Dubai is one of the seven emirates that make up the United Arab Emirates (UAE). Since its rapid rise from a small desert city to one of the most advanced cities in the world, Dubai has become a serious point of interest for investors. Dubai offers some of the most exciting investment opportunities, with incentives like the UAE Golden Visa and Free Zones, which allow foreign investors to own land.
- Dubai has free zones that allow foreign investors to own land and apply for long-term visas through investments.
- The Dubai Financial Markets are some of the best-performing markets in the world and are open to foreign investors through a streamlined online process.
- Industry-specific free zones and business incubators have created a thriving startup environment in Dubai.
- The tourism industry has seen massive growth in the past few years and continues to grow as more investors look to the hospitality industry for worthwhile investments.
- The Dubai Government has various systems and plans to encourage state and private collaboration in the medical sector with plenty of opportunities for investment and clear guidelines on what the government is focused on improving.
Dubai’s “Free Zones” and Why They Matter
In 1985 the ruler of Dubai established the first "Free Zone" in Dubai. Free Zones offer foreign investors tax cuts and the opportunity to establish and completely head their own companies in Dubai.
Each of the Free Zones has its own governing authority and businesses need to match a sector to establish a business in that sector. Understanding Free Zones and Dubai's unique tax laws is essential when considering how to invest in Dubai or what to invest in.
Some of the benefits of Free Zones include:
- 100% Foreign Ownership
- No Corporate or Income Taxes
- No Customs Duties
- Independent Laws per sector
It is important to note that any property purchases or business establishment outside of these Free Zones will require knowledge of the Leasehold system, which requires investors to have a partner who is a UAE resident. Many of the restricted areas for the foreign investors, leasehold, were opened up in recent years making it more attractive for any investor to set-up shop easily in Dubai.
Real Estate Investment in Dubai
Overview of the Dubai Property Market
As part of Dubai's growth plan, the government has put a lot of incentives in place to attract foreign investors, particularly in the real estate sector. The introduction of "Free Zones" and extensive investor incentives has made real estate investment opportunities in UAE some of the best on the market. From large industrial complexes to high-rise apartments there is something for every investor.
Key Areas for Investment
The best real estate investment opportunities in Dubai can be split into 3 categories:
- Residential: Dubai's residential markets have seen a substantial increase in the number of transactions every year, with growth of more than 30% per year. This growth can be seen across the residential real estate sector, but the biggest increase can be seen in villas; with a lot more being sold and prices increasing dramatically.
- Commercial: Dubai's commercial real estate sector is one of the most dynamic and remains the sector showing the most growth, with commercial property prices increasing by more than 30% since 2023. Most commercial properties will fall into industry zones like the Dubai Internet City, or Jebel Ali Free Zone which hosts over 9,500 companies.
- Land: Whether you want to buy land for your next dream house or to build a massive factory, Dubai has it. Free Zones such as the Palm Jumeirah offer extreme luxury and are predictably more expensive, but there are more affordable areas as well.
Benefits of Real Estate Investment
One of the biggest reasons Dubai is such an attractive option for investors is the UAE Golden Visa. The UAE Golden Visa offers investors a way to get long-term residency through property investments, and eventually, citizenship.
There are currently two paths investors can follow to obtain this visa
1. 10-Year Residency: Investors need to invest a minimum of about $544,000 to obtain the 10-year residency visa.
Two-Year Residency: For a cheaper option, investors can opt for the two-year residency visa. The minimum investment amount for this option varies depending on how many people are involved in the investment.
2. Two-Year Residency: For a cheaper option, investors can opt for the two-year residency visa. The minimum investment amount for this option varies depending on how many people are involved in the investment.
To find the best investment solutions in Dubai and learn more about how you can get a UAE Golden Visa, get in touch with Mirabello Consultancy.
FAQ
The Dubai Financial Market is one of the most dynamic and fast-paced markets in the world. To facilitate this growth and to provide a sustainable business environment, the UAE government has many systems and laws in place. These systems are what enabled Dubai to be one of the first countries to recover after COVID-19 in all of their sectors.
Dubai offers some of the most robust business-related systems in the world. On the UAE Ministry of Economy website they state that a business can be set up in 4 days through their online systems. Compared to the average in other high-income countries, you can expect to wait 10 days.
As part of the process of establishing a business in Dubai, you will need to register for a visa. The best visa option for investors is the UAE Golden Visa.
Through the Ministry of Economics online system, there are two different paths to starting a business:
- Establish your company in the UAE mainland
- Establish your company in the UAE free zones
Both options show clear steps and a defined process to make business creation fluid.
Dubai offers one of the most progressive visa plans out there in the form of the UAE Golden Visa. This visa caters to potential foreign investors and aims to make investments in Dubai more attractive. This is done through long-term visa options based on the investment amount and the type of investment. To see all the ways you can qualify for a Dubai residency through investment, read this article. To see how you can qualify for UAE residency, read this article.
