Things to know before buying property in Dubai, the UAE
Chic restaurants, beautiful views of the bay and river, and many parks and attractions: you will never get bored in Dubai. That is why a high number of tourists visit this city. Property for sale in Dubai is strengthening its position. According to statistics, every year the number of people who want to buy property in the Emirates grows by 2-3%. The interest rises especially in the most popular neighborhood of the metropolis. Apartments in Dubai Marina in 2022 are in high demand among foreign investors and those who plan to purchase real estate for permanent living.
Being newcomers to the sphere of real estate, some potential house owners are not aware of hidden moments of deals. Usually, additional expenses are not counted when the available budget is estimated. Possible extra charges appear much later when it comes to a transaction and signing a contract. In this article, we will describe a list of additional payments and other important details to pay attention to in the example of real estate from Dubai Marina.
1. The average price of the real estate in the neighborhood
The question about the average price and request to give examples allow investors to instantly distinguish a neighborhood specialist from a broker who is generally unaware of the pricing situation in that particular area. Such ignorance and unawareness of the current situation in the district show that the broker is not ready for efficient negotiations with developers. The low professionalism of an agent leads to overpayment by a buyer. Therefore, it is important to work with a neighborhood specialist for the best advice and guidance.
2. The reason for selling an apartment or a villa
This question is appropriate when you buy secondary housing. Such a simple question may give a buyer a lot of information. In eye-to-eye communication, it will be possible to identify the emotions of a seller and the percentage of truthfulness in the words. Sometimes people want to sell the house quickly, or there may be something wrong with the property – all these issues require investigation. Depending on the situation, this may provide an opportunity for negotiation that can be used to the benefit of the buyers.
3. The period of time the property has been on the market
It is always helpful to know how long a property has been on the market. If a property has been on the market for a long time, it indicates that either the price was too high, to begin with, or it is often the result of a poor sales strategy. This will give the buyer more bargaining power, as the seller may be more motivated and willing to compromise on price. Speaking about property in Dubai Marina, new offers appear every day providing more and more beneficial options. The real estate from the neighborhood is sold almost immediately.
4. The cost of property maintenance fees
Buyers often forget to ask this crucial question about property maintenance fees. Building maintenance fees in Dubai will vary from a few thousand dirhams a year to 100 thousand, which can significantly affect annual costs and should be included in the initial cost calculations. The maintenance costs of the property in Dubai Marina include the next facilities:
- Water supply
- Gas supply (for ordinary consumption and for heating)
- Electricity supply
- Television and Internet
- Cleanliness of the surrounding area
- Concierge services.
Additional hidden costs in the process of a deal
There are additional expenses that are waiting for each future house owner. They can be called hidden because sometimes they are not taken into account while looking for a good option. However, there is no secret, and investors and house owners have the right to search them in various sources. Typically, these fees can amount to about seven percent of the total cost of the property. Therefore, they should not be overlooked but should be included in the cost of buying the property.
The number of expenses and their amount may vary; still the most important are the following:
- Transaction fees, four percent of the purchase price;
- Land Department fee for the transaction of AED 4,200 and an administrative fee of AED 580;
- Professional/agent fee of two percent plus VAT and transportation costs.
Other additional fees depend on whether you buy on credit or cash, which will be stipulated in the contract.
Professional help in buying real estate in Dubai Marina
Considering the number of details and peculiarities that appear in every deal, it is advisable to have professional help all the time. Agents from Ax Capital have been working successfully for many years already. They know each type of property and each neighborhood in Dubai to the tiniest detail. The comprehensive experience of specialists allows for selecting suitable houses for any taste and need.