Owning a property in Dubai is an exciting prospect. It’s a city that defines modern luxury, innovation and global connectivity, with architecture and amenities that are hard to beat anywhere else in the world.
But buying property in Dubai as an overseas buyer can feel daunting. You’re spending a large sum in a fast-moving market, in a different legal system — and crucially, in a different currency. And once you own the property, you’ll also want to understand what your ownership means for residency and visas.
So, whether you’re looking for a holiday home, a high-yield investment, or a base for a move to the UAE, there’s plenty to work through.
This guide walks you through how buying property in Dubai works, what it typically costs, and one of the most overlooked parts of the process: managing your currency exchange. You will be buying in UAE Dirhams (AED). Because the AED is pegged to the US Dollar, your budget is exposed to movements in the USD market — and that can change your costs significantly while a purchase is in progress.
Can foreigners buy property in Dubai?
Yes. Foreign nationals can buy property in Dubai, but typically only in designated “freehold” areas.
In freehold areas, you can purchase on a freehold basis, meaning you own the property outright and the title deed is registered in your name. Outside those designated areas, different ownership structures may apply (such as leasehold), and eligibility can vary.
Dubai has dozens of freehold zones, including many of the best-known communities (for example: Downtown Dubai, Dubai Marina, Dubai Hills Estate, Palm Jumeirah, Jumeirah Lake Towers and more). Your agent or conveyancer should confirm the ownership status of any property before you commit.
Visas and residency in Dubai
Dubai is unusual in that property ownership can support a residency application — but the visa you qualify for depends on the property value and your circumstances. Always check the latest official requirements before you proceed.
Common routes include:
- 2-year investor visa (renewable): Typically available to property investors meeting the minimum value threshold.
- 10-year Golden Visa (renewable): A long-term residency option linked to higher-value property investment, with family sponsorship options.
- Retirement visa: For eligible applicants over a certain age who meet property ownership and/or financial criteria.
Visa criteria can change, and requirements can differ depending on whether a property is mortgaged and how ownership is structured (e.g., one property or multiple properties, joint ownership, etc.). Treat any visa information as something to verify early — ideally before you exchange contracts.
Why buy property in Dubai?
Dubai has become one of the world’s most attractive international property markets. From beachfront villas to high-rise apartments close to business districts and metro links, the variety is enormous.
For many overseas buyers, the appeal includes:
- A favourable personal-tax environment: The UAE does not levy income tax on individuals (though fees and indirect taxes like VAT can still apply).
- Strong rental yield potential: Yields vary by area and property type, but Dubai is widely seen as competitive versus many mature global cities.
- Lifestyle and connectivity: Year-round sunshine, beaches, leisure, and a global aviation hub.
- Modern infrastructure: Schools, healthcare, roads and public transport continue to develop at pace.
The property-buying process in Dubai
Below is a typical journey for international buyers (resale/ready property). Off-plan purchases follow a slightly different path.
Define your requirements and budget Decide whether your property is for holidays, rental income, relocation or a longer-term investment. At this stage, calculate your budget in both your home currency and AED, so you can see your exposure to exchange rate movements.
Choose a location Dubai is very community-focused. A villa in a green suburb offers a completely different lifestyle to a marina apartment or Downtown pied-à-terre. If possible, visit in person — or work with a trusted agent who can do virtual viewings and neighbourhood comparisons.
Plan your finances early Property transactions are completed in Dirhams. If your home currency weakens against the US Dollar during the buying process (and therefore against AED), the property can become more expensive in your home currency — even if the AED price doesn’t change. Planning your currency strategy early helps avoid last-minute surprises.
Engage a properly licensed agent Use an agent who is registered and can evidence their licensing. You can also consider using a conveyancer/conveyancing service to review documents and manage the administrative process, especially if you won’t be in Dubai for every step.
Make an offer and sign the MOU (Form F) Once your offer is accepted, you’ll typically sign a Memorandum of Understanding (MOU), also known as Form F. A deposit is commonly paid at this stage.
No Objection Certificate (NOC) The seller obtains an NOC from the developer confirming there are no outstanding service charges or issues preventing transfer.
