How Foreigners Can Buy Property in Dubai: A Comprehensive Guide

Understanding Freehold Ownership

Foreign nationals, both non-residents and expatriate residents, have the opportunity to own freehold land and property within specific areas designated for foreign ownership by the Ruler of Dubai. This provision is outlined under Law No. 7 of 2006 on Real Estate Registration in Dubai.

Types of Ownership

Freehold Ownership: This type of ownership is absolute and unrestricted by time, encompassing both the land and any buildings on it.
Musataha: This right allows the owner to invest in and construct on land belonging to another party for a period not exceeding 50 years, after which the land reverts to the original owner.
Usufruct: This right permits the use and benefit from a property belonging to another owner for up to 99 years, after which ownership returns to the original owner.

Designated Areas for Foreign Ownership

The Dubai Land Department (DLD) has specified several areas where foreigners can own freehold property, including:

The 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
Mirdif (specified plots)
Dubai Investment Park (DIP)
Falcon City
Dubai Sports City
Dubai Motor City
International City
Jumeirah Islands & Jumeirah Village

Steps to Buying Property in Dubai

Legal Due Diligence: Before purchasing, it’s crucial to verify that the property is owned by the seller or developer and is free of mortgages or liens. This can be done at a DLD office or online through DLD’s service portal.
Sale and Purchase Agreement: Draft and sign a sale and purchase agreement. The contract is available for download on the DLD website.
Register the Sale: Visit a Real Estate Registration Trustees service center or use the Dubai REST smart application to register the sale.

Required Documents and Fees

Documents:
- No-objection e-certificate (E.NOC) from the developer in freehold areas
- Emirates ID or valid passport for identification
- Legal power of attorney if a representative is involved
- Company registration documents if applicable
Fees:
- Service partners fee: AED 2,000 + VAT for sales under AED 500,000, AED 4,000 + VAT for sales over AED 500,000
- Real estate unit or villa fee: AED 250
- Land plot map fees: AED 225 for plots unified with Dubai Municipality, AED 100 for others
- Knowledge and innovation fees: AED 10 each
- Seller and purchaser fees: 2% of the sale value each

Registration Process

Through Service Centers:

Submit the required documents
Transaction details are entered and audited
Payment of fees
Necessary documents issued via email

Through Dubai REST App:

Select property purchase service
Enter booking reference number
Verify details and pay fees
Download the certificate

Documents Issued

Upon successful registration, the buyer will receive various documents, which may include:

e-Certificate of Title
Title Deed
Title Deed Usufruct Right e-Certificate
Provisional Sale Contract (Statement Certificate)
Provisional Registration Contract
Fee Balances

Final Thoughts

Buying property in Dubai as a foreigner is a well-structured process with clear legal frameworks and designated areas. By following the outlined steps and ensuring all legal due diligence is performed, foreign investors can confidently enter the Dubai real estate market. For more detailed information and the latest updates, always refer to the Dubai Land Department’s official resources