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Author: badmin

What is Sales Progression / Conveyancing?

Posted on by badmin

“We streamline the legal process of transferring property ownership, offering a seamless and personalized conveyancing service. Our team will handle all the legal requirements to ensure your property is ready for transfer”  — Vision Conveyancing 

What is Conveyancing? 

Conveyancing is the branch of law that covers the entire legal and administrative work required to ensure a Real Property purchase is valid under law, it also entails the communication with all concerned parties and stakeholders in order to transfer the legal title of Real Property.

What is Sales Progression?

Sales progression involves overseeing the property transaction from the moment a seller accepts an offer until the completion and transfer of the property to the buyer.

The ever-changing rules, regulations and fees involved in selling or buying a property in Dubai can sometimes make it difficult to stay updated with. The is why our Partners at Vision Conveyancing make sure they provide our clients with most streamlined and stress-free process, starting from signing the sale contract until the final property transfer.

Vision Conveyancing specializes in consolidating sale contracts in the most comprehensive way that protects the rights of both the Buyers and Sellers, as well as protecting them from any possible fraud or dispute that could put their assets in jeopardy. In addition, their main focus is representing the Buyer and Seller in all communications and documentations with external parties (Banks, Developers, Trustee Offices, Dubai Land Department, Utility Providers and Notary Public, Dubai Authorities such as Municipality and Development Authority and many more), they have the most extensive knowledge of the procedure for any transaction nature whether its mortgage or cash sale, you can be assured that your transfer is being handled by professionals.

Any typical transfer usually involves figures, pro-rata calculations and sometimes hidden fees to be prepared for Dubai Land Department, developers, and utility providers, as well as many other minor charges and in turn further processes to be executed in certain sequences which requires continuous follow up.

These tasks were previously taken care of by Brokers, however as a result of their busy schedule conducting viewings, valuations and negotiating other properties is what makes having a dedicated Conveyancer beneficial to ensure your inquiries and concerns are timely attended. Having one right point of contact that advise you about requirements, timelines next steps and fees will not only make you feel assured about their knowledge but also give a peace of mind throughout the process.

Benefits of Having a Sales Progression Officer

Having a sales progression officer offers several advantages:

  1. Expert Handling: Sales progression officers are skilled in managing property transactions and can efficiently address any issues that might cause delays or complications.
  2. Streamlined Process: They handle the paperwork, communications, and problem-solving, freeing you to focus on other aspects of your sale.
  3. Efficiency: They Spot any potential obstacles and deliver solutions to accelerate the process of the sale. Their experience helps expedite the sales process, ensuring timely completion and compliance with legal requirements.
  4. Communication: Keeping you updated on the transaction by continuously following up on the progress
  5. Statement of Account: Prior to the confirmed date of final transfer, we will be ending a detailed financial statement to both Buyer and Seller outlining the charges payable to DLD, property value, trustee office, developer and agency, as well as any pro-rated amounts of service charges or rent to be refunded. The statement will include the amount, mode of payment and beneficiary.

How Does a Sales Progression Officer Facilitate a Property Sale in Dubai?

If both parties agree, a sales progression officer will guide you through a smooth property transfer in Dubai. Here’s a step-by-step overview of the process:

Sign the Sales Agreement:
Once the buyer and seller agree on the sale terms, the sales progression officer drafts the necessary documents, including the Unified Form F and an Agreement of Sale. These binding agreements outline the terms, purchase price, payment schedule, and other key details. It’s advisable to involve a lawyer to review these agreements for legality and fairness.

Conduct Due Diligence:
For buyers, thorough due diligence is crucial. The sales progression officer will assist in verifying the property’s legal status, ownership, and any outstanding liabilities. This involves obtaining essential documents such as title deeds, survey reports, and Developers No Objection Certificates (NOCs), DDA and Dubai Municipality Approvals and many more.

Mortgage Application for Buyers 
In case you’re a mortgage Buyer , the sales progresionist will  work along with the bank to conduct the property evaluation, exchange documents to get the Final Offer Letter and finally coordinate to get the managers’ cheques and the trustee appointment.

Mortgage Discharge for Sellers
If the property is under mortgage, a liability letter should be obtained from the lending bank outlining the outstanding loan, the same shall either be cleared by the Buyer or the Buyer’s bank through a blocking procedure that the Sales progressionist will arrange at the registration trustee. Afterwards, a mortgage clearance letter will be obtained and given to the trustee office in order to release the cheque of the property value and issue the final title deed.

Manage the Escrow Account:
In Dubai, property transactions often involve an escrow account. The buyer deposits the agreed amount into this neutral account, managed by the sales progression officer, who ensures secure and transparent handling of the funds according to the contract terms.

Handle Property Transfer Application:
The sales progression officer prepares and submits the required documents to the Dubai Land Department (DLD) for the property transfer. This includes completing forms, paying transfer fees, and providing necessary documentation such as:
Manager’s cheque for the property price
Original identification documents of the buyer and seller (Emirates ID, passport)
Original NOC issued by the developer
Signed Unifed Contract F

Developers NOC
After the clearance of all utility charges, the Sales Progressionist will work on the documentation and apply for the resale NOC, depending on the developer and the work process, they will represent the Seller in all stages starting from the inspection until the collection of NOC.

Final Payment and Title Deed Transfer:
Upon completing all procedures and approvals, the buyer makes the final payment to the seller. Once payment is confirmed, the sales progression officer facilitates the transfer of ownership and title deed to the buyer. Additionally, they assist in obtaining a moving-in permit from the developer and DEWA/Utilities closure for the Sellers and connection for the Sellers.

 

 

info@visionconveyancing.com

           971 54 998 4902

www.visionconveyancing.me

 

A sales progression officer is an invaluable asset in the property transaction process in Dubai. By taking care of the details and navigating potential pitfalls, they help both buyers and sellers focus on their primary goals and move forward with confidence.

