Why investors buy property in Dubai
No tax on your rent or your profit, a currency fixed to the dollar, homes you can pay for as they are built, and a ten-year visa for buyers of AED 2 million or more. Here is what that means in practice, and what to watch.
The case for Dubai
Low taxes
Individuals pay no income tax on rent and no capital gains tax when they sell, and there is no yearly property tax. Buyers pay a one-off 4% transfer fee to the Dubai Land Department. Owning through a company can bring in corporate tax: take advice first.
A dollar currency
The dirham has been pegged to the US dollar since 1997. If you earn or save in dollars, the price you pay and the rent you get do not move with exchange rates.
Freehold for foreigners
In Dubai's designated freehold areas -- most of the places international buyers look -- foreigners can own homes outright, in their own name.
Pay as it is built
Off-plan homes are paid in stages: often 10–20% to book, then instalments as the building goes up, and the rest at handover -- or, with some developers, over years after it.
Residence with the home
Property worth AED 2 million or more can qualify you and your family for the ten-year Golden Visa; smaller purchases can qualify for a two-year property visa.
Protected payments
By law, off-plan money goes into an escrow account the Land Department supervises, and is released to the developer only as the building progresses.
Rental yields by area
Gross yields quoted by Dubai brokers in early 2026: a year's rent as a share of the price. Net yields are usually 1 to 2 points lower, after service charges, management and empty weeks.
| Area | Typical gross yield | What it is |
|---|---|---|
| Jumeirah Village Circle | 7–8% | Mid-priced apartments, strong demand from renters |
| Dubai Sports City | 7–8% | Lower prices, family renters |
| Dubai Silicon Oasis | 7–7.5% | Good value, near the airport road |
| Jumeirah Lake Towers | 6.5–7% | Towers by the Marina, on the metro |
| Business Bay | 6.5–7% | Central, next to Downtown |
| Dubai Marina | 6–7% | Waterfront towers, popular with short lets |
| Downtown Dubai | 5.5–6% | Prime: the Burj Khalifa and Dubai Mall |
| Dubai Hills Estate | 5.5–6% | Green, family homes, apartments and villas |
| Palm Jumeirah | 5–5.5% | Luxury, beachfront, capital growth over yield |
| Villa communities | 4.5–5.5% | Arabian Ranches, The Valley and the like |
Yields are a guide, not a promise: they change with prices and rents, and differ building by building. Ask us for the figures on a particular project.
What to watch
The costs on top
Budget around 5–7% on top of an off-plan price and 7–10% on a resale: the 4% DLD fee, registration fees, and on a resale the agent's 2%. Service charges then run from about AED 10 to over AED 30 a square foot a year. Fees and costs
Delays
Handover dates slip, sometimes by months. Your money is in escrow and the law sets out what happens if a project stalls, but plan your finances with room to spare. Escrow and buyer protection
Supply
Many new homes are being built, in some areas more than others. Location, the developer's record and the quality of the building matter more than the launch discount.
Selling before handover
Most developers let you resell an off-plan home only after you have paid 30–40% of the price, for a fee. If you may need to sell early, check the rules first. Selling before handover
Projects that qualify for the Golden Visa
See all
Read before you buy
Buying in Dubai
Ownership, visas and protection
General information, not financial, tax or legal advice. Figures are from published sources and Dubai brokers as of October 2026 and change often. Take independent advice before you invest.
Invest with a plan
Tell us your budget and what you want the property to do for you -- rent, a home later, a visa. We will shortlist projects and show you the real numbers.