Discover the legal requirements for buying #propertyintheUAE. Understand UAE property law, property rights, and key considerations for property buyers in the #UAE. Learn how to make secure and compliant real estate investments in #Dubai and beyond.
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00:00What are the conditions to purchase a property in the UAE?
00:05The UAE is a popular destination for real estate investment due to its booming economy,
00:11attractive tax benefits, and stable political environment.
00:14Purchasing a property in the UAE can be an attractive investment opportunity for local
00:18and international buyers. However, purchasing a property in the UAE can be a complex process
00:24with several legal requirements and regulations that must be followed to ensure a smooth and
00:28legally compliant transaction. In this video, we will explore some of the key conditions that must
00:33be fulfilled to purchase a property in the UAE. Ownership restrictions. There also exist certain
00:39restrictions that must be considered while purchasing a property in the UAE. Under the
00:43civil code property rights include freehold, usufruct, and musataha. Long-term leases in the UAE are
00:50generally governed by the laws of each respective emirate. Freehold is the most superior form of
00:55property right, as it allows for full ownership. Whereas usufruct and musataha are more restrictive
01:00in nature allowing ownership for a limited time with some restrictions. Residents cannot purchase
01:05properties in any location that they desire. The government of UAE has allocated certain designated
01:10areas in all the emirates that are specified for foreign ownership, which are generally known as
01:15freehold properties. There are relevant laws in place for each emirate to govern these areas.
01:20Further, some specific regulations and requirements need to be met. Legal status. Buyers must ensure
01:27that the property they are purchasing has a clear legal status. The property should not be involved
01:32in any legal disputes of encumbrances. Buyers should also verify the ownership of the property
01:37and ensure that the seller has the right to sell the property. Payment of deposit. Buyers are required
01:43to pay a deposit of at least 10% of the property price to secure the property. Financing. If you plan to
01:49finance your property purchase in the UAE, you must first ensure that you have the necessary financing
01:54in place before proceeding with the transaction. This may include obtaining a mortgage or other form
01:59of financing from a local or international lender. Due diligence. Buyers should conduct thorough due
02:05diligence before purchasing any property in the UAE. This includes verifying the property's ownership
02:10and legal status before the appropriate authority of the respective emirate to ensure that there are no
02:15disputes or legal issues. It is important to conduct thorough due diligence to ensure that the
02:19property is free of any liens or encumbrances and that all the necessary approvals and permits have
02:24been obtained. Contracts. Buyers must ensure that all contracts and agreements related to the purchase
02:30are legally compliant and that they accurately reflect the terms of the agreement. For example,
02:36a sale purchase agreement must include details such as the terms and conditions of the sale,
02:40including the purchase price, payment terms and delivery date. Registration and transfer.
02:46Finally, you will need to register and transfer ownership of the property under the UAE law.
02:51The transfer of ownership of the property is completed through the issuance of a title deed by the
02:55Dubai Land Department, DLD, or the respective land department of the emirate where the property is
03:01located. Buyers are required to pay a range of fees, including registration fees, agency fees and
03:07transfer fees, which can range from 2% to 7% of the purchase price. Overall, purchasing property in
03:14the UAE can be a complex process that requires careful consideration of legal and regulatory
03:19requirements. It is important to note that the legal requirements for purchasing a property in the UAE
03:25may vary depending on the emirate where the property is located and the type of property that is being
03:30purchased. Property buyers in the UAE must ensure that they meet all the necessary conditions and due
03:35diligence to ensure a smooth and legally compliant purchase process. Therefore, it is advisable to
03:40seek professional legal advice before making any property transactions in the UAE.