Buy Off-Plan Properties in Dubai
Investing in off-plan properties can be a smart choice for those looking to secure premium real estate at competitive prices. Whether you’re buying for personal use or as an investment, off-plan projects often come with flexible payment plans and the potential for high returns as property values increase. Explore a diverse range of New Launch and off-plan properties to find the perfect match that meets your lifestyle and investment goals.
What Are Off-Plan Properties?
Properties that are in the process of being constructed or haven’t commenced construction are termed off-plan properties. The process of investing in off-plan properties in Dubai typically involves entering into a sale and purchase agreement with the developer before construction is complete. Recently, there has been an increase in new launches of off-plan developments in Dubai, and many property investors in Dubai are now excited to purchase off-plan properties due to Dubai’s transparent regulations and best practices in the real estate industry.
As well, with property investment being a hassle-free process in Dubai, off-plan properties are now being recognized as a desirable potential investment option, and all types of buyers, including global home buyers, are willing to invest in off-plan properties.
Why Invest in Off-Plan Properties and/or Real Estate in Dubai?
There are only a number of benefits to investing in an off-plan property in Dubai that will lead to positive returns on investment opportunity for a resident buyer or international buyer. To date, off-plan housing demand and projects continue to flourish in Dubai, and with dozens of off-plan housing hot projects and new launches on the horizon, the opportunity remains strong. Here are some points to consider using when you are planning to invest in real estate, like off-plan properties in Dubai.
Some positive points of buying an off plan property are:
1. Affordable Prices:
Off-plan property prices are usually lower than ready properties, so buying prior to completion allows a buyer to price in a competitive launch by the developer, where they will be purchasing from a value standpoint, whether it’s Emaar, Nakheel, DAMAC, Meraas, or Sobha Realty else.
2. Flexible Payment Plans
Developers frequently offer flexible payment plans such as 80/20, 60/40, and 50/50 to make property investment more accessible.
3. Possibility for High Capital Gains
Properties off plan get generally more valuable as Dubai continues to nucleus . This is the investment capability that can get a good return on investment.
4. Access to Modern Amenities and Style
While from a more classic style, off plan development tends to have new, modern style buildings with amazing features that will attract modern buyers and investors.
Top Developers and Their Hot Properties in Dubai
Dubai’s great real estate market is driven celebrities in the development world and by their launching high new development with these area being hot properties in Dubai:
Emaar Properties
Renowned for their notable development building’s like Burj Khalifa and Dubai Marina, the hot projects by Emaare are Bay view and Seapoint in Emaar Beachfront, and on Palmiera located in The Oasis is off-plan in the area reflecting luxurious lifestyle living in Dubai.
Nakheel
known for Palm Jumeirrah and Jumeirah Village Circle, cal presence for new launches with Palm Beach Towers 3 and Talia Al Furjan. These stylish developments provide top-high living standards of space with world class amenities.
DAMAC Properties
DAMAC has been at the forefront of off-plan development with their likely projects which include DAMAC Hills and DAMAC Bay 2. They are also launching completely new products at some of their iconic developments including Volta in Downtown Dubai and the Skycrest Collection in Dubai Harbour.
Meraas
The company behind projects like Bluewaters Island and City Walk, Meraas has newest off-plan developments in Bluewaters Residences and Design Quarter in D3, providing a contemporary take on urban-style apartments.
Sobha Realty
Known for their aesthetic, luxury, and elegance, Sobha Realty has continually been launching hot new projects. Sobha One and Waves Opulence in Sobha Hartland is a redefined waterfront living in Dubai.
Is it Safe to Invest in Off-Plan Properties in Dubai?
Dubai’s real estate market is well regulated by agencies such as RERA and DLD, which ensures buyer protection, even with respect to delays in project completion. The transparency of processes, along with strict adherence to established rules in Dubai’s real estate procedures, ensures that off-plan property investments are safe and reliable.
Consequences of Missing Payment Obligations on Off Plan Property
If a buyer fails to make a scheduled payment on their off-plan property, the developer may notify the Dubai Land Department (DLD) who will send a notice to the buyer, allowing them 30 days to remedy the breach of their contractual obligations. The given notice time must be adhered to, and non-compliance means the developer may initiate enforcement proceedings through the Courts, which may include selling the property at auction to pay off the developer’s costs.
Assuming a buyer selects a reputable developer, understands the scheduled payments for the property, and how the regulations protect them, many buyers can make fulfilling investments in off-plan opportunities. With new launches and hot projects being released on a regular basis, it is the perfect time to consider the exciting and profitable market within Dubai’s
FAQ's
Yes, buying off-plan property in Dubai can be a good investment due to lower prices, flexible payment plans, and potential for high returns if property values appreciate by completion. You also get the advantage of customization and choosing prime locations early. However, there are risks involved, such as construction delays or project cancellations, so it’s essential to buy from reputable developers with a proven track record.
Yes, you may obtain a mortgage on the off-plan property in Dubai, yet banks tend to finance only 50% of the property's true value for non-residents and up to 75% of the property's true value financed for UAE National Citizens and Residents. Some developers may have a relationship with some banks to obtain some level of approved financing through the developer before a purchase. Mortgage approval does rely on the buyer’s capacity financially and the developers’ goodwill. If there are possible post-mortgage payment plans offered by developers, there would also be a change in the mortgage requirement assessment by all parties creating a softer requirement for financing.
The Dubai 1% plan is a way to pay for a property where the buyer pays only 1% of the property value each month for a very long period of time. This plan is more manageable and easier to budget, especially for first-time home buyers and investors. The remaining amount is likely due as a down payment or at the time of the property handover to the buyer, depending on the developer's terms.
Yes, you are allowed to sell your off-plan property before it is completed; however, there are some conditions that must be followed. You will need to obtain a No Objection Certificate (NOC) from the developer and usually the buyer will have had to down 30% of the total property value or more before he could sell before the property is completed, as well as pay admin and transfer fees. Selling the property before completion could be profitable to the seller if the property increases in value prior to completion.
If you fail to make the payments, the developer can cancel the agreement and take the property back. The developer will retain a percentage of the amount you have paid so far and may also file a lawsuit for the outstanding amounts owing. You may also be blacklisted from buying from the same developer in the future or have credit rating issues.
The best area to buy a house in Dubai will vary depending on your lifestyle and your budget. Downtown Dubai is perfect for a luxury lifestyle and iconic views. Dubai Marina is popular for its vibrant waterfront lifestyle, and Palm Jumeirah is perfect for an exclusive lifestyle and a villa on the beach. Jumeirah Village Circle (JVC) is ideal for family friendly and affordable housing. Business Bay is well located for access to the city center.
Yes, non-residents can get a mortgage for an off-plan property, but they will typically require a much larger down payment than a resident (usually 50% of property value). Generally, for off-plan projects, banks will only lend to projects developed by reputable developers. To receive a loan, borrowers must meet specific requirements, including employment and income. Rates can differ based on residency and credit history.
Ready properties are existing, completed properties that can be occupied right away or used for rental income, while Off-Plan properties are still being constructed and will be delivered in the future. Ready properties are typically less risky (typically more expensive), while off-plan projects can be cheaper but carry the risk of construction delays or cancellations. Off-plan investments typically have flexible payment plans, however, with ready properties there is often a requirement of payment in full or a mortgage.