LAWS FOR EXPATS PURCHASING A PROPERTY IN THE UAE
Earlier, expats were not permitted to own property in the UAE. Dubai was the first emirate to change this law. Taking a cue from Dubai, other emirates like Abu Dhabi, Ajman, Sharjah, and Ras Al Khaimah followed suit.

Nevertheless, property ownership for expats is available in two categories, viz freehold, and leasehold. A summary of freehold versus leasehold property ownership can give you a better idea of your options:

FREEHOLD VERSUS LEASEHOLD PROPERTY OWNERSHIP FOR EXPATS
Leasehold property ownership
Purchasing a leasehold property means holding it for 99 years or less, depending on the duration specified in the leasehold contract. This sort of investment only allows buyers the rights to a property but not the land it is built on.

Freehold property ownership
Expatriates are also permitted to purchase freehold property in the UAE. Essentially, this kind of property allows buyers to have ownership of both a unit and the land it stands on. Yet, it is necessary to note that foreign nationals are only authorized to buy freehold real estate in designated areas.

TAXATION RULES
The UAE is widely known for its robust law system and expat-friendly taxation system. Nonetheless, while the nation itself doesn't impose a tax on purchased property, expatriates must consider legal liabilities that apply to their home countries. For instance, if you are a UK citizen purchasing a property in the UAE, it's essential to consider possible ongoing tax liabilities on earnings like rental income, interest on savings, dividend payments, and other requirements in the United Kingdom. In such cases, it is advisable to consult tax agents within your country and get a better view of tax liabilities in foreign property investments before purchasing a property in the UAE.

CAN I GET A RESIDENCE VISA FOR PURCHASING A PROPERTY IN THE UAE?
Since May 2019, foreign real estate investors buying a property in the UAE are among the multiple categories eligible for a UAE long-term residency visa. The lowest value for an investment, in this case, is AED 5 Million for a 5-year residency visa, and it applies to the primary applicant and their dependents. Yet, obtaining a residence visa as a property investor is subject to these conditions:

• The amount invested must not be in the form of a loan
• The gross value of the purchased property must be at least AED 5 Million
• The property must have been retained for the last 3 years

CAN EXPATS OBTAIN A MORTGAGE TO BUY A PROPERTY IN THE UAE?
Expatriates can acquire a mortgage from lenders functioning in the UAE, but certain conditions exist. For instance, expat investors may have to pay a minimum down payment of 20% to 25% of the mortgage value on top of associated costs.

That's all for our guide for property ownership rules for foreigners in the UAE. If you are looking for a real estate lawyer in the UAE or need any legal consultants, you can get in touch with us, and our team will help you with it.