Dubai has for the longest time served as the pearl of real estate investment in the Middle East. The UAE government has put in place every conceivable foreign investment attraction measure to pull in as many investors as possible. From improved security to accelerated government services like business and property registration, the city competes highly with most other investment destinations across the world. Hussain Sajwani, the Damac owner, however, hold the opinion that these aren’t the only measures the government has put in place in attracting investment. Others include:
Seamless transfer of property
Hussain Sajwani notes that the Dubai Land Department recently launched the Real Estate Self Transact (REST) System that allows for the seamless transfer of property. Residents can now sell, buy, rent, or access mortgage for their property or businesses through the platform. Such automation goes a long way in eliminating the bureaucratic government processes and eliminates the unnecessary paperwork.
Availing more property to the market
With the return on investment for most property in Dubai at its highest, the demand for property has peaked. More importantly, the ever-burgeoning city population has pushed the demand for real estate properties even higher. In 2018, the Damac owner noted the introduction of over 14,000 property into the City’s real estate market.
Waiving unnecessary fees
Hussain Sajwani also argues that the UAE government is gradually scrapping unnecessary real estate fees. For instance, the Damac owner points out to the 4 percent waiver by Dubai Land Department for late payments on land registration. More importantly, the government adjusted the Visa rule by introducing long-term visas for investors.
How do these factors encourage foreign investment?
These adjustments ensured that Dubai remained one of the most transparent real estate markets in the region. According to Hussain Sajwani, the long-term visa and the introduction of more property into the city real estate market will serve as incentives for foreign investors to own homes and commercial properties. Equally impactful policies include the adjusted policies that streamline the transfer of properties and access to mortgages and 100 percent property ownership by foreigners outside the designated free zones.