The stable economic policy of the UAE virtually eliminates all risks when purchasing housing under construction. However, some issues are still present. For example, the purchase of real estate on a mortgage by non-residents of the country can pose challenges. For them, banks impose a number of restrictions. In this case, the best solution is to use the installment plan, where payment is made after the completion of construction. Foreign investors are now offered the chance to buy off-plan real estate in the new community Seascape in Dubai to obtain a comfortable place for permanent living and taking advantage of stable passive income. What risks may potential homeowners face and how to eliminate them?
