Buying property in the UAE? 8 key questions you should ask
Your checklist for purchasing property in the UAE
The UAE’s property market has long been a solid choice for those looking to invest in real estate with investors purchasing property in the UAE getting better returns than mature markets such as Hong Kong or London.
The past months saw the Dubai residential real estate market continuing with price stabilisation with prospective buyers witnessing housing units becoming more and more affordable, making the UAE offering high-growth investment for buyers.
With over 120,000 property listings on the site, EZHeights, a property portal, has released a guide to buying properties with the company claiming all listings are manually screened to ensure that no fakes or duplicates are uploaded to the site.
Here is a checklist when purchasing property in the UAE:
Think carefully about the neighbourhood. Have property prices increased or decreased in the area? Is the area easily accessible and are there good shops and schools close by? Is the location in a high traffic zone, will the sound of the cars be disturbing? How close are you to public transport? Are there any major roadworks or construction projects happening close by?
How much money are you looking to spend on a property? What facilities come included in the price? What else can you get for the same price in the same neighbourhood? What is the average price of property in the area?
3. Master developer’s delivery
Spend time researching the master developers’ track record. Have they completed all their projects to high standards in the promised time? Do they have a good reputation for property maintenance? Are their older buildings safe and well maintained? Pay a visit to older buildings to see for yourself.
4. Building contractor’s quality record
Spend time researching the building contractor’s history and quality record. Have they delivered buildings to a high standard? Have their older buildings had any problems or serious issues that you should be aware of?
5. Potential return on investment
If you’re buying a property, you don’t want the value to depreciate in time. How much money do you see yourself making? Will the property lose value or increase in value over time? Are you planning on selling this after a few years or keeping it forever?
6. Recurring monthly costs and service charges
How much money will you be spending on the property on a monthly basis? Do you have additional expensive service charges? Will the DEWA bills be high? Do you have to pay annual service fees?
7. Seller’s existing mortgage prepayment requirements
Find out what the seller’s mortgage prepayment requirements are and what you need to do to meet these? Are these feasible for your budget and are these reasonable terms?
8. Buyer’s mortgage ability and availability
Find out what mortgage you would have available to you. How much would this be and what are the repayment terms? How much would you be borrowing and do you meet the mortgage lenders criteria? Are you eligible for a mortgage?