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Real Estate Lawyers in Dubai

Real Estate Lawyers in Dubai

Individuals who want to purchase a property in Dubai are advised to perform a real estate due diligence process before securing the purchase. This can be done voluntarily by the buyer in order to make sure that the property is objectively evaluated and the decision to make the purchase is an informed one.

Our real estate lawyers in Dubai can perform a complete and thorough investigation of your desired commercial or residential real estate property.

Services provided by our property lawyers in Dubai

When dealing with the Real Estate Law in Dubai, the services and advice from professionals is highly recommended. For assistance, both local and foreign investors and simple citizens can rely on the following services provided by our real estate lawyer in Dubai:

  1. guidance on the legislation related to owning real estate as a foreigner in the UAE;
  2. real estate due diligence services in order to assess a property before buying it;
  3. legal representation during all types of real estate transactions (when buying residential or commercial properties);
  4. representation in real estate disputes, if such problems should arise;
  5. guidance in renting a property or settling rental disputes.

Also, if you have any questions about buying or renting properties in this Emirate, our lawyers in Dubai are at your services with complete information.

Real estate laws in Dubai

Dubai is one of the most prolific and popular cities among foreign citizens who come to work in the UAE, but also among investors who come here for business purposes. This is also one of the main reasons, the interested in real estate purchases and rentals has increased substantially in the past 20 years.

The development of the real estate market determines more and more foreigners to try and buy properties in Dubai, however, unlike European countries, the legislation here is more stringent.

The most important act on property ownership in Dubai is Real Estate Law No. 7 which was enabled in 2006. The enablement of this law was the most important step towards the liberalization of the real estate market in Dubai, as it allows foreign citizens to buy and rent properties in Dubai.

Foreigners can lease properties for up to 99 years, provided they obtain an approval from the Dubai Government. This is deemed as freehold property ownership.

When it comes to property rentals, the agreements are usually signed for a period of one year with the possibility of extension when it comes to foreign citizens leasing residential homes in Dubai. Also, tenants’ rights are very well protected in Dubai, as landlords are not allowed to increase the rent while a contract is running, while at the end of it, the amount requested cannot be raised with more than 15%.

Our real estate lawyer in Dubai is at your service with updated information on the property laws applicable here. Also, should you need us to verify any contract, do not hesitate to ask for support.

How you can purchase a property, helped by our real estate lawyers in Dubai

Investors in Dubai can purchase real estate for personal use, to serve as the company’s headquarters or for renting. Alternatively, real estate investors purchase properties that can be sold after they have been renovated or they can be re-purposed altogether. Apartments or houses are generally purchased for personal use, commercial properties – for business purposes and other residential properties can be bought for subsequent lease and profit.

Foreign investors in Dubai are allowed to purchase many types of properties, either for personal or business use. Our Dubai real estate lawyers can assist you throughout the entire purchase, which starts with the negotiation and verbal agreement with the seller and concludes with signing the final purchase documents.

The property due diligence process in Dubai

Our real estate lawyers in Dubai will help with purchases and they can assist you during the entire purchase. Together with our lawyers, you will be able to draft the acquisition documents and conclude the final purchase agreement. We will see if the purchase price is the correct one and if it is in line with the current prices on the market. Our attorneys in Dubai can also help you obtain information about zone matters, verify leases and entitlements made in the seller’s name in the past.

During the real estate due diligence process, our Dubai attorneys will suggest you ask for a physical property inspection and review that can cover areas such as seismic inspection, electrical, mechanical and structural inspection.

Real estate due diligence with the Land Register in Dubai

No matter the type of property you want to buy in Dubai, there are several procedures that can be used in order to determine if the real estate is the best option. The only institution offering information about a Dubai residential and commercial properties is the Land Register. However, in the case of all transactions related to real estate, the search can be conducted only with the consent of the owner. The Land Registry offers the following information:

  • whether the property is subject to encumbrances, such as mortgages;
  • the property is not subject to third-party claims;
  • the property does not belong to governmental agencies and can be sold;
  • there are no debts related to the real estate in question.

Why is a real estate due diligence necessary in Dubai?

A real estate due diligence made by real estate lawyers in Dubai will help the foreign buyers understand better the type or purchase they are interested in. A background check and a complete verification of the property may reveal whether the owner has been involved in illicit activities or not. As it is known, the legal problems may intervene in the buying process of a property in Dubai.

