Carol Jones
Dubai is an expat city where people from all over the world come to work and live. In general, this is a rather expensive metropolis to buy property. Expats with little income are forced to live very modestly. Others have no problems with money, but they still prefer saving and reasonable consumption.
Still, others live large, allowing themselves luxury housing property, expensive restaurants, and shopping in brand stores. If expats plan to move to Dubai and buy properties in Dubai in 2024, they need to assess their capabilities correctly and know the primary expense items.
Property purchase
Purchasing a home allows a foreigner to get a resident visa. A two-year resident visa with the option of extension is given to buyers of housing worth $204,000, and to obtain a “golden visa” for five or ten years, you need to buy housing worth $544,000.
Foreigners can register the property as full ownership in certain freehold zones. There are more than 60 of these zones in Dubai, including popular areas such as Downtown, Dubai Marina, Palm Jumeirah, Business Bay, and others. There are also leasehold zones, in which foreigners only have the opportunity to take out real estate on a long-term lease – for up to 99 years. The tenant will not have full rights for this period; for example, he can rent out housing only with the permission of the main owner (he can only be a citizen of the UAE or another Gulf country). However, the price of housing in leasehold zones is lower, and in addition, after the expiration of the agreed period, the lease can be extended. However, housing in leasehold zones is not very popular among expats.
Several factors influence the price of housing in Dubai
- Property type (studio, spacious apartment, townhouse, villa).
- Dimensions (room footage, availability of your garden, parking, private pool).
- Location (in prestigious or non-prestigious areas, on the coast away from the sea, etc.).
- The infrastructure of the residential complex (landscaping, availability of a gym, swimming pool, etc.).
- Transportation accessibility (convenient roads, availability of public transport).
It is considered quite profitable to purchase housing off-plan – that is, during the construction stage. This way, you can buy an apartment via AX CAPITAL cheaper than it will cost when the house is completely ready. But if a person needs to quickly move in and start living, this option is unsuitable. In this case, it is better to buy ready-made housing – in Dubai, it is usually sold with finishing, furniture, and even household appliances.
The most popular residential property market properties in Dubai are small one-bedroom flats. You can find budget options with an area of 30–70 sq.m. Such flats are available both in the primary and secondary markets. For example, in the Surf Creek Beach residential complex in the Dubai Creek Harbor area, apartment prices start from $245,000. Apartments in Merano Tower in the Business Bay area cost $185,000. In luxury complexes, prices for apartments are slightly higher. For example, comfortable apartments on the island of Palm Jumeirah will cost $250,000, and Downtown studios can be purchased at prices starting from $163,000.
Luxurious Mansions
Many foreigners rent villas in Dubai. This segment includes luxurious luxury mansions and affordable options starting from $340,000. The metropolis also has a large selection of townhouses – for every budget: prices for them start from $200,000. On average, you need to expect a cost of $408,000–545,000.
In Dubai, you can buy a home with a mortgage. To do this, the potential borrower must be at least 21 years old and not older than 65, have a resident visa, and provide proof of income. The minimum down payment is 25% of the property value. When deciding to take out a mortgage loan, the borrower must carefully consider the budget and assess their financial capabilities. Payments mustn’t exceed 50% of the monthly budget. Otherwise, banks may not approve the mortgage. You also need to consider the additional costs of the transaction – about 6-9% of the cost of the property.
In the summer of 2023, real estate experts talked about Dubai’s rapid growth in home sales. According to some forecasts, demand for housing in the UAE will remain high in the next few years, and prices will rise.
Entertainment
The main entertainment in Dubai is located in shopping and entertainment complexes and parks, which are quite affordable by local standards. For example, two adult tickets to the water park cost $82,000, two tickets to the IMG Worlds of Adventure park cost $188, and a golf session on the interactive course costs $50. You can visit the Burj Khalifa Tower for two for $84. Skating for two at the entertainment center costs $30. City tours can be found for $50.
Dubai has many interesting attractions, free recreation areas, public beaches, and interesting places like the aquarium in the Dubai Mall.
Conclusion
The main expenses that an expat couple faces in Dubai are related to rent, food, utilities, transportation, and the purchase of health insurance. With reasonable savings, even with a small income by the standards of the emirate, you can afford to visit cafes and restaurants and have affordable entertainment.