Whether you’re buying or selling, partnering with a skilled sales progression officer can make a significant difference in achieving a successful property transaction.

Understanding Fractional Property Ownership in Dubai

Posted on by badmin

In the ever-evolving real estate market of Dubai, fractional ownership has emerged as an innovative solution for those seeking to invest in luxury properties without bearing the full financial burden. Prominent developments like SLS, Belleview Towers and Ciel Tower have embraced this model, offering a unique opportunity for investors.

What is Fractional Ownership?

Fractional ownership is a revolutionary concept transforming the real estate sector, leveraging the impact of blockchain technology. This model allows multiple investors to co-own a share of high-value residential or commercial properties, rather than purchasing the entire asset. By buying a fraction of the property, investors collectively share the costs, benefits, and responsibilities associated with it.

Fractional ownership makes high-end property investments more accessible by lowering the financial barriers and distributing individual risk. Investors can benefit from potential property appreciation and rental income without shouldering the full costs and management responsibilities. This innovative approach democratizes property ownership, providing an opportunity for more people to invest in premium real estate.

What are the Types of Fractional Ownership?

In Dubai, fractional ownership, also known as jointly owned property, can be structured in two primary ways: through an entity such as a Limited Liability Company (LLC) or via Tenancy in Common (TIC). Each approach offers distinct advantages and caters to different investor preferences.

  1. Fractional Ownership through an Entity
    • Entity Structure: Ownership is organized through entities like Limited Liability Companies (LLCs) or Limited Liability Partnerships (LLPs).
    • Limited Liability: Investors benefit from limited liability protection, with the entity managing the property and handling operational responsibilities.
  2. Tenancy in Common (TIC)
    • Individual Deeds: Each investor holds a separate deed representing their share of the property.
    • Flexible Ownership: Investors can own varying percentages and distribute responsibilities among themselves, offering a customizable ownership experience.

PROs and CONs

Benefits of Fractional Ownership

  1. Affordability: Fractional ownership makes luxury properties more accessible by dividing the cost among multiple owners. This allows investors to own a share of high-end real estate without the full financial burden.
  2. Investment Diversification: By investing in fractional ownership, individuals can diversify their real estate portfolio, spreading their investment across different properties and markets.
  3. High-Quality Living: Fractional ownership provides access to premium properties with top-notch amenities and services, enhancing the living experience for owners.
  4. Shared Costs: Maintenance, management, taxes and operational costs are shared among all owners, reducing the financial responsibility for each individual.
  5. Flexibility and Use: Owners typically have the flexibility to use their share of the property during designated periods, offering the opportunity to enjoy luxury living or generate rental income. Fractional ownership offers easier entry and exit compared to full property ownership. Investors can sell their shares in the secondary market, improving liquidity.
  6. Potential for Appreciation: As with full ownership, fractional ownership properties can appreciate in value over time, providing potential financial returns on the investment. Earnings can come from rental income or property value appreciation and profits from rent or sale are distributed among investors according to their shares.
  7. Simplified Management: Professional companies sich as The First Group (TFG),  typically manage properties, reducing the administrative burden on individual investors. These management companies handle maintenance, rent collection and dispute resolution.
  8. Regulatory Compliance: The Dubai Land Department (DLD) offers a robust legal framework that enhances confidence in fractional ownership investments. These regulations safeguard investor rights and ensure transparency throughout the process. Additionally, they provide clear guidelines for registering jointly owned properties, ensuring that all legal requirements are met.

Disadvantages of Fractional Ownership

  1. Limited Control: Ownership is shared among multiple investors, which can limit individual decision-making power regarding the property. Decisions about management, maintenance, and use are typically made collectively, which might lead to disagreements.
  2. Potential for Disputes: With several owners involved, the likelihood of conflicts or disputes over property usage, maintenance responsibilities, or financial contributions can increase. Clear agreements and communication are essential to mitigate these risks.
  3. Market Liquidity Issues: Selling a fraction of ownership can be more complex than selling an entire property. The market for fractional shares may be less liquid, potentially making it harder to exit the investment quickly if needed.
  4. Shared Costs and Responsibilities: While costs are shared, disputes over the division of expenses or the quality of property management can arise. All co-owners need to agree on financial matters, which can sometimes lead to complications.
  5. Lower Rental Yields: Depending on the property and how it is managed, fractional ownership might result in lower rental yields compared to full ownership. This is due to the shared nature of the investment and potential limitations on property usage.
  6. Complex Legal Arrangements: The legal framework for fractional ownership involves complex agreements and regulations. Ensuring all legal requirements are met and understanding the specifics of the shared ownership structure can be challenging.
  7. Property Management Challenges: Managing a property with multiple owners can be more complicated than managing a property on your own. Ensuring that the property is well-maintained and that all co-owners adhere to agreed-upon standards can require significant coordination.

 

The Process of Fractional Ownership

  • STEP 1 –  Selecting a Property: The first step in fractional ownership is choosing a property that offers this investment model. Both SLS Dubai and Ciel Tower provide opportunities for fractional ownership, allowing investors to select from various unit types and sizes.
  • STEP 2 – Understanding Ownership Shares: Fractional ownership involves purchasing a share or fraction of the property. Each share represents a specific amount of time or use of the property, typically measured in weeks or months. It’s essential to understand the share structure and how it aligns with your investment goals.
  • STEP 3 – Legal and Financial Considerations: Engage with legal and financial advisors to review the fractional ownership agreement, including terms, conditions, and financial obligations. Ensure that all legal documentation is in order and that you are aware of any fees or costs associated with ownership.
  • STEP 4 – Investment and Purchase: Once you’ve decided on the property and share structure, proceed with the investment. This involves completing the purchase agreement and making the necessary payments. Fractional ownership often requires a down payment followed by periodic maintenance fees or management costs.
  • STEP 5 – Utilizing the Property: As a fractional owner, you will have access to the property for a specific period each year. You can use the property personally, rent it out, or participate in a rental pool if the property management offers one.
  • STEP 6 – Management and Maintenance: Properties with fractional ownership are typically managed by a professional management company that handles maintenance, bookings, and other operational aspects. This ensures that the property remains in excellent condition and provides a seamless experience for owners.

