Expert: A step by step guide for first time property buyers in Dubai
By: Lewis Allsopp, CEO of Allsopp & Allsopp
In the wake of the new retirement laws and long-term visa’s recently being announced by the UAE Cabinet, Allsopp and Allsopp have already seen an increase in inquiries from first-time buyers. Lewis Allsopp, CEO of the prestigious real estate company, explains the steps to take if you are a first-time buyer in Dubai.
Step 1 – Buyers should get their finances in place.
Before looking at properties to buy it is essential that a buyer knows how much money they have to invest. Avoid the heartache of finding your dream home only to discover that it is out of your budget. Alternatively, get a pleasant surprise and realize you have more funds than you originally calculated.
It is advisable to speak to a mortgage broker – they are experts in their field and can talk you through all costs involved in buying your first property in Dubai. They will instruct you on monthly repayments and all hidden costs that come with stepping onto the Dubai property market.
The deposit is not the only fee that you need to think about; there are transfer fees, agency fees, sales progression fees, mortgage arrangement fees and mortgage insurance fees.
It is essential to begin your search with confidence in your finances. This will bring you peace of mind when negotiating with sellers and speaking to agents. You will know exactly what you can afford, what is achievable and begin the search for your dream home, full of positivity.
Step 2 – A list of essential property features.
Sit down and make a list of must-have property features. This may be the number of bedrooms required, the driving distance to school or a workplace or whether you prefer a villa or an apartment.
Once the essentials are mapped out, start thinking about what you would like your property to possess. It may be a pool, a separate kitchen and dining area, an extra bedroom or a large garden.
Be in the mindset to compromise and agree on what it is you are willing to compromise on. During the viewing process, keep an open mind and don’t rule out a property because of one factor – your agent may be able to come up with a solution.
Step 3 – Area search.
The area your home is in is very important but, making this decision could come down to the finances you have available. If it is crucial to have three bedrooms because of the size of your family, but the three-bedroom properties in your favored area are out of your budget, then it may be time to look at other options. There are so many upcoming areas in Dubai with affordable housing, such as Damac Hills, Mira, and Arabella to name a few.
At Allsopp and Allsopp, we always advise clients to drive around different areas to get a feel for a community. You can drive from the community to locations of prime importance to you; a school, work, the shops.
Step 4 – Find the right agent.
It is paramount that a new buyer finds an agent who they can trust and build, not only a professional but friendly relationship with. Buying a property for the first time is an incredible achievement and you must ensure you are investing in the property that is right for you. It is so important that you feel you can have an open and honest conversation with your agent.
A good agent is worth their weight in gold. They will share advice and insight into the property market and the area you are looking to buy. They possess a wealth of knowledge on their respective area and can tell you about the market trends of previous years and predictions for the years to follow.
Don’t be afraid to qualify your agent. Find out how long they have been in Dubai and how many property transactions they have been involved in. A good agent will be more than willing to share this information and put you at ease.
Step 5 – Understand the process.
Once you have found an agent who you can trust, it is imperative that you get them to talk you through the entire process from start to finish; From how to make an offer, the negotiation process, the paperwork required, the NOC, transfer appointments and the handover.
This will give you peace of mind and allow you to be one step ahead at all times. There will be no hidden surprises.
Allsopp & Allsopp is a family-founded real estate business with operations in the UAE and the UK.