Dubai can affect the value of real estate, because each country has its own traditions. If, during the study, it is clear that the property has any obvious shortcomings, then this will give rise to negotiations on a price reduction.
How to make a power of attorney correctly when investing in Dubai real estate?
A power of attorney is a tool by which an investor can authorize a trusted person to act on their own behalf in a planned transaction.
In the UAE, the use of power of attorney plays a significant role in real estate transactions. This is understandable, because not every investor can allocate enough of their time to conduct a real estate transaction, and it may take not only hours, but days. The only way out, of course, is to use a power of attorney.
Of course, before issuing a power of attorney, the investor must ensure that the trustee is sufficiently reliable. These are usually trusted relatives, friends, law firms, or companies licensed to conduct property transactions.
Always consult a lawyer when drawing up a power of attorney, as the UAE has certain requirements for a power of attorney when dealing with real estate.
AX Capital will help you buy property in Dubai
Purchase of real estate can be a very easy and pleasant thing but we advise you to always rely on professionals. AX Capital can be your partner in any questions concerning real estate in Dubai.