Fractional vs. Full Real Estate Ownership

When considering real estate investment, it’s important to weigh the differences between fractional and full ownership. Here’s a breakdown of how these two approaches compare:

  1. Ownership Structure
    • Fractional Ownership: Involves multiple investors sharing ownership of a property, dividing both the investment and the associated costs.
    • Full Ownership: Grants sole ownership of the entire property to one individual, who is responsible for all expenses and responsibilities.
  2. Investment Costs
    • Fractional Ownership: Offers a lower initial investment since costs, including purchase and maintenance, are shared among co-owners.
    • Full Ownership: Requires a higher investment, as the single owner covers all costs and maintenance expenses.
  3. Usage Rights
    • Fractional Ownership: Usage rights are based on the percentage of ownership and are scheduled among co-owners.
    • Full Ownership: The owner has unrestricted and unlimited usage rights, without the need for scheduling.
  4. Property Management
    • Fractional Ownership: Property management is handled either collectively by the co-owners or by a management company.
    • Full Ownership: The owner can choose to manage the property personally or hire a management company, providing greater control.
  5. Rental Opportunities
    • Fractional Ownership: Renting out the property or shares typically requires the agreement of all co-owners.
    • Full Ownership: The owner has the freedom to rent out the property as desired, without needing additional approvals.
  6. Profits and Risks
    • Fractional Ownership: Profits and risks are distributed among all co-owners, reducing individual financial exposure.
    • Full Ownership: The sole owner enjoys all the profits and bears all the risks, providing complete control but with higher personal risk.

Fractional ownership is suitable for those looking to reduce costs and share risks, offering a lower financial commitment and collaborative management. Full ownership, on the other hand, is ideal for those seeking complete control and the full benefits of owning a property, albeit at a higher cost and with greater financial responsibility.

Return on Investment (ROI) for Fractional Ownership in Dubai

The ROI for fractional ownership in Dubai varies based on several factors, including property location, type, and market conditions. Here are some general insights:

Average Rental Yields: In Dubai, rental yields typically range from 5% to 10% annually. Properties in prime locations, such as Downtown Dubai, Dubai Marina, and Palm Jumeirah, often experience higher yields due to increased demand. For fractional ownership, this means you share in these rental returns based on your ownership fraction.

Property Appreciation: Dubai’s real estate market has seen significant appreciation over the years, particularly in high-demand areas. While annual appreciation rates can vary, some areas have experienced upto 20% growth over the past 12 months. Fractional owners benefit from this appreciation based on their ownership share.

Management Fees and Costs: Fractional ownership involves shared costs, including property management fees, maintenance, and taxes. These shared expenses can reduce the overall cost burden, potentially increasing net returns.

Investment Size and Returns: The size of your fractional investment impacts potential returns. Smaller fractions might offer lower absolute returns but still provide a percentage share of the rental income and property appreciation.

To get a precise estimate of ROI for fractional ownership, it’s best to consult with local real estate experts or fractional ownership platforms. They can provide tailored information based on current market conditions, specific property details, and investment size.

 

Our Take Away?

Fractional ownership has long been a concept in the U.S., but it never gained significant traction until recent technological advances sparked a renewed interest. Today, the rise of “proptech” platforms has brought fractional ownership to Dubai, where investors can now participate with investments starting from just a few hundred dirhams. This modern approach is being reintroduced with new technologies that simplify and democratize property investment.

Dubai’s thriving tourism and business sectors are driving a growing appetite for flexible investment models like fractional ownership. This demand is expected to positively influence property values, particularly in high-demand areas such as Downtown and the Marina. Recent policy changes, including visa facilitation for investors and adjustments in property ownership laws, are likely to make Dubai an even more attractive destination for international investors, further boosting the fractional ownership market.

Emerging technologies such as blockchain are enhancing the transparency and efficiency of real estate transactions, making fractional ownership more accessible and appealing. Innovations like smart contracts can streamline processes, while virtual reality (VR) and augmented reality (AR) offer virtual property tours, enhancing the appeal of fractional investments to global buyers. As Dubai’s population diversifies and more expatriates seek flexible housing solutions, fractional ownership is set to become a prominent and profitable investment opportunity in the city’s expanding market.

A Comprehensive Guide to Securing a Mortgage (Home Loan) in Dubai

Posted on by badmin

Whether you’re purchasing your first home or investing in property, making a decision to buy a home is a significant commitment.

Dubai’s real estate market has long been a magnet for investors and homeowners alike, offering a diverse range of properties, from luxury villas to modern apartments. For many, purchasing a property in Dubai with a mortgage is an attractive option, providing the financial flexibility to secure a dream home without the need for full upfront payment. If you’re considering buying property in this vibrant city with a mortgage, here’s a comprehensive guide to help you navigate the process.

Together, we will guide you through the intricacies of mortgage eligibility, documentation requirements, lender selection, and repayment strategies. By familiarizing yourself with the timeline, collecting the necessary documents, and grasping the essential elements of the mortgage process, you’ll be well-prepared and confident as you embark on the journey towards a successful mortgage application.

 

Who Can Buy a Property in Dubai?

For those residing within the UAE, whether as an expatriate or a UAE national, understanding the necessary prerequisites for obtaining a mortgage is crucial. Generally, applicants need to be between 21 and 65 years old. Employees should have a monthly salary of AED 10,000 to AED 15,000, while self-employed individuals should earn at least AED 25,000. These criteria apply to both expatriates and Emiratis.

