What you should know before buying a property in Dubai
There’s a lot to consider when buying a property in Dubai. Here’s our guide of what you need to consider:
1) Decide between off-plan or secondary market
Do you require a new-build or an existing ready property? With some developers offering extremely attractive payment plans on off-plan projects; such as paying only 30% upfront and the remainder upon completion, it gives the chance to purchase to those who were originally priced out from buying off-plan. However, the secondary market can enable buyers to mortgage a property with just a 25% down payment which may be a bit more realistic for some. Something else to keep in mind is that buying off-plan can be a risky asset as completion dates can vary and developers may halt the build etc, making the secondary market a much lower risk purchase. However, this lower risk comes with a higher price tag, as secondary market properties typically tend to be more expensive.
2) Deal with a registered broker
When searching for a property and dealing with an agent, always ask them to display their RERA registered broker number when you first meet. They will typically display their RERA card as proof. It may also be worth asking for some references from their previous clients.
3) Decide which community suits you
When buying, you need to keep in mind the longevity of this purchase. In 5 years time, you may have a family; how good is the surrounding area for children? How well rated are the nurseries and schools nearby? Also consider long-term developments coming up around the area such as malls, schools, and hospitals. For example, buying in Dubai South may seem a bit further out than other villa communities, however with Expo 2020 not far away, the development of the metro lines and surrounding communities will make it a hot spot to live within the next few years.
4) Do your building research
It’s not enough to just look at the community; when buying you also need to consider the specific building or complex you are purchasing a unit in. Is the developer well-respected with a good track record? Is the building maintained well? What are the service fees? Speak to neighbors and those you see when viewing the property. They are your best source for information on the building, complex and developer.
5) Consider all of your costs
Make sure you are prepared for all of the costs associated with moving so you can budget for these accordingly.