Dubai has become a magnet for global investors and high-net-worth individuals looking to purchase prime real estate. If you’re considering buying property in Dubai, one of the first questions you might have is, “How much deposit do I need?”

The answer varies depending on the type of buyer you are and the value of the property. At Haimami Capital, we help investors navigate the nuances of Dubai’s property market to make the process seamless and rewarding.

Understanding the Deposit Requirements in Dubai

In Dubai, the deposit you need to buy property depends on whether you’re a resident or a non-resident and the financing method you choose. Let’s break it down:

1. Deposit for Residents

If you’re a resident of Dubai and taking out a mortgage, you will typically need:

• 15% deposit for properties valued under AED 5 million.

• 20% deposit for properties valued above AED 5 million.

2. Deposit for Non-Residents

For non-residents, the requirements are slightly higher:

• A minimum deposit of 20-25% of the property value is standard for most mortgage options.

How Deposit Requirements Are Calculated

The deposit is a percentage of the total property value. Here’s an example to make it clear:

Example

• Property Price: AED 3 million

• Deposit (Residents): 15% = AED 450,000

• Deposit (Non-Residents): 20% = AED 600,000

This initial deposit secures the property and serves as your down payment.

Factors That Influence Your Deposit

1. Type of Property

Whether you’re buying a luxury villa or an off-plan apartment, deposit requirements can differ based on the property type and location.

2. Off-Plan Properties

Developers often offer flexible payment plans for off-plan properties. In such cases, you may only need a smaller upfront deposit (e.g., 10%) with the remaining amount spread over the construction period.

3. Mortgage Terms

The deposit amount also depends on the terms offered by your lender. Non-residents may face stricter requirements compared to UAE residents.

Benefits of Dubai’s Property Deposit Structure

Dubai’s deposit system is designed to be straightforward and investor-friendly. Here’s why it stands out:

1. Secure Your Investment

A substantial deposit ensures that both buyers and sellers are committed to the transaction, creating a secure investment environment.

2. Flexible Options for Off-Plan Purchases

For investors purchasing off-plan properties, lower initial deposits and payment plans make it easier to enter the market.

3. High ROI Potential

With rental yields averaging 5-8%, the initial deposit is quickly offset by the returns on your investment.

What Additional Costs Should You Consider?

Beyond the deposit, you’ll need to budget for other fees associated with purchasing property in Dubai:

1. Dubai Land Department (DLD) Fees

This fee is 4% of the property’s purchase price and is paid at the time of registration.

2. Agency Fees

If you’re using a real estate agent, the standard fee is 2% of the property value.

3. Mortgage Fees

If financing your purchase, there are additional mortgage arrangement fees (typically 1% of the loan amount).

How Haimami Capital Can Help

Navigating Dubai’s property market can feel overwhelming, but that’s where we come in. At Haimami Capital, we specialize in helping investors:

• Understand deposit requirements and payment structures.

• Identify high-yield properties tailored to their financial goals.

• Manage the entire buying process, ensuring a seamless experience.

FAQs

1. How much deposit is required for off-plan properties in Dubai?

Off-plan properties often require an initial deposit of 10%, with the rest paid in installments during construction.

2. Can non-residents get a mortgage in Dubai?

Yes, non-residents can secure mortgages, but the deposit requirement is typically higher, ranging from 20-25% of the property value.

3. Are there any additional fees apart from the deposit?

Yes, buyers should consider DLD fees (4%), agency fees (2%), and mortgage arrangement fees (1% of the loan).

4. Does the deposit percentage change for luxury properties?

For properties above AED 5 million, residents are usually required to pay a 20% deposit, while non-residents may need to pay 25%.

Dubai’s property market is filled with opportunities, and understanding deposit requirements is the first step toward securing your investment.

Ready to take the next step? Book a consultation with Haimami Capital today.