Eligibility requirements can vary between lenders, so it’s important to assess your qualifications before applying. Familiarizing yourself with the required documentation—such as identification, bank statements, salary certificates, and property-related papers—can streamline the mortgage application process and increase your chances of approval.

What is the Maximum Loan Amount?

For first-time property buyers in Dubai, the maximum loan amount you can secure varies based on your residency status and the property’s value. If you’re an expatriate, you can borrow up to 80% of the property’s value if it is priced under AED 5 million. For UAE nationals, this percentage increases to 85% for properties in the same price range.

However, for properties valued above AED 5 million, the maximum loan amount decreases. Expatriates can borrow up to 65% of the property’s value, while UAE nationals can borrow up to 70%.

How Much Are the Down Payments for Property Loans?

For first-time property buyers, the down payment requirements vary based on the property’s value and your residency status. If the property costs less than AED 5 million, UAE residents need to make a down payment of 20%, while UAE nationals are required to pay 15%.

For properties valued above AED 5 million, the down payment increases. UAE residents will need to provide 35% of the property’s value, whereas UAE nationals will need to pay 30%.

What is the current Morgage Rate and what are the associated costs?

The cost of a mortgage in Dubai can fluctuate based on various factors such as the loan amount, interest rate, repayment term, and additional fees. To get accurate and personalized information, it’s best to consult with banks, financial institutions, or reputable real estate brokers who can provide guidance tailored to your specific situation and the current market conditions.

 

Fees Associated with Mortgages is Dubai

Dubai Land Department (DLD) Mortgage Fee

 0.25% of loan + AED 290 Fee

Bank Mortgage Arrange Fee

Up to 1% of loan amount + 5% VAT

Bank Valuation Fee

AED 1,850 to AED 3,500 + 5% VAT

Home Insurance

0.03% – 0.6%  of property value  + 5% VAT (annual)
Mortgage Life Insurance

0.01167% – 0.0245% of Loan Amount (monthly)
Bank Fees

i.e. wire transfer and exchange rate fees

There are ALSO other fees and cost associated to buying property in Dubai.

What Are the Documents Required?

For property loans, documents and paperwork will be required, and approval of these documents usually takes around two-three weeks.

As a Dubai resident, you will need the following:

  • Valid Passport
  • Valid Residency and Emirates ID
  • Salary certificate for at least the last six months
  • DEWA bills or Ejari contract as proof of address
  • Bank Account Statement

For UAE nationals, the following will be needed:

  • Salary certificate for at least the last six months
  • Bank Account Statement
  • Emirates ID
  • DEWA bills or Ejari contract as proof of address

What Is the Process for Securing a Property Loan?

To begin, you can approach a bank directly or work with a mortgage broker to explore your options. In Dubai, home loans are issued by banks and must be registered with the Dubai Land Department (DLD) to be legally valid.

  1. Find a Lender: Familiarize yourself with the mortgage plans available in Dubai and determine which type of loan suits your needs. At this stage, you’ll need to submit the necessary documents, including identification, bank statements, salary certificates, and property-related paperwork.
  2. Most banks offer online loan calculators that allow you to input your details and estimate your monthly payments based on different loan plans and interest rates.
  3. Get Pre Approval Letter: One of the key steps is obtaining a pre-approval letter from the bank. This letter confirms your eligibility for a mortgage and outlines your maximum borrowing limit. Typically, a pre-approval letter takes about three to five business days to process and is usually valid for 60 to 90 days.
  4. Find your Dream Home: Once you have the budget and the pre-approval letter, it’s time to find the perfect home. Sometimes, people find their desired property first and then apply for a mortgage. This can work, but then they may not be able to secure the full amount of home finance they need to purchase the property.
  5. Make an Offer: With your budget properly defined, you can start viewing properties and narrowing down your search. At first, the thought of making an offer and negotiating with a seller can be daunting. But you might even enjoy it once you start to feel more confident about the process and the market. So do lots of research on the area and local property prices before you make an offer.
  6. Finalize your Property Purchase: Sign a Sales Agreement (Unified Contract F – a contract between Seller and Buyer) through a brokerage company like The Urban Nest Real, to secure a property.
  7. Valuation of the property will be arranged by the Bank using a third party independent valuator.
  8. Final Offer Letter (FOL) will be released by the bank. An FOL is a formal document issued by a bank or financial institution that outlines the final terms and conditions of the mortgage loan being offered to the borrower. It includes the final Loan Amount, Interest Rate, Loan Term, Monthly Intsallments, Down Payment and Fees & Charges.
  9. On the day of the property transfer at DLD’s Property Trustee Office,  the bank or mortgage lender will release the loan amount to the seller or pay out the Sellers liability, and you will officially become the owner of the property.
  10. Time to sit back and relax – or, start packing up your moving boxes!

What are the consequences of not paying a mortgage in Dubai?

Failing to keep up with your mortgage payments can result in losing your property.

Early repayment of a loan or financing may incur penalties.

Missing repayments can lead to your account falling into arrears, potentially damaging your credit rating and affecting your ability to secure future financing.

Refinancing may extend the duration of your loan and could lead to higher interest costs compared to your original loan.

________________________

Dubai’s real estate market is inviting to international buyers and investors, offering a range of opportunities for a high-quality lifestyle. By understanding the mortgage process and requirements, you can confidently navigate the path to property ownership in this exciting city.

