The law of May 2002 has allowed foreign investors to get more involved in the local market and there have been many property deals over the last few years.

The legal issues:
The law and culture in Dubai is quite different from other countries, so before buying property in Dubai, ensure you hire a lawyer who has good knowledge of UAE legal system.

The Lands department is the authority body which can register real property rights. While buying property, you should always check that all your legal formalities are completed. Real property rights are capable to register rights of long leases of up to 99 years, rights of freehold ownership and they also look after the collateral right such as mortgages, easements and restrictions over real property.

You have to take the contract to the Lands Department and apply for ownership. If everything is in order then the Department will issue you a ‘Title Certificate’. This document proves that you are owner of the property. Make sure that person who is selling you the company is a registered owner.

The Contract:
The international property market in UAE is still new, so only a piece of paperwork is required which is called a sales agreement. Before signing the agreement, make sure to consult a lawyer. In many cases, buying freehold property in Dubai does not include Stamp Duty and survey fees. Lastly, 1.5 per cent is charged as registry fee and it is payable on completion.

• By: Administrator | On: 03/11/2009 | In: Dubai Property Investment | Comments: 0