Top Property Developers in Dubai and The UAE

Benefits and Details of Buying Property in The UAE from a Developer

Buying property in the UAE directly from the developer is not just a suitable format of the agreement, but also a profitable investment strategy. Statistics show that 55% of the total number of sales contracts in the market falls precisely on the primary real estate. From year to year an increasing number of buyers focus on off-plan projects. This is about apartments, villas or townhouses, which are acquired at the building stage, or as they often say - at the excavation phase. Buying off-plan properties offers the opportunity to become the homeowner in the UAE at a bargain price and is often accompanied by flexible terms of payment plans provided by the developer.

Buying property in the UAE directly from the developer is in demand due to the favorable price, a high level of security of the transaction, the potential for growth in the value of objects and friendly government policy towards foreign buyers.

The key advantage of buying property under construction is the opportunity to own apartments at the lowest possible price. Developers try to attract buyers at the early stages of the project, so they offer discounts, favorable terms of payment plans and other benefits. For instance, off-plan property at Dubai Hills Estate can cost 20-30% lower than the same option in the complex that has been already handed over.

It is also important that many real estate companies offer flexible payment plans with no interest. The initial down payment usually does not exceed 10-20%, and the remaining cost is paid in smaller installments, which are spread over several years. Some developers use a post-handover payment plan, which means that a significant part of the total sum is paid after the project is handed over. This variant makes the property purchase in the UAE more affordable for a wide range of customers without attracting mortgage financing. This option is especially convenient for investors who expect to rent out the property and in this way cover the installments.

Property in the UAE is characterized by a high potential for value growth. Off-plan projects often demonstrate a significant price increase by the time the complex is completed. Thus, for the last 5 years, property prices in Dubai have increased by 28% on average. And this increase can be up to 50% in some areas, for example, in Downtown Dubai.

The property in the UAE brings high rental income, and it's another solid benefit. The average rental yield (ROI) in the country ranges from 5% to 8% per annum, and in Dubai Marina and Business Bay the rate can reach 10%. As a simple example, an apartment at Business Bay costing 1 000 000 AED (272 300 $) can bring the owner up to 100 000 AED (27 200 $) per year in rental income.

Buyers choosing off-plan properties often get to customize the layout, the finishes, and additional options to personalize the home. This enables them to create a living space fully catered to their personal preferences. Many reputed developers, such as Ellington Properties, even offer design solutions and customized interior options.

The UAE government offers tax benefits to international investors. Unlike other countries, there are no taxes on rental income, capital appreciation on resale, or property holding. Such a friendly policy makes the Emirates one of the most profitable legislations for real estate investment.

In addition to the high quality of building and excellent reputation of developers, property in the UAE is also valued due to the first-class infrastructure facilities. Developers focus on creating self-sufficient urban ecosystems where residents can enjoy all social amenities within their residential area.

Developers offer comfortable living close to educational and medical institutions, shopping centers, park and entertainment areas, beaches and other important amenities. This avoids the frequent need for residents to travel outside their community and makes buying property in the UAE attractive for families, expats, business people and investors who are looking for high rental yields.

Strict government regulation is one of the significant reasons for the popularity of the UAE real estate market. Sales and purchase transactions are conducted under the supervision of the Dubai Land Department (DLD) and the Real Estate Regulatory Agency (RERA). Both organizations establish regulations to protect the rights of buyers and control the activities of developers.

An obligatory condition in the work of developers is the use of escrow accounts for the sale of all off-plan projects. The buyer's money paid for the newly built property is deposited in a special bank account and can be used by the developer only after the designated stages of construction have been completed. For example, they can be debited after the basement is poured or the supporting walls are constructed. Escrow accounts exclude the possibility of unfair use of money and minimize the “freezing” of the project.

Also, the Sale and Purchase Agreement (SPA) is used to regulate the transaction and ensure its transparency. This is the main agreement, which protects the buyer's rights in the UAE at all phases of the property deal. The document includes the full cost of the acquired object, payment plan, the handover, the developer's warranty obligations and the terms of compensation in case of non-compliance. The Land Department of Dubai regulates the SPA, and the agreement itself is necessarily registered in the state database. This condition excludes the factor of cheating and the risk of double sale.

Additional protection of buyers from risks is the provision of bank guarantees and insurance policies by developers. Moreover, the Dubai REST App has been designed for self-checking information about the project and the ability to follow the stages of construction.

There are more than 300 developers in the UAE real estate market. Some companies are known abroad and are among the leaders of the world markets. Such industry titans as Emaar Properties, DAMAC Properties, Sobha Realty, Ellington Properties, Meraas, Nakheel make a huge contribution to the development of the Emirates. There are not only ultra-modern residential complexes, but also hotels, office buildings and shopping centers in the portfolios of these companies.

Emaar Properties specializes in the premium segment, the developer's projects are formed the urban landscape of Downtown Dubai, Dubai Hills Estate and Arabian Ranches. The company has developed a number of landmark sites in Dubai, including the iconic skyscraper Burj Khalifa and the largest shopping center in the world, the Dubai Mall, which was included in the Guinness Book of World Records.

As for DAMAC Properties, the developer focuses on building ultra-premium residential developments and resort properties. One of the most ambitious projects is DAMAC Lagoons, where each cluster is inspired by worldwide resort locations. In addition, the developer often collaborates with famous global brands such as Versace, Roberto Cavalli and Bugatti. These partnerships result in exclusive residential properties with the highest level of aesthetics and comfort.

Sobha Realty offers high quality premium properties with an emphasis on exclusive design solutions. Sobha Hartland and other developer's projects are characterized by first-class infrastructure, abundant green spaces and on-site schools.

Ellington Properties specializes in creating boutique residential developments that can be viewed as works of art. The developer's projects are characterized by modern interiors and exquisite architecture and are designed for discerning buyers.

Another significant player in Dubai's real estate market is Meraas, which is widely known for its conceptual projects City Walk, Bluewaters Island and La Mer. Many of the developer's properties have rightfully become tourist and cultural landmarks in the country.

The founder of the ambitious and world-famous Palm Jumeirah project is Nakheel, a company specializing in coastal real estate. The developer realizes exclusive island complexes, making a significant contribution to the urban landscape of the Emirates.

In addition to well-known companies, there are also smaller, but quite reputable developers working in the UAE real estate market. Many of them build affordable properties in growing areas of the country. For example, Azizi Developments is actively rebuilding Al Furjan, offering apartments at affordable prices and with elaborate schedules of payment plans. Binghatti Developers is characterized by experiments with architectural concepts, and the original facades of buildings with visual effects of movement rightfully became a recognizable “highlight” of the developer's property. The projects by MAG Development, Danube Properties and Tiger Group, which operate in the medium and budget market segments, are an excellent choice for young families.

To get the best terms and to save money while buying property in the UAE, please contact the Inside Realty experts. Our catalog features current offers from the country's leading developers with favorable payment plans and zero commission. Licensed specialists follow all changes in the UAE property market, so they will rapidly select the best residential or commercial developments from reliable companies. The proposed options will completely fulfill the needs and wishes of the customer.

Buying property from the developer with the help of Inside Realty, you are investing in a stable future, preserving and increasing your capital and becoming a homeowner in one of the most prestigious and promising world areas.