Guide for Investors: How to Buy Property in Dubai in 2025. Residency, Taxes, Budget, and the Best Locations for Living and Investment

Dubai continues to be one of the most attractive global destinations for real estate investment. In 2024, the market reached record highs — and the trend remains strong in 2025. High demand, zero property tax, and stable rental yields are drawing investors from around the world.

If you are considering purchasing real estate in Dubai this year, this guide by the video-based real estate platform Dubadu will help you approach the process with clarity and confidence.

Why Dubai?

• Rapid population growth — expected to reach six million by 2040
• Zero property tax
• One of the safest major cities in the world
• Rental yields between 5% and 8%
• Advanced infrastructure, strong digitalisation, long-term economic stability

Step 1: define your investment goal

Before searching for a property, it’s essential to understand your investment purpose. Are you planning to live in Dubai? Generate rental income? Invest in capital appreciation? Secure residency through property ownership?

Each goal implies a different strategy. For example:

• For rental income, consider ready apartments in Dubai Marina or Jumeirah Village Circle (JVC)
• For capital growth, explore off-plan projects in Dubai Hills Estate or The Valley
• For personal residence, look into areas like Jumeirah, Business Bay, or Palm Jumeirah

Step 2: consider your budget and currency

The official currency of the UAE is the dirham (AED), which is pegged to the US dollar, ensuring exchange rate stability.

If you are calculating your budget in euros, it is important to monitor the EUR/USD exchange rate, as fluctuations can affect your final cost.

Estimated property prices in Dubai in 2025:

• Studio apartment in JVC: from $150,000
• One-bedroom apartment in Dubai Hills Estate: from $220,000
• Villa in Damac Hills: from $500,000
• Luxury villa on Palm Jumeirah: from $3 million

Step 3: ready property or off-plan?

Buying a ready property means you can move in or begin renting it out immediately. Prices reflect current market value, and full payment is typically required upfront.

Off-plan properties, which are still under construction, offer prices 10% to 25% lower than ready units and often come with convenient payment plans (e.g. 20/80 or 60/40). However, delivery may take one to three years, and selecting a trustworthy developer is crucial.

Step 4: the purchase process in Dubai

The property acquisition process typically follows these steps:

1. Agreement on purchase terms
2. Signing a Memorandum of Understanding (MOU) and paying a deposit (usually 10% of the purchase price)
3. Applying for a No Objection Certificate (NOC) from the developer
4. Receiving the NOC after confirming there are no outstanding maintenance fees
5. Registering the property with the Dubai Land Department and obtaining the official Title Deed

Step 5: property management

If you are not living in Dubai, you can delegate property management to a local agency. Services may include tenant sourcing, legal and financial administration, and ongoing maintenance of the property.

Step 6: additional costs

In addition to the purchase price, buyers should be aware of the following expenses:

• Agency commission: from 2% (can be 4–5%)
• Registration fee with the Dubai Land Department: 4% (sometimes shared between buyer and seller)
• Mortgage: typically requires a down payment of at least 25%
• Legal and administrative costs: approximately 6–7%

Step 7: residency through property investment

Foreigners can obtain a UAE residency visa by purchasing residential real estate. This is a common pathway for investors and families looking to live, work, or study in the Emirates.

To qualify, the property must be classified as residential — such as an apartment, villa, townhouse, or house intended for living — not commercial or office space.

Residency options include:

• A two-year visa for properties worth at least AED 750,000 (approximately $204,000)
• A five-year visa for investments starting at AED 2 million (approximately $544,500)

Residency status provides the right to live and work in the UAE and simplifies travel within the country.

Buying property in Dubai in 2025 is more than a trend — it’s a strategic investment choice offering attractive returns, minimal taxation, and strong long-term potential. Whether for living, renting, or growing your capital, Dubai’s real estate market continues to offer remarkable opportunities.

To start your search, visit Dubadu — the video platform transforming the way real estate is explored and experienced! We are here to help you