Property buyers in Dubai are attracted not only by the favorable climate. The infrastructure is very developed here, and housing can really bring income and there is no tax on it. It is also customary here to issue “golden visas” to buyers for various periods, and those who plan to stay for permanent residence are offered excellent job prospects. Off-plan projects in Damac Hills are especially favorable if you are a foreign investor.
If you are a foreign citizen, the purchase will consist of a simple algorithm. Usually it passes quickly and does not require large expenses for support or documents. Here we will look at the features of a mortgage in Dubai for expats in 2022-2023.
Types of mortgage loans for foreigners
It is important to read all the offers here in order to get the best one. Any expat can choose conditions from suitable programs:
- Floating interest rate. The amount of the bank overpayment changes every month, and the minimum rate will be only 2.5%. Then it changes based on the rate of the Central Bank of the United Arab Emirates. A big plus is that fluctuations in the exchange rate here do not generally affect the amount of interest.
- Loan with fixed interest rate. It remains unchanged during the entire payment period.
- Mortgages with an upper limit. This is also a kind of floating interest, but here the overpayment will not be higher than a predetermined threshold. This type of lending applies to the first 3 years.
- Discounted rate. Mortgage option, when advantageous discounts are provided on interest, e.g., a return of 0.5%, but not during the entire repayment period – but for a certain period (usually the first years of loan repayment). This is one of the most profitable ways to buy a home in Dubai.
- An adjustable mortgage is one of the most cost-effective ways to buy property. But there are some difficulties here – not every bank is able to issue such a loan. The meaning of this program is to combine all the accounts of the accredited. When funds are found on any of them, the mortgage is automatically reduced by this amount. Mortgages are also available to expats for apartments in new buildings or other properties of a commercial nature.
Briefly, the process of issuing funds for housing is as follows:
- After choosing a bank and determining the type of mortgage, the future borrower must be approved. The check lasts no more than 3 days. The bank will check the financial capacity of the borrower, debts, credit history, and profitability.
- If everything is in order, the future borrower must pick up a property within 60 days from the date of approval.
- Once the property has been selected, the buyer pays a fee and the bank evaluates the property.
- Only after this is the final verdict on the refusal or approval of the mortgage issued.
This is a simplified scheme, since each bank in Dubai considers its own conditions for foreign investors.
Types of property for sale in Dubai in Damac Hills
With several enclaves still under construction, freehold properties are more popular in the Damac Hills area. Homebuyers can have a collection of apartments, townhouses, as well as well-designed villas. Apartments are the first form of ownership in Damac Hills.
- Luxury apartments in the area cost between AED 400,000 and AED 2.3 million, which are relatively reasonable for the amenities and services.
- The starting price for a studio apartment ranges from AED 350,000 to AED 800,000, depending on the quality of each project.
- Reference prices for 3 bedroom villas are around AED 1.2 million and for 4 bedroom accommodations around AED 1.3 million. In addition, the price of typical 3 bedroom townhouses is around AED 1.4 million.
Most of the houses are mainly equipped with high quality products and decorations.
These properties can be found in the area in 26 separate sub-communities. The most popular layout of townhouses is three bedrooms. All villas and townhouses provide access to world-class shopping, entertainment and leisure activities, as well as stunning outdoor venues such as Trump International Golf Club Dubai and The Park, which spans over four million square feet of lush greenery.
Real estate in Dubai
Emirates.Estate website holds a huge database of real estate in Damac Hills and other areas of the city. Decide on your budget and property preferences and start your search today.
