Buying Property in Dubai as a US Citizen

US citizens can own real estate in designated freehold areas of Dubai on the same terms as Emirati nationals. This guide explains the process, costs and legal protections.

1. Where US Citizens Can Buy

Under Dubai Regulation No. 3 of 2006, foreign nationals may acquire freehold or long-leasehold property only in designated areas. Popular freehold zones include Downtown Dubai, Dubai Marina, Palm Jumeirah, Business Bay, JBR, Dubai Hills Estate, Arabian Ranches, Jumeirah Village Circle, and Damac Hills. Outside these zones, ownership by non-GCC nationals is generally restricted to 99-year leasehold.

2. Ready vs. Off-Plan

• Ready — title transfers immediately at the Dubai Land Department; possession on transfer day.
• Off-plan — purchase from a developer pre-completion. Payments must be made into a project escrow account regulated by RERA (Law No. 8 of 2007). Always verify the Oqood registration.

3. Typical Costs

• DLD transfer fee — 4% of purchase price.
• Trustee office fee — AED 2,000–4,000.
• Title deed issuance — AED 250.
• Agency commission — usually 2% + 5% VAT on the commission.
• Mortgage registration (if financed) — 0.25% of loan amount.
• Annual service charges set by the master developer.

4. Financing for Non-Resident Americans

UAE banks offer mortgages to non-residents at typically 50–60% loan-to-value for non-residents and up to 80% for residents. Expect higher rates than US mortgages and shorter terms (usually 15–25 years). The bank will require proof of income, US tax returns, and a FATCA declaration.

5. Buying Through a Company

US buyers often hold UAE property through a JAFZA Offshore or RAK ICC company for estate-planning reasons. The Dubai Land Department accepts ownership by approved offshore companies subject to additional documentation (no-objection certificate, certificate of incumbency).

6. Resale & Capital Gains

There is no UAE capital-gains tax on personal property sales. US citizens remain subject to US capital-gains tax on the disposal, with the principal-residence exclusion potentially available. There is a 4% DLD transfer fee on resale (customarily split or paid by the buyer).

7. Link to the Golden Visa

A single property — or combined properties — worth AED 2 million or more qualifies the owner for a 10-year Golden Visa. Read the Golden Visa guide.