How to Buy an Off-Plan Property in Dubai
As an investor, you can become a property owner in Dubai in two ways. While one option is to buy an existing property, the other is to purchase a property that is being constructed (an off-plan property). However, developers may also offer ready-to-occupy properties. Off-plan properties are often purchased by real estate investors, first-time property buyers, and home movers.
The advantage of buying off-plan properties is their low cost. After buying the property, the owner enjoys the benefit of capital appreciation on the completion of construction. As first-time buyers often have budgetary constraints, they prefer to buy off-plan properties. After buying an off-plan property, you can move in if it is ready for occupation, rent it out and generate rental income, or sell it for capital gains.
How to Purchase an Off-Plan Property in Dubai
Decide on the type of off-plan property you want
When choosing to buy off-plan property, you may not be able to take a look at the property, but the benefit is that you can acquire it at the lowest price possible, maximizing your returns on the investment. Decide the type of off-plan property you want to be based on factors such as property type, budget, location, developer, size, community, and amenities.
Choose a reliable real estate company
It is relatively easier to buy an off-plan property in Dubai. However, working with an experienced and reliable real estate agency that has long-standing relationships with trustworthy developers helps you bag the best deals.
Identify the right property
Based on your specifications, your real estate agent will identify a few available projects and provide you with all the required information, floor plans, brochures, videos, payment schedules, etc., to enable you to make an informed decision.
Sign the sales purchase agreement and pay an advance
Once you have identified the right developer and the off-plan property, sign a sale-purchase agreement with the developer and pay an advance of 10 to 20 percent of the property value. You will also have to pay 4 percent of the property value for DLD title registration and AED 1,000 as a good fee within 30 days of signing the contract.
Make payments as per the agreed schedule
You have to strictly adhere to the payment schedule specified in the agreement. You are allowed to resell the property during the term of the contract.
Final payment and handing over
Once you complete the payment as per the schedule, the developer will hand over the property to you. The real estate agent you are working with will provide the necessary guidance in this regard.
With more than 15 years of experience in the UAE market, GO360 Properties, a leading real estate agency in Dubai, can help you buy your dream off-plan property in Dubai. Call us today!