Everything You Need To Know Before You Buy In Dubai, Abu Dhabi Or The Northern Emirates
Buying property in the UAE has become one of the most popular decisions for expats and global investors alike. The country offers:
- Stable, tax-efficient residency options
- Strong rental demand from a young, mobile population
- Transparent digital property registration systems
- World-class infrastructure and community living
- A highly international workforce and investor base
At the same time, the UAE property market is sales-led, not advice-led. Most buyers first meet:
- Developer sales teams
- Commission-driven brokers
- Influencer marketers promoting launches
Very few buyers speak first to an independent adviser or do structured planning before committing. This guide is designed to change that.
By the end of this guide, you will understand:
- Whether renting or buying makes sense for your situation
- Where foreigners can legally buy in each emirate
- The difference between off-plan, ready and secondary market
- How to perform real due diligence before committing money
- How mortgages work for residents and non-residents
- How much fees, taxes and service charges truly cost
- How to evaluate yields realistically instead of marketing promises
- How property links to visas and residency planning
Common questions about buying property in the UAE
Can foreigners buy property in the UAE?
Yes. Expats can purchase freehold or long-term leasehold property in designated areas depending on the emirate.
Is buying property a path to residency?
Yes. Qualifying property may support Property Investor Visa or Golden Visa categories subject to valuation criteria.
Are there property taxes?
There is no annual property tax. However, there are transaction fees, registration fees and ongoing service charges.
Is buying off-plan safe?
It can be when executed correctly. Risk relates to developer stability and delivery, not the concept itself.
Can I get a mortgage as a foreigner?
Yes. UAE banks lend to residents and non-residents with varying loan-to-value ratios and eligibility requirements.
Where expats can buy property in the UAE
The UAE is not a single property market but seven separate emirate-level markets with different regulators and rules. The largest real estate markets for foreign buyers are:
- Dubai
- Abu Dhabi
- Ras Al Khaimah
- Sharjah and Ajman (with more restrictive rules)
Dubai – the most liquid and international market
Dubai offers:
- The deepest resale market
- The highest level of international investor participation
- Strong infrastructure for short-term rentals and tourism
- Huge variety of master-planned communities
Popular freehold areas include:
- Dubai Marina – High-rise waterfront living, strong rental demand
- Downtown Dubai – Premium central location beside Burj Khalifa
- Palm Jumeirah – Iconic beachfront villas and apartments
- Jumeirah Village Circle – Budget-friendly apartments and townhouses
- Dubai Hills Estate – Family villas, schools and parks
- Business Bay – Central business district apartments
- Arabian Ranches – Established suburban villa community
Dubai Land Department (DLD) oversees all buying, selling and registering.
Abu Dhabi – capital city stability and community lifestyle
Abu Dhabi traditionally had stricter ownership rules but now allows foreign ownership in major investment zones such as:
- Saadiyat Island – Premium beachfront communities and cultural district
- Yas Island – Entertainment hub with Formula 1 and theme parks
- Al Reem Island – High-rise living close to city core
- Masdar City – Sustainability-focused living
Abu Dhabi attracts:
- Families seeking quieter lifestyle
- Government and corporate professionals
- Long-term residents rather than transient populations
Northern Emirates – affordability and lifestyle alternatives
Ras Al Khaimah
- Strong tourism growth
- Freehold beachfront projects
- Attractive price-to-value ratio
Sharjah
- Mostly leasehold for expats
- culturally conservative family-oriented environment
Ajman
- Lower entry price points
- Suitable for yield investors willing to research carefully
Comparison table – Dubai vs Abu Dhabi vs Northern Emirates
| Factor | Dubai | Abu Dhabi | Northern Emirates |
|---|---|---|---|
| Liquidity | Very High | Medium | Low–Medium |
| Price Level | Medium–High | Medium–High | Low–Medium |
| Short-Term Rental Market | Very Strong | Limited/regulated | Limited |
| Lifestyle | Fast-paced, international | Calmer, family-oriented | Quieter |
| Typical Investor Profile | Global investors & expats | Long-term residents | Yield-seeking value investors |
| Visa Impact | Strong | Strong | Varies |
Freehold vs leasehold vs usufruct – what you are really buying
Understanding what you legally own is as important as the property itself.
Freehold ownership
- You own the property outright
- You can sell, rent or pass it to heirs
- Most common in Dubai freehold areas
Leasehold ownership (usually 50–99 years)
- You purchase long-term usage rights
- Land ownership remains with original freeholder
- Renewal terms must be examined carefully
Usufruct rights
- You gain the right to benefit from the property for a set term
- Commonly used in some commercial or special projects
Important: Always confirm ownership type on official title documents, not marketing brochures.
Ready vs off-plan property – which strategy fits you?