Contact us for mortgage inquiries: 971 4 221 2442 |  971 55 394 7515 | hello@theurbannest.ae

Navigating the Visa Landscape in Dubai: A Guide to Types and Requirements

Posted on by badmin

Dubai, a thriving cosmopolitan hub, welcomes visitors and residents from around the globe with a variety of visa options tailored to different needs and purposes. Whether you’re planning a short visit, pursuing employment opportunities, or seeking long-term residency, understanding Dubai’s visa system is crucial. Here’s a comprehensive guide to the types of visas available and their respective requirements:

Tourist Visa (Short Stay)

For those looking to explore Dubai’s attractions and culture, the Tourist Visa offers flexibility and ease of application. This visa is typically valid for 30 to 90 days, depending on the issuing authority. Tourists can apply for this visa through tour operators, airlines, hotels, or online platforms. Requirements usually include a passport valid for at least six months, a completed visa application form, proof of accommodation, and travel itinerary details.

Visit Visa (Family and Friends)

The Visit Visa allows individuals to visit family members or friends residing in Dubai. It is available for varying durations, often ranging from 30 to 90 days, and can be extended in certain cases. Applicants must provide a sponsorship letter from their host in Dubai, proof of relationship, and financial means to support their stay. This visa type is ideal for family reunions or extended stays with friends.

Employment Visa

Dubai’s Employment Visa is issued to foreign nationals sponsored by a UAE employer. Prospective employees must secure a job offer from a company registered in Dubai, which will act as their sponsor. The employer initiates the visa process, which includes obtaining approval from the Ministry of Human Resources and Emiratisation (MOHRE). Required documents typically include a valid passport, educational certificates, medical fitness certificate, and a labor contract specifying terms of employment.

Student Visa

Dubai’s Student Visa allows international students to pursue higher education at recognized institutions in the UAE. Applicants must obtain admission to a UAE-based educational institution and be sponsored by the institution or a family member. Requirements typically include a valid passport, proof of acceptance from the educational institution, financial documentation, and a medical fitness certificate. Student visas are usually valid for the duration of the academic program.

Retirement Visa

Recently introduced, the Retirement Visa is designed for retirees aged 55 and above who wish to reside in Dubai. Eligible applicants must meet financial criteria, including proof of pension or retirement income, health insurance coverage, and the ability to sustain their living expenses in Dubai. This visa provides retirees with the opportunity to enjoy Dubai’s lifestyle and amenities.

Investor Visa

Investors and entrepreneurs looking to establish or invest in a business in Dubai can apply for an Investor Visa. This visa is granted to individuals who meet specific financial criteria and contribute to the economic development of the UAE. Requirements may include proof of business ownership or investment, a business plan, and financial statements. The Investor Visa offers longer-term residency options, making it attractive for those seeking to establish a business presence in Dubai.

  • 10-Year Golden Visa or Long-Term Investor Visa: The UAE 10-Year Golden Visa, also known as the Long-Term Investor Visa, is designed to attract high-net-worth individuals, investors, entrepreneurs, and specialized talents to the UAE. It offers long-term residency for up to 10 years without the need for a local sponsor. Eligible individuals include those who make significant investments in UAE property, businesses, or other sectors critical to the UAE economy. This visa allows holders and their families to live, work, and study in the UAE, promoting stability and long-term planning for investors and their dependents.
  • 5-Year Golden Visa or Property Investor Visa: The UAE 5-Year Golden Visa, also known as the Property Investor Visa, targets individuals who invest in UAE real estate. It provides a renewable residency visa valid for five years, facilitating residency for property investors and their families. This visa supports the UAE’s real estate sector by encouraging foreign investment, while offering holders access to the country’s services, amenities, and business opportunities.
  • Company Investor Visa: The UAE Company Investor Visa is for foreign investors establishing or investing significantly in UAE-based companies. It supports business owners and investors by providing residency for themselves and their families. This visa promotes entrepreneurship and business growth in the UAE, offering holders the opportunity to contribute to the economy while benefiting from the country’s business-friendly environment and infrastructure.

Family Visa

The UAE Family Visa allows UAE residents to sponsor their immediate family members (spouse, children, and dependent parents) for residency in the country. It facilitates family reunification, ensuring that residents can live together and access essential services, including education and healthcare. This visa supports family stability and cohesion in the UAE, enabling residents to enjoy a fulfilling family life while contributing to the nation’s social fabric.

UAE Specialist Resident Visa

The UAE Specialist Resident Visa is issued to professionals with specialized skills and qualifications deemed valuable to the UAE economy. It is sponsored by a UAE-based entity and linked to employment in specialized fields like medicine, engineering, technology, and academia. This visa attracts top talent to the UAE, fostering innovation and expertise in key sectors while offering holders and their families long-term residency and career opportunities.

Green Visa

The UAE Green Visa aims to attract skilled professionals, investors, and freelancers to reside and work in the UAE independently of traditional sponsorship. It offers long-term residency without the need for a local sponsor, providing flexibility and autonomy in employment and business activities. This visa supports economic diversification and entrepreneurship in the UAE, empowering visa holders to contribute to the country’s growth and innovation agenda.

Blue Visa

The Blue visa is a new type of residency visa in UAE crafted for those who have significantly contributed to environmental protection and sustainability, both locally and internationally. This encourages talents and professionals in the sustainability field to stretch their limits and chase new career opportunities in the UAE.Not just that, after launching the Blue visa, the demand for professions related to sustainability and eco-systems in the country will surely increase. Consequently, it’s expected to be one of the promising fields as sustainability is one of the high-priority topics for the government’s 2024 agenda.

Choosing the Right Visa

Dubai’s diverse visa options cater to a wide range of purposes, from tourism and family visits to employment and long-term residency. Navigating the visa process involves understanding specific requirements, gathering necessary documentation, and adhering to local regulations. Whether you’re planning a short-term visit or considering a long-term move, Dubai’s visa system offers flexibility and opportunities for individuals and families to experience life in this dynamic global city. Understanding your options and seeking guidance from authorized visa service providers can ensure a smooth and successful visa application process.