Final transfer at the Dubai Land Department (DLD) Buyer, seller (or representatives) and agents meet at a DLD Trustee Office to complete the transfer. You’ll pay the balance and applicable fees, and the title deed is issued in your name. Because timing can move quickly at the end, it’s important your funds are ready in AED when needed.
Costs of buying a property in Dubai
In addition to the purchase price, buyers should typically budget for:
- Dubai Land Department (DLD) transfer/registration fee: commonly 4% of the purchase price.
- Trustee office / registration admin fees: often a fixed AED amount (varies by property value and the process used).
- Agency fees: commonly around 2% + VAT for a buyer’s agent on resale property (terms vary).
- NOC fees: vary by developer.
- Ongoing costs: service charges (community/building fees), plus utilities and maintenance.
As a rule of thumb, many buyers plan for around 7–8% on top of the purchase price for upfront costs — but it’s worth getting an itemised estimate early, because totals can vary depending on whether you’re buying resale or off-plan, using a mortgage, and which developer/community you choose.
Why currency exchange is critical
You will likely need to send money at several stages:
- Reservation deposit (common for off-plan)
- Initial deposit (often on signing the MOU)
- Final balance
- DLD fees and agency commissions
- Renovation, furnishing and setup costs
Most overseas buyers underestimate the impact of the AED’s US Dollar peg. In practice, if you hold Pounds or Euros, you are exposed to USD movements throughout your buying timeline.
For illustration, an AED 2,000,000 property could cost:
- ~£430,000 at one GBP/AED rate
- ~£449,000 at another rate
That’s a difference of roughly £19,000, purely due to currency movement — and those kinds of swings can happen while you’re waiting for steps like the NOC and the final transfer appointment.
How to manage currency risk
The good news is you can reduce — or remove — much of this uncertainty with a plan.
- Forward contract: Fix today’s exchange rate for a future payment (such as completion funds). This helps you lock in the cost of the property in your home currency and protects against adverse market moves.
- Market order / rate alert: If you’re not ready to lock a rate, you can set an alert — or place an order so that if the market reaches your chosen level, your currency is bought automatically.
Why use a specialist currency provider?
When buying property abroad, using a specialist can make the process simpler and more secure.
Banks can be slower and more expensive for international transfers, and they typically don’t offer the same kind of proactive support around timing and risk management. With Smart Currency, you’re supported by a designated account manager who can help you plan transfers around your milestones, and discuss strategies like forward contracts and market orders.
Smart Currency’s brand promise is about making cross-border payments simple and secure, with clear and supportive guidance throughout the process.
Making transfers on time
Dubai transactions can move quickly once the final stages begin. To help keep your purchase on track, make sure you:
- know exactly when deposits and balances are due
- understand who receives each payment (developer, seller, escrow, trustee office, agent)
- allow for bank cut-off times and beneficiary checks
- have a clear plan to ensure funds arrive in AED on schedule
In summary: buying property in Dubai
To make your purchase smooth, enjoyable and financially secure, it helps to understand Dubai’s buying process and the real costs involved — and to plan early.
- Budget for typical fees and admin costs on top of the purchase price.
- Treat currency exchange as part of your buying strategy from day one. Because AED is pegged to USD, your “real” exposure is to USD movements against your home currency.
- Use professional support (agent, conveyancer, currency specialist) so you can move quickly when you need to — without taking unnecessary risks.
With careful planning, buying property in Dubai can be both a rewarding lifestyle decision and a strong long-term investment.
Frequently Asked Questions about buying property in Dubai
Is it safe to buy property in Dubai?
Dubai’s market is regulated, and there are specific protections around off-plan transactions, including escrow account mechanisms linked to real estate development oversight.
Can I buy with a mortgage?
Yes — overseas buyers can get mortgages in Dubai, but maximum borrowing and eligibility depends on the lender, the property, and whether you are resident or non-resident.
Do I need a lawyer?
It’s not always mandatory to use a lawyer for the transfer itself, but many overseas buyers use a conveyancer or legal adviser to review contracts and help manage the administrative steps, particularly if they won’t be in Dubai in person.
