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Property Purchase for Tourists in UAE

30/8/2021

Residents and tourists can now purchase a property in the UAE.

Found a property that you really like but you are only a tourist in UAE? No problem, continue reading for the how-to. Both residents and tourists can purchase real estate in designated freehold areas in Dubai. According to Article 3 of Regulation No. 3 of 2006 which determines the area of ownership of non-national real estate in the Emirate of Dubai and designated land plots to be sold as freehold property. The property title deed is issued by the Dubai Land Department. It is important to distinguish between off-plan property purchases and the purchase of completed properties in terms of completion dates and developers and that is due to completed properties being a safer purchase than off-plan properties.

After paying the price, the uncompleted property can be directly transferred to the buyer and the documents can be signed after which the land department can be contacted to record the purchase. The law organized the purchase of off plan property pursuant to Executive Committee Resolution (13) of 2008, which involved the organization of initial real estate registration in Dubai. The law imposes some restrictions on developers to protect the buyers right.

However, despite this provision, some problems may arise in terms of completion and construction. Before purchasing a property in Dubai, the buyer should ensure that the project has an escrow account and that all documents related to the property are correct and legal. We also recommend that you check and verify the original title deed and have a clear understanding of all the details mentioned in it.

The buyer can also ask the seller or real estate developer to provide a no-objection certificate (NOC) to confirm to the buyer that the seller or the owner has paid all related fees. Buyers can also check the status of the project with the Dubai Land Department and whether the seller has mortgages on the property. When an owner sells a mortgaged property in Dubai, the transaction becomes a bit complicated. In this case, the owner must pay the original mortgage on the property in full before applying for the title deed and NOC. The buyer must also sign an agreement with the developer, setting out the terms and conditions of the agreement and ensuring that there is no ambiguity between the buyer and the seller regarding prices, payment methods and other considerations that are important to both parties.

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