Dubai is one of the most important destinations for real estate investors across the globe. With so much to offer, Dubai has established itself as one of the leading cities in this industry. But what makes it the best option for national and international buyers is a big question. The benefits of owning property in Dubai are beyond your imagination. Here, will explore all the advantages that you get for investing in Dubai. Don’t forget to check them before finalizing your decision.
List of All Benefits of Owning Property in Dubai
Dubai is a hub for investors across the globe. Most of the people look for the opportunity by which they can easily invest in property. Wondering why? Here are the top ten benefits that you get if you own a property in Dubai:
1. Tax Free Environment
One of the major reasons to buy a property in Dubai is that it provides a tax-free environment for all investments made by you. Whether you are investing in off-plan or ready properties, you do not have to pay any kind of tax on them. Unlike other countries, you will not have to pay the following things in Dubai:
- Property tax
- Capital gains tax
- Rental income tax
It means if you have given your property on rent, you will enjoy 100% of the rental income. Also, you need not worry about the tax deducted on the profit on the sale of the property.
2. Booming Economy
Dubai is often considered the best place for investment in the real estate industry. In fact, the World Bank has released a statement that shows there is a 4.1% increase in the GDP by 2025. If we look forward to the year 2030, the statistical graph is growing at a higher rate. The 2030 forecast for the market shows that Dubai will be one of the top 20 richest states across the globe.
3. High Rental Yields
The second most important advantage that you get is high rental yields. This is one of the reasons why people living abroad are interested in investing in property. Based on the location you are investing in, you can expect an average rental return of 6-10% annually. It is much higher when we compare it to some top cities all over the world, including New York and London. Investing in some of the top off-plan properties can help to get the best returns.
4. Residency Visa
If you are someone who lives abroad and has made a huge investment in Dubai, usually AED 750,000 or more, you will be eligible for the Residency visa. To be eligible for the visa, you will have to submit a copy of your passport and the title deed to the Dubai Economic Department.
You will then get a trade license on that property. After taking the document, you will have to go to the Immigration Department to obtain the 2-year residency visa. Please note that if you have invested over 5 million or 10 million, you are eligible for 5 5-year or 10-year visa, respectively. However, in the 10-year case, you can not sell the property for 3 years.
5. Best Infrastructure and Amenities
No city can actually match the infrastructure and amenities you get in Dubai. From the transportation sector to the healthcare facilities, it has done a fantastic job while providing services to the residents. You can get great transportation services to the best attractions like:
- Burj Khalifa
- Dubai Mall
- Palm Jumeirah
- Dubai Metro
6. Growing Population
In a report given by Dubai Statistics Centre, it was stated that there was reported that Dubai’s population had risen to 3.825 million. More than 100,000 people were raised in the previous year. As there is great growth of people in Dubai, the need for housing is also growing. It has helped to support the growth of both sales and rental prices.
7. Foreign Ownership Rights
Dubai is one of the very few states that offer freehold ownership to foreigners. They can invest in either off-plan or ready properties easily. However, there are particular freehold zones that can invest in. This policy has gained the interest of many foreign investors, which has boosted the real estate sector.
8. Strategic Location and Global Connectivity
One of the prime factors that make Dubai the most in-demand city is its prime location. Dubai is located at a position where it easily connects Europe, Asia, and Africa, making it a global hub for business and trade. The difference between it and some major capitals of different nations is only a 4-8 hour flight. There is an easy connection between it and other cities like London, Mumbai, Moscow, and Singapore. Also, it offers beautiful infrastructure for tourism.
9. Strong Tourism Industry
It is one of the most preferred tourist destinations, especially for Indians. According to a survey, almost 9.31 million overnight visitors were there for the first half of 2024. As the tourism industry is growing day by day, there is a huge demand for short-term rental properties.
10. Constant Capital Appreciation
One of the major benefits of investing in Dubai is the capital appreciation. Despite having a lot of market fluctuations, the properties in Dubai have shown consistent growth over the years. As there is high demand for rental properties and an increasing population, you will get a lot of capital growth along with the rental income.
Conclusion
There are a lot of benefits of owning a property in Dubai. The two main advantages that attract people across the globe to invest in Dubai are a tax-free environment and high rental returns. According to a study, the rental income gives you 6-8% of returns on your investments. In addition to that, if you are a foreign investor, you also get a residency Visa for a minimum of 2 years based on how much money you have invested. As the tourist sector and the population of the city tend to grow, the demand for housing is also increasing.
