Khurram Asif, Manager for Dubai Mortgages, and Robert Chadwick explored the dynamic landscape of Dubai's real estate market. This webinar highlighted the various mortgage options, eligibility criteria, and Golden Visa opportunities. For those who couldn't attend, the recording is now accessible here.
Khurram Asif (KA) and Robert Chadwick (RC) addressed a range of inquiries, providing insightful responses tailored to assist investors in making informed decisions, with remarks edited for clarity and brevity.
1. Do you offer mortgages in New Zealand as well?
RC: Yes, GMG can provide mortgages in New Zealand. There are certain restrictions based on your passport, but we can assist with the process.
2. Am I able to get equity off my property in Dubai? Can GMG help?
KA: Yes, you can get equity release on your property in Dubai. GMG offers equity release programs where the bank will evaluate your property's current market value and provide up to 50% of that value as cash in hand.
3. Are any specialised mortgage products from GMG designed specifically for international investors interested in Dubai's real estate market?
KA: Yes, GMG offers mortgage products for international investors, allowing them to borrow up to 65% financing without needing residency or income in Dubai.
4. Is it true that Dubai is a completely tax-free market for property owners?
KA: Yes, Dubai is a tax-free market for property owners. Property owners only pay community tax to the master developer, but there are no federal or income taxes.
5. Why Dubai? Why should investors purchase a property in Dubai as opposed to other major cities?
KA: Dubai offers a tax-free environment and high security, making it an attractive destination for property investment compared to other major cities where taxes on property and capital appreciation are common.
6. If you have a Dubai Golden Visa, how much can you borrow?
KA: The Dubai Golden Visa does not affect the amount one can borrow. However, it can streamline the compliance process with the bank.
7. Do I need a local partner who owns 51% of the LLC in Dubai if I want to buy property using an LLC?
KA: No, the requirement for a local sponsor owning 51% of the LLC is no longer applicable. You can own 100% of the business and property. However, banks do not offer mortgages to properties registered under a company name; the property would need to be transferred to your personal name for mortgage purposes.
8. What are the interest rates for these mortgages for non-UAE residents (We are Singapore residents but Indian citizens)?
KA: Interest rates for non-UAE residents start from 5.8%, fixed for three years, and can go up to 7%, depending on the case and buyer's profile.
9. Can we purchase investment property in Dubai, and how can we find tenants for it?
KA: Yes, you can purchase investment property in Dubai and get up to 65% financing on a ready property. We also offer services to help find tenants and manage the property, including maintenance and cleaning.
10. Is the LTV the only thing affected if you work for a startup in Dubai?
KA: No, the LTV is not the only factor. The bank will also consider the validity and stability of the startup. If the startup is relatively new, it could be challenging to secure a mortgage.
11. What's the outlook for the property market in Dubai? Is it already a bubble?
KA: The property market in Dubai is not considered a bubble. There is strong demand with more buyers than properties available, and the market is seen as expanding with significant growth prospects.
12. What do you need to get a Golden Visa?
KA: You need to purchase a property worth at least 2 million dirhams. Financing a portion of this is allowed, and you can still obtain the Golden Visa even if you borrow part of the amount. The Golden Visa lasts for a minimum of ten years, allowing you to reside in the country without the hassle of visa renewals, medical tests, or other requirements. Additionally, holders can open bank accounts and obtain driver's licenses locally.
13. 3.89% for borrowers with Dubai income. What is the interest rate for those with income outside the UAE?
KA: The interest rate for non-residents with income outside the UAE starts from 5.8%, fixed for three years. This rate can go up to 7%, depending on factors such as your profile, tenure in your current job, and the property price. However, 5.8% represents a competitive rate, especially advantageous for individuals earning outside the UAE.
14. Cost of Golden Visa application?
KA: Depending on various factors, the cost ranges from 13,000 to 18,000 dirhams.