UAE Ascends: A Spotlight on Its Global Competitiveness Achievement

Posted on by badmin

The UAE has improved its standing on the esteemed IMD World Competitiveness Ranking, moving up three spots to take seventh place internationally this year, which is evidence of its continued economic progress. This yearly research assesses how countries use their unique assets to create long-term economic growth and prosperity. The UAE’s progress is a testament to its strong business climate, reliable infrastructure, and competitive tax system—all of which were emphasized as crucial elements in the evaluation of the ranking.

The UAE is making great progress to climb into the top ranks of the global index, which is led by Singapore, Switzerland, and Denmark, according to the IMD study published in June 2024. In the region, Bahrain came in at number twenty-one, Saudi Arabia at number sixteen, and Qatar at number eleven, indicating a solid performance by Gulf countries in the

For 36 years, the IMD World Competitiveness Center (WCC) has released its rankings, providing in-depth analyses of the competitive advantages and disadvantages of 67 economies around the globe. The 164 data indicators in this year’s edition covered important pillars like corporate agility, government efficiency, infrastructure quality, and economic performance. Data sources included esteemed organizations like the World Bank, International Monetary Fund (IMF), and Euromonitor International, alongside input from over 6,600 global executives surveyed for their perspectives on economic competitiveness.

The United Arab Emirates’ ascent in the global competitiveness ranking highlights the nation’s tenacity and astute investments, while also establishing it as a crucial participant in the international economic arena. As it continues to enhance its business environment and infrastructure, the UAE is poised to sustain its

Comprehending Global Competitiveness Rankings

Rankings of global competitiveness offer important insights into how nations allocate resources and implement policies to promote wealth and economic progress. The IMD World Competitiveness Ranking is a well-known ranking in this industry that assesses countries using a wide range of factors.

The IMD World Competitiveness Ranking: What is it?

An yearly evaluation that compares the competitiveness of economies around the world is called the IMD World Competitiveness Ranking. It looks at elements that are important for economic success and corporate efficiency in different countries. Infrastructure, business, governance, and economic performance are among the factors taken into account.

Insights from the Latest Rankings

The UAE showed notable improvement in the most recent IMD World Competitiveness Ranking, moving up three points to take the seventh slot worldwide. This increase is attributable to the UAE’s strong business climate, dependable infrastructure, and advantageous tax system—all of which are critical for drawing in capital and promoting economic expansion.

Important Results and Regional Comparison

As per the IMD report, nations like as Singapore, Switzerland, and Denmark top the worldwide ranking, exhibiting excellent competitive practices. Regionally, Bahrain, Saudi Arabia, and Qatar all achieved noteworthy positions that demonstrate the Gulf region’s general competitiveness in the world economy.

Methodology and Data Sources

The IMD World Competitiveness Center utilizes a rigorous methodology, drawing from a comprehensive dataset of 164 statistical indicators. These indicators are sourced from reputable organizations such as The World Bank, the International Monetary Fund (IMF), and Euromonitor International. Additionally, the ranking incorporates insights from a global executive opinion survey, providing a holistic view of each country’s competitive landscape.

Implications for Business and Policy

For businesses and policymakers, understanding global competitiveness rankings is crucial for strategic decision-making. It offers insights into the strengths and weaknesses of economies, helping businesses identify attractive investment destinations and governments refine policies to enhance competitiveness.

The IMD World Competitiveness Ranking serves as a vital tool for assessing the global economic landscape, highlighting countries that excel in creating conducive environments for business and economic growth.

Dubai Real Estate’s Stability Points to the End of Boom-Bust Cycles

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Dubai’s real estate market has long been characterized by its dramatic boom-bust cycles, with periods of rapid growth followed by sharp declines. However, recent trends suggest that the market may be moving towards a more stable and sustained growth trajectory. Over the past 15 consecutive quarters, home values in Dubai have risen steadily, indicating a level of resilience that defies previous market predictions. This sustained increase in property prices, coupled with a significant rise in rental values, suggests a possible end to the cyclical volatility that has historically defined the market.

A Sustained Surge in Home Values

The continuous rise in home values in Dubai over the last 15 quarters is a testament to the city’s robust real estate market. This upward trend has defied analysts’ predictions of a market moderation or decline by 2024. According to Bloomberg, since the end of 2020, property prices have soared by an impressive 60%. This growth has been fueled by several key factors, including an influx of wealthy investors, favorable visa policies, and the government’s effective handling of the COVID-19 pandemic. These elements have created a strong demand for real estate in Dubai, driving prices higher and contributing to the market’s resilience.

Soaring Rental Values Reflect Strong Demand

In addition to the rising property prices, the rental market in Dubai has also seen significant growth. Average rents for single-family homes have shot up to AED 355,000.00 , marking an increase for 13 consecutive quarters. Although the pace of rent increases has slowed compared to the previous year, the overall upward trend remains strong. The substantial rise in rental values underscores the high demand for residential properties in the city, further supporting the stability and resilience of the real estate market.

Moving Towards Stability and Sustainability

While the current boom in Dubai’s real estate market is expected to moderate over the next few years, this does not necessarily signal a return to the boom-bust cycle of the past. As more residential properties enter the market, the growth rate of property prices and rents is likely to stabilize. This shift towards a more balanced market could indicate a new era of stability and sustainability for Dubai’s real estate sector. Investors and homeowners alike can look forward to a market that, while still dynamic, may offer more predictable and sustained growth opportunities.

Dubai’s real estate market has demonstrated remarkable resilience over the past several years, with continuous increases in home values and rental prices. This sustained growth, driven by strategic investments and robust economic policies, suggests that the market may be transitioning away from its traditional boom-bust cycles towards a more stable and sustainable future. As the city continues to attract global investors and expand its residential offerings, the outlook for Dubai’s real estate market remains positive, heralding a potentially new and promising chapter in its development.

Dubai home prices to reach ‘record highs’ in 2024; villas to mark strong capital gains

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Dubai housing prices will continue to rise in 2024, with capital gains in the villa segment projected to hit 10-year highs.

