The advantages of buying off-plan property in the Dubai real estate market are numerous. In most countries, you have to pay taxes on purchases and income as well as annual property tax. In addition, in some countries, only legal entities can rent out property for short-term rentals. The city of Dubai is different.
Still, it is common when buying real estate abroad, followed by questions on various aspects. The purchase of luxury off-plan apartments in Dubai provokes much insecurity as well. In this article, we will answer the most popular questions about buying off-plan in Dubai.
1. What Are The Guarantees Of Delivering A Property?
First of all, the developer is obliged to obtain the necessary documents to start the construction. The developer has to own the land on which the project is to be built and obtain the necessary permits from the competent authorities in the Emirate to bring the project into reality.
Some investors prefer to avoid risking and investing in already finished real estate. However, the government of the UAE is a reputable power that controls each developer and their relationships with the property buyers.
If the builder does not hand over the property you have purchased in accordance with the terms of the SPA, you can demand that the company fulfils its obligations. If the builder does not comply, you can contact the DLD and file a complaint. The DLD may try to settle the matter amicably between you and the builder. If there is no sale and purchase agreements between the developer and the buyer, then buyer protection laws state that the developing company has to return money to the investor.
2. How Can I Manage The Off-Plan Real Estate?
The property is often ready for use before the payments end. The owner rents it out and continues to pay the remaining balance. As a result, a buyer already earns and gives part of their income to pay off the debt. These are favourable terms, especially for those who only own part of the amount.
High demand for a rental property in the newly delivered residential complex is observed among the following types of visitors:
They rent mid-range properties for periods of 1-2 weeks to several months. Also, they choose premium properties for luxury vacations or short-term rentals. Tourists prefer properties in popular neighbourhoods close to main attractions and well-developed infrastructure.
– Expats and remote employees.
The next group of tenants is ex-pats and those who work online. They choose different types of properties and various locations. Some remote employees choose quiet neighbourhoods with a tranquil atmosphere, while others desire to live among the city’s hustle and bustle.
– Entrepreneurs and people moving permanently.
These people are more interested in long-term rentals. Their choice of housing greatly depends on whether they relocate single or with families, or first time buyers, or experienced investors and what types of business they have. Many aspects should be taken into account.
3. Do I Need To Register The Agreement Of The Lease?
Most off plan real estate is purchased for renting out. The potential landlords are to be aware of the following. At the stage of the lease deal, the parties negotiate all the terms of the lease, not exceeding the norms of the law, and compile the agreement. Both parties, including the developers must read the contract attentively, as no further changes can be introduced.
The law of the UAE states that each real estate rental transaction is mandatorily registered with RERA. For the convenience of landlords, it is now possible to carry out the lease registration through the Internet-based system Ejari. By law, there is still no punishment for failure to comply with the mandatory registration of rental transactions.
However, the landlords should stand for registration as it excludes the impossibility of applying to judicial authorities to protect their rights and interests in case of disagreements and disputes between the parties, as in the case of a non-registered agreement.
Real estate agency in Dubai Dubai-Luxury.Property works in cooperation with reputable developing companies. Offering real estate off-plan, they aim at delivering profitable housing for leasing and comfortable accommodation for permanent staying. Flexible payment plans and affordable prices make luxury property in Dubai a reasonable decision.
Do not hesitate to invest in off-plan premium apartments in Dubai. Ownership of stylish real estate contributes to your status, confidence, and pocket.