Table – Ready vs Off-Plan Comparison
| Criteria | Ready Property | Off-Plan Property |
|---|---|---|
| Ability To Inspect Unit | You See Actual Unit | You Rely On Renderings |
| Rental Income | Immediate | After Completion |
| Price Level | Market Price | Often Lower Entry |
| Risk Level | Lower | Higher Construction & Delay Risk |
| Payment Structure | Full or Mortgage | Staged Payments |
| Developer Influence | Lower | Very High |
When ready property makes sense
You may prefer ready property if you want:
- Immediate move-in for your family
- Immediate rental income
- Known community, facilities and neighbours
- Bank valuation certainty
When off-plan makes sense
Off-plan is attractive when:
- You want lower staged payments
- You believe the surrounding area will appreciate
- You are comfortable with delayed move-in
- You are buying from large, reputable developers
The full step-by-step process of buying property in the UAE
Step 1 – Strategy and budget definition
Before speaking to agents or developers, clarify:
- Are you an investor, end-user or hybrid?
- How long do you expect to hold the property?
- Which visa strategy are you aligning with?
- How will the property be financed?
This determines everything that follows.
Step 2 – Mortgage pre-approval (if applicable)
Mortgage pre-approval determines:
- Maximum eligible loan amount
- Required down payment
- Affordability limits
- Monthly repayment impact
This prevents wasted time and unrealistic property viewings.
Step 3 – Property selection and offer
You then:
- View shortlisted units
- Compare layout efficiency
- Assess view, noise, parking and access
- Submit offer or booking request
Step 4 – Legal and technical due diligence
You should check:
- Title deed status
- Developer escrow arrangements
- Outstanding service charges
- Building management reputation
- Snagging or structural issues
Step 5 – Contract and deposit
You sign:
- MOU or sale contract (secondary market)
- SPA (off-plan direct from developer)
Deposits typically range from 5–20%.
Step 6 – Transfer and registration
Final stage includes:
- Transfer appointment
- Settlement of transfer fees and commissions
- Mortgage registration where applicable
- Issuance of title deed or electronic ownership certificate
The full cost of buying property in the UAE
Many first-time buyers underestimate fees.
Upfront transaction costs typically include:
- Property transfer fee (approx. 2–4% depending on emirate)
- Title registration fee
- Agent commission (typically 2%)
- Trustee office fees
- Mortgage arrangement and valuation fees (if applicable)
- Developer admin fees for new purchases
Ongoing costs include:
- Annual service charges per square foot
- Building maintenance reserve funds
- Insurance
- Maintenance and furnishing
- Property management fees if renting it out
Yield reality – not brochure promises
Gross yields are often advertised as 8–12%, but this excludes:
- Service charges
- Vacancy periods
- Agency fees
- Maintenance
- Mortgage costs
Realistic table – Example rental yields
| Metric | Example Apartment |
|---|---|
| Purchase Price | AED 1,200,000 |
| Gross Annual Rent | AED 96,000 |
| Gross Yield | 8.0% |
| Estimated Annual Service Charges | AED 18,000 |
| Void/Maintenance/Management | AED 10,000 |
| Net Annual Income | AED 68,000 |
| Net Yield | 5.6% |
Conclusion: Always calculate net yield, not gross.
Mortgages and finance – what expats must know
Residents vs non-residents
| Factor | Residents | Non-Residents |
|---|---|---|
| Maximum LTV | Higher | Lower |
| Interest Rates | Lower | Higher |
| Documentation | More detailed | Simpler but stricter |
| Bank Choice | Wider | Limited |
Typical mortgage requirements
Banks generally assess:
- Income level and stability
- Employer profile or business income
- Existing debts and liabilities
- Age and nationality limits
Internal linking:
→ Full UAE Mortgage Guide sub-pillar
Buying as an investor vs buying for own use
If buying as an investor, prioritise:
- Net yield after all costs
- Tenant demand
- Transport access and amenities
- Historical vacancy rates
- HOA and service charge trends
If buying for own use, prioritise:
- Schools
- Commute
- Community quality
- Space requirements
- Long-term family plans
Common mistakes buyers make (expensive ones)
- Buying based purely on marketing renderings
- Not analysing service charges
- Over-reliance on broker’s opinion
- Buying off-plan without developer due diligence
- Confusing visa eligibility assumptions
- Buying solely based on “friend recommendations”
- Underestimating cooling and maintenance costs
- Over-leveraging into multiple units
Due diligence checklist before you commit
Before you pay a deposit, you should confirm:
- Developer track record and financial strength
- True market pricing using multiple sources
- Amount of surrounding construction planned
- Title and escrow protection
- Community rules on pets, holiday rentals, noise etc
- Realistic exit strategy
Internal linking suggestion:
→ Downloadable PDF checklist
Internal linking:
→ Property Investor Visa guide
→ Golden Visa real estate pathway
How PlanUAE helps buyers
PlanUAE focuses on independent strategy, not sales commission.
We help you:
- Decide whether to buy now or later
- Select emirate and community
- Model mortgage and cash-flow impact
- Link property to your visa and financial plan
- Connect you to vetted mortgage, legal and agency partners
Call to action
Make your UAE property purchase with clarity and confidence
✓ Independent advice before speaking to sales agents
✓ Realistic cash-flow and yield modelling
✓ Support with residency, banking and financial planning
✓ Access to vetted legal, mortgage and property partners
→ Check your buying power in the Expat Planning Portal
→ Request a property strategy consultation