According to international consulting group ValuStrat, which released its April price index for the emirate, apartment prices will also maintain an upward trajectory, albeit at a slower pace than villas.

“Apartment price growth, which only started gaining momentum in the second half of last year, is expected to reach new record highs this year,” Haider Tuaima, Director and Head of Real Estate Research told Zawya. “It is highly likely that villa capital gains will exceed the record highs of 2022.”

The ValuStrat Price Index (VPI) for April revealed the average villa valuation per square foot surpassed AED 2,000 for the first time in 10 years. Villas topped the previous market peak, with Tuaima saying that villa prices have already doubled since the pandemic and surpassed the peak prices of 2014.

Villa capital gains recorded a 2.4% month-on-month uptick in April and a 31.2% rise since the previous year. The figure is a close second to 2022, which saw the highest rise in a decade, with villa prices witnessing a 34.1% spike.

Communities that saw the highest price increase were sought-after communities including The Palm Jumeirah, which saw 40.1% hike, followed by Jumeirah Islands (39.5%), Dubai Hills Estate (36.2%), Green Community West (31.4%), and Emirates Hills (31.1%).

The apartments segment witnessed a 21.3% year-on-year increase, with a monthly rise of 1.6%, according to the index.

On average, the VPI reached 170.8 points in April, marking a 26.1% annual increase, with a monthly rise of 2% for the emirate’s overall residential sector.

Price concerns

According to ValuStrat’s Tuaima, there is a growing concern over value for money and buyer affordability.

“As seen in previous cycles, external global shocks could negatively affect market sentiment…. Just after the pandemic, the average sold home was 2,000 sq ft and cost AED 1.7 million, translating to AED 866 per sq ft. Today, the average property size has decreased to 1,427 sq ft, while the cost has risen to AED 2.2 million, or AED 1,516 per sq ft,” he explained.

Tuaima continued: “Furthermore, villa rentals have stabilised over the past six months, indicating that tenants can no longer afford significant rent increases.”

The rental highs are also seeing many swap a rent cheque in favour of a mortgage, with the VPI figures indicating that annually, off-plan Oqood (contract) registrations increased by 76.4% year-on-year, while the volume of ready home transactions was up 9.5% since last year.

While many industry experts are eyeing a rise in the supply of residential units to trigger a price correction in the future, with a Dubai Property Watch report last week pegging that number at 64,400 new units by year-end, Tuaima remained cautious.

“There are concerns about oversupply, particularly with upcoming projects on the outskirts of the city targeting low and middle-income households. This could lead to a market correction, but only if all under-construction projects are completed on schedule, which hasn’t been the case so far,” he said.

Properties in Dubai South gain interest from buyers amid plans for massive new airport

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Property investors are increasingly targeting communities in some parts of Jebel Ali and neighbouring developments amid plans to move the operations of Dubai International Airport (DXB) to Al Maktoum International, according to a new analysis.

The “new areas in focus” among those looking to own residential units now include Dubai South and other neighbourhoods like Dubai Hills Estate, Palm Jumeirah, Arabian Ranches and Al Furjan, PropertyFinder noted in a new report released on Wednesday.

“Following the recent announcement regarding the shift of airport operations, searches regarding areas to own villas showed a significant uptick for interest towards Dubai South (Dubai World Central),” the real estate platform said.

Late last month, Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai, announced that all operations at DXB will be transferred to Al Maktoum International Airport “in the coming years.”

He confirmed that the designs for the new passenger terminals at Al Maktoum have been approved. The facility will be five times the size of DXB, currently the world’s busiest aviation hub for international traffic.

The Dubai ruler noted that property demand in the area is expected to increase. “As we build an entire city around the airport in Dubai South, demand for housing for a million people will follow,” the ruler said.

The market is expected to remain “dynamic” as a result of the airport project, according to Cherif Sleiman, Chief Revenue Officer at PropertyFinder.

“We expect the market will remain dynamic following announcements, such as the shift of operations from Dubai International Airport to Al Maktoum International Airport, sparking renewed demand across developing areas.”

While new areas are now gaining interest, the traditional favourites like Dubai Marina, Downtown Dubai, Jumeirah Village Circle, Business Bay and Palm Jumeirah “remained of interest” for potential apartment buyers, PropertyFinder added.

In April 2024, the Dubai real estate market saw a year-on-year increase of more than 45% in sales transactions, 11,607 as compared to 7,999 in April 2023, the portal said.

Further adding to the growth in the first quarter of the year, the value of transactions also posted a significant upswing, reaching almost AED 32 billion and marking an increase of more than 21% compared to the same month in 2023.

Unveiling the Dynamics of Dubai’s Ultra-Luxury Real Estate Market in 2024

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Dubai, often regarded as the crown jewel of the United Arab Emirates, has emerged as a magnet for the world’s wealthiest individuals in search of lavish residences in a welcoming environment. Witnessing a remarkable surge, luxury real estate sales in Dubai soared to an astounding $7.6 billion last year, cementing the city’s status as a global hub for high-end property acquisitions. We will delve into the factors driving this unprecedented growth, focusing on the affordability of Dubai’s properties, the surge in demand for luxury waterfront residences, and the city’s prominence in the $10 million-plus and $25 million-plus home markets.

Dubai’s ultra-luxury real estate market is undergoing significant maturity, moving away from impulsive buying to well-informed investment decisions. This shift reflects a stable and confident market characterized by thoughtful investment choices and long-term sustainability. Recent market analyses indicate remarkable milestones, with Dubai witnessing a surge in upscale property sales and revenues, signaling rising demand for ultra-luxury properties.