The real estate due diligence report

At the end of verification, our property lawyers in Dubai will present you a complete real estate due diligence report which will contain information about former owners of the property, if the taxes have been paid or not, a financial situation, the key terms of the property sale, the registration with the local authorities, whether the assets have been involved in litigation cases or not. We can handle the real estate due diligence in Dubai, and we can provide legal assistance to foreigners in search of purchasing properties for personal or business matters.

The development of the real estate industry in Dubai led to a rising number of disputes related to properties in the Emirate. In fact, real estate litigation is currently among the most frequent cases tried by the Dubai courts. In order to provide for simpler resolution of litigation related to real estate the local Government has enabled the Real Estate Court which tries cases related to commercial and residential contracts on properties located in the Emirate. In the past few years, disputes between landlords and tenants engaged in rental agreements have also risen, which is why the Emirate now has Rental Disputes Center to handle this kind of claims.

How to complete the real estate purchase procedure in Dubai

Foreign citizens, sole investors or companies can benefit from support from our property lawyers in Dubai when purchasing various types of real estate here. While the procedure is the same, in terms of documents, buyers will need to consider different paperwork depending on the property to purchase.

In the case of residential properties, the buyer and the seller need to agree on the price of the property and then have the sale-purchase agreement drafted. In most cases, the buyer needs to deposit 10% of the price of the property as a guarantee for the purchase following which he or she needs to wait for all documents to be prepared before entering the possession of the property. This period usually takes around 30 days to complete, period in which the approval from the Dubai Government is awaited.

In the case of commercial real estate purchases, our real estate lawyer in Dubai can prepare all the documents required to complete the transaction.

How to obtain an investor visa through real estate investment in Dubai

Not long ago, the Dubai Government has enabled the Investor Visa program which has as a main benefit the possibility of purchasing real estate and living here for a determined period of time with the possibility of renewal.

The minimum value of the property is set at 1 million AED and as a novelty, starting with 2020, investors are also allowed to choose and purchase commercial real estate under this program. This means that foreign entrepreneurs can also buy industrial sites and/or warehouses.

Our property lawyers in Dubai can assist those who want to immigrate here based on investor and freelance permits. Anyone can qualify and apply for a freelance visa for Dubai. Additionally, this type of visa can be changed into a residency permit, enabling the holder to live and work there. This is one of the simplest ways of moving to the United Arab Emirates and taking advantage of becoming a resident. You can rely on our Dubai lawyers for support with your application.

Settling disputes through the Dubai Real Estate Court

The Real Estate Court in Dubai is divided into two sections which rule in disputes resulted from the contracts related to property rights in both residential and commercial cases. The first division of the court, known as the Major Circuit handles real estate litigation cases valued at more than 100,000 AED, while the Minor Circuit handles cases estimated at less than 100,000 AED.

Petitions related to real estate disputes can be submitted online with the Real Estate Court. Once the claim is filed the judge will hear the parties involved in the litigation and make a decision based on the evidence submitted and the testimony of both parties. It is best to hire property lawyers in Dubai for representation in disputes related to real estate.

Resolving rental disputes with the help of our property lawyers in Dubai

The Rental Dispute Center was established in order to separate real estate disputes related to sale-purchase contracts, from those related to lease contracts. The procedure to be followed in a rental dispute consist of:

  • preparing all the documents related to the case;
  • a form issued by the Rental Dispute Center;
  • submitting the tenancy contract in original together with ID papers of both the tenant and the landlord;
  • pay the fee related to the proceedings.

Based on these documents, the claimant will be scheduled to appear before the judge. However, before the case is tried the court, the Arbitration and Reconciliation Department will try to resolve the dispute amicably.

You can also watch our video below:


Why buy a property in Dubai

The Dubai property market is one of the most profitable in the Middle East, as the yield on rental is one of the highest in the region.

According to a survey issued by GlobalPropertyGuide.com:

  • apartment prices in Dubai have decreased by a little over 5% in February 2020, which makes it a great time to consider such investment at the moment;
  • villa prices have also gone down with a little over 10% in the same period;
  • rental yields of small apartments are of up to 7%;
  • rental yields of medium-sized apartments are of 5.9%.

Please feel free to contact our law firm in Dubai for more information about real estate purchase and due diligence procedures.