Buying Property In Dubai - A Comprehensive Guide

Buying process in Dubai

Dubai is known for its luxurious properties, impressive developments, and lucrative investment opportunities. Welcoming buyers of all nationalities, whether they live locally or abroad, Dubai offers a great place to buy a property. However, as a newcomer, understanding the intricacies of the market can be daunting.

There are 10 key steps to buying a property in Dubai:

1. Set your budget

2. Apply for pre-approval

3. Choose an agent

4. Prepare your documents

5. Choose the right location

6. View properties

7. Make an offer

8. Sign the MOU

9. Hire a conveyancer

10. Transfer the property

This comprehensive buyer’s guide is designed to help you understand the process of buying a property in Dubai and prepare you to confidently take the next steps in your real estate journey. We’ll break down the key steps to buying a property. 

1. Define your budget

The first step is deciding on your budget and ensuring that these funds will be accessible in the UAE.

2. Apply for pre-approval

If you plan to purchase a property using a mortgage, it is very important to get pre approval. Pre-approval confirms your eligibility to borrow and shows sellers you are serious. 

Its a good idea to speak to a mortgage broker in Dubai at this point. They can help you understand the best financing options for you based upon your circumstances.

3. Find an experienced real estate agent

Working with an experienced agent can be invaluable, especially when they specialize in the type of property or specific community you're interested in. Whether it's a particular neighborhood, a certain property type, or even off-plan projects, choosing an agent with the right expertise ensures a smoother and more successful experience.

They will guide you through the entire process, shortlist properties that meet your criteria and help you negotiate the best deal. 

4. Prepare your documents

Depending on your circumstances, there are a number of documents which you could need when purchasing a property, such as your passport and visa copy. Speak to your real estate agent to understand which documents you will require and ensure you have these prepared.

5. Choose the right location

Dubai is split into lots of communities, each offering different amenities, property types and features. Ensure you carefully research communities using area guides, visits and other resources to find an area that aligns with your lifestyle preferences or investment goals. You should also understand whether your chosen community is freehold or leasehold, as this can significantly impact your investment strategy. 

6. View properties

Once you have chosen the communities, or shortlisted potential communities, that you would like to live in, its time to view some properties. Your agent should be able to assist you with finding properties that meet your criteria and then arrange viewings on your behalf. Make sure you visit multiple properties to be able to carefully consider your options and find the perfect property for you.

7. Make an offer

Once you find the ideal property, your real estate agent will submit an offer on your behalf. Ensure you have your pre-approval (if buying with a mortgage) and 10% deposit ready to fast track negotiations.

8. Sign the MOU

Once you and the seller have agreed to the terms, you will both sign a legally binding Memorandum Of Understanding (MOU), also known as a Form F. You will need to hand over a deposit cheque for 10% of the purchase price as an agency commission cheque to your real estate agent.

9. Hire a conveyancer 

Professional conveyancing is usually required when purchasing a property. The conveyancer will guide you through every step of the purchase process, ensuring all legal processes are followed. 

10. Transfer the property

On the property transfer day, you will meet with your conveyancer and the seller at the transfer office. You will need to bring your ID, the funds to complete the property purchase (in cash or manager’s cheque) and a cheque to the DLD for transfer fees of 4% of the purchase price. Once the transfer is complete, the DLD will issue you with a new title deed and the keys/access cards to the property

Property financing

Whilst the process for getting a mortgage in Dubai might be slightly different to other countries, the emirate offers globally competitive interest rates and a range of options from established banks. Here are our 5 tips for getting a mortgage in Dubai. 

1. Speak to a mortgage advisor

With lots of different mortgage providers and products available in the UAE, speaking to an experienced mortgage advisor is crucial when buying a property in Dubai. They will consider your financial situation and goals to offer you guidance on the best mortgages available and walk you through the process. 

2. Save a deposit 

When buying a property with a mortgage, you will need a deposit of at least 20% as an expat, or 15% if you are a UAE National. 

3. Prepare your finances

High levels of debt can negatively impact your chance of getting a mortgage, so you should focus on paying off debt wherever possible, particularly high interest debt like credit cards. 

4. Prepare your documents 

You will need to show various documents when applying for a mortgage. These include your passport, visa and emirates ID (if a UAE resident), salary certificates and bank statements. If you are self-employed, you will also need to show a trade license, MOA, bank statements and financial statements. 

5. Get pre-approved

Getting pre-approval confirms how much you are eligible to borrow, helping you set a realistic budget, whilst also showing sellers that you are a serious buyer, which can be crucial to negotitaitons. 

Move-in tips

Download our comprehensive buyer’s guide via the link below for our full move-in checklist, which includes:

1. Packing tips

2. Property cleaning 

3. Hiring a moving company

4. Connecting utilities

5. Completing renovations

6. Buying new furniture

7. Doing pest control

8. Updating your address

Partner with an Engel & Völkers Advisor

Engel & Völkers is known throughout the world for the unforgettable service experience that our advisors provide their clients. Our advisors offer more than a typical real estate agent, representing an elevated level of service, expertise, and results. 

If you’re ready to take the next steps in your home buying journey, contact Engel & Völkers today and let us guide you through a seamless, stress-free experience.