UAE Real Estate Investment and Company Setup in Dubai
The real estate industry in the UAE plays a vital role in driving its economy. The country boasts some of the finest properties globally, attracting individuals from all walks of life. Dubai, in particular, stands out as a favored destination due to its exceptional lifestyle, robust business infrastructure, vibrant shopping scene, and booming tourism sector. Moreover, real estate investments in the UAE offer unparalleled rental yields, surpassing those found elsewhere in the world.
Why is Dubai a Preferred Destination for Real Estate Investment?
Investing in properties is an excellent avenue to generate additional income. There are numerous compelling factors that make Dubai a highly profitable choice for real estate investments.
1. High Rental Yields
Dubai’s real estate market is highly developed, offering properties with attractive returns. It is estimated that annual rental yields can range from 5% to 9% of the property price.
2. Lower Property Prices
Compared to international markets like the UK, Hong Kong, and Network, Dubai provides remarkably affordable property prices per square foot. This makes it an attractive option for real estate investments and acquisitions.
3. Property Purchase and Residence Visa
Investing in properties valued above AED 1 Million grants investors a 3-year residence visa in the UAE, allowing them to enjoy the benefits of residing in this vibrant country.
1. 5-Year Long Term Residence Visa
By investing AED 5 Million in real estate, the investor becomes eligible for a 5-year Long-Term Visa. It is important to note that the property should be owned outright, free from any mortgage or loan, and must be retained by the investor for a minimum of 3 years.
2. 10-Year Long Term Residence Visa
As part of the Gold Card Visa program, investors who commit AED 10 million to real estate and other ventures in the UAE are eligible for a 10-year long-term visa. However, it is important to note that at least 60% of this investment must be allocated to business categories other than real estate. This requirement ensures diversification and encourages investors to explore various sectors for long-term growth opportunities.
4. No Property Tax or Stamp Duty
In the UAE, you won’t encounter any property taxes or stamp duties, unlike many other global markets. Moreover, the registration fees and overall property purchase price are remarkably affordable, varying based on the chosen apartment type and location. The property purchase process is meticulously streamlined and closely monitored by authorities, ensuring a peaceful and comfortable registration experience for investors.
Explore additional investment prospects in Dubai.
Besides purchasing property in the UAE for rental income, another highly profitable investment option is to establish a business in one of the UAE’s affordable Free Zones. The UAE offers a plethora of lucrative business opportunities waiting to be explored. With its expansive audience base, advanced technological infrastructure, zero taxation benefits, abundance of skilled labor, and networking prospects, the UAE stands as the ideal destination to turn your dream company into a reality.
Options for Establishing Your Business in the UAE
The UAE provides a multitude of options for establishing a company. Entrepreneurs, whether new or well-established, can explore the offerings of the UAE’s free zones, which provide diverse company formation packages catering to various needs, from warehousing to manufacturing facilities. Additionally, there is the option of setting up a mainland company, such as an LLC, by either partnering with a UAE national or appointing a local service agent, depending on the chosen business activities. This flexibility allows businesses to thrive in a dynamic and supportive environment.
1. Business License from the UAE Freezones
UAE Freezones provides a diverse range of business licenses catering to investors, including services, commercial, industrial, eCommerce, media, freelance, and more. You have the flexibility to select business activities tailored to your desired license category. Setting up a company in Dubai is a seamless and hassle-free process. Our expert Business Consultants will guide you in choosing the ideal free zone license and company formation package that suits your needs.
2. Choosing a Flexi-Desk Type Office or a Shared Office, or Work-Station
The UAE’s free zones provide a diverse selection of office spaces tailored to your needs. From flexible desk options to shared workspaces and dedicated workstations, you have the freedom to choose. With benefits like 100% foreign ownership, tax-free status, 100% profit repatriation, and no customs duties, it’s no wonder that entrepreneurs are favoring free zones as their top choice.
3. Renting out a Fully Furnished Office in the Free zone
You have the flexibility to choose a fully furnished office in the free zone complex, based on your business requirements. The free zones in the UAE provide exceptional infrastructure and a conducive business ecosystem for seamless company growth and expansion.
4. Opening a Business in the Mainland of Dubai
To expand their physical presence in the local market of the UAE, businesses in sectors like retail, education, construction, real estate, maintenance & electricals, and healthcare should consider opening an LLC Company (with 51% UAE National Shareholding) in mainland Dubai. This approach offers greater prospects for business growth and acceleration. Similarly, professionals in fields such as engineering, legal, accounts, and medicine can obtain a professional license from mainland Dubai and appoint a local service agent for an annual fee. For more information on UAE Free Zone Company Formation and LLC Company Registration, feel free to reach out to our expert team promptly!