Dubai’s Global Ranking:

Dubai’s luxury real estate market has propelled the city to the forefront of global rankings. Currently, it stands as the fourth-leading city for homes priced at $10 million and above, trailing only behind New York, Los Angeles, and London. Furthermore, Dubai secures the fifth position globally for the largest number of homes sold at $25 million and above. This data underscores the city’s appeal to the world’s elite, positioning it as a premier destination for luxury real estate investments.

Super-Prime Market Boom:

The insatiable demand from international ultra-high-net-worth buyers has not only driven the $10 million-plus market but has also supercharged the super-prime market, comprising homes priced at $25 million and above. In 2023, the number of super-prime homes traded doubled to 56 deals, amounting to an impressive $2.3 billion. This surge underscores Dubai’s growing allure for the most discerning and affluent real estate investors.

Dubai’s Rise as a Luxury Real Estate Hub:

Dubai’s rise as a luxury real estate hub can be attributed to several factors, including its strategic location, investor-friendly policies, and world-class infrastructure. The city’s favorable tax regime and regulatory environment have attracted investors from around the globe, seeking to capitalize on the lucrative opportunities offered by Dubai’s vibrant real estate market. Additionally, Dubai’s iconic landmarks, such as the Burj Khalifa and Palm Jumeirah, have further enhanced its reputation as a global luxury destination.

Informed Buyer Behavior:

Today’s ultra-luxury real estate buyers exhibit a discerning approach, emphasizing the concept, uniqueness, and location of the property, alongside the reputation of the developer. This trend reflects a deeper understanding and commitment to making sustainable and profitable investment choices in the real estate domain, prioritizing long-term value and stability.

Investor Focus:

Investors in the ultra-luxury real estate market prioritize Return on Investment (ROI) and the effectiveness of their investments. Key considerations include resale ease, rental profitability, prime location, and long-term investment potential, with a focus on comprehensive insights and detailed market analysis.

End-User Buyer Focus:

End-user buyers in the ultra-luxury segment prioritize quality, location, amenities, and privacy. Exclusive properties cater to discerning buyers valuing serene living environments and tangible luxury. Developers like MERED prioritize superior quality, premium materials, and exclusive amenities to meet the nuanced needs of ultra-luxury buyers.

Digital Convenience in Property Purchasing:

With a growing international buyer base, digital facilitation in property transactions is imperative. The demand for digital convenience and streamlined transaction processes is reshaping the property acquisition journey, aligning with Dubai’s forward-thinking urban master plan.

Dubai’s appeal as a global magnet for professionals is driving significant growth in its real estate market. With a thriving job market, growing population, and increasing property transactions, Dubai remains a force to be reckoned with in the global real estate arena. As we move forward, strategic navigation and informed decision-making will be paramount for both investors and residents to thrive in Dubai’s dynamic real estate landscape. Dubai’s performance in the luxury real estate market showcases a strategic shift towards informed investment, marked by record sales and a diverse investor base. This evolution signifies market maturity and a focus on long-term value, positioning Dubai for sustained growth in the global real estate arena in 2024 and beyond.

Dubai Real Estate Set to Soar: Expert Predicts 5% Growth Amid UAE’s Economic Surge

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Dubai’s real estate market appears poised to maintain its growth trajectory into 2024, as expert forecasts indicate a 5% growth in the Dubai real estate market for 2024, propelled by substantial economic expansion across the UAE. This growth is poised to bolster numerous industries, with Dubai’s real estate sector emerging as a standout beneficiary.

Dubai’s real estate market remains robust, solidifying its status as a top choice for investors pursuing diversification and lucrative returns.

In January 2024, Dubai’s real estate sector demonstrated resilience by achieving Dhs35 billion in sales, with off-plan sales witnessing a notable 25% year-on-year increase. This performance underscores the continued strength and vitality of Dubai’s real estate market into the new year.

According to the report, Dubai’s real estate sector saw a remarkable 17% year-on-year increase in recorded sales transactions, totaling over 11,000 transactions compared to 8,712 in January 2023. Additionally, there was a notable surge in transaction values, reaching nearly Dhs35 billion, marking a 27% increase from the same period last year.

Key Insights

  1. Demand for Off-Plan Properties:
    • Off-plan properties witnessed a surge in demand, with a year-on-year increase of approximately 25% in volume, totaling around 6,000 recorded transactions.
    • The value of off-plan transactions surged by approximately 21% year-on-year, reaching approximately Dhs15 billion.
  2. Existing Property Transactions:
    • Existing property transactions also experienced growth, with an approximately 8% year-on-year increase in volume, totaling over 5,000 transactions.
    • The value of these transactions surged by 31% year-on-year, reaching Dhs21 billion.

3. Luxury Real Estate Soars to New Heights

    • The surge in demand for luxury waterfront residences, and the city’s rise to prominence in the AED 40 million-plus and $100 million-plus home markets.

Dubai’s real estate boom is fueled by a continuous influx of professionals from around the world drawn by promising career prospects, competitive salaries, a high quality of life, and the allure of a warm climate. This trend underscores Dubai’s appeal as a global magnet for talent, contributing to the city’s population growth and increasing demand for residential properties.

According to the Dubai Statistical Center, the city’s population reached 3,604,030 as of July 2023, up from 3,515,264 in July 2022. The Dubai Development Master Plan forecasts a continued surge, with the population projected to reach 5.8 million by 2040. This population expansion drives demand for residential properties, leading to upward pressure on rental prices.

The trajectory of rising rental prices shows no signs of slowing down in 2024. A booming job market, coupled with a growing population and increased property transactions, ensures that Dubai’s real estate market remains robust. This unyielding trajectory underscores the city’s resilience and attractiveness to investors and residents alike.

As Dubai’s real estate market continues to surge, it is crucial for investors and residents to navigate the waves strategically. Making informed decisions in this dynamic landscape is essential to capitalize on opportunities and mitigate risks. Whether investing in properties or seeking rental accommodations, understanding market trends and dynamics is key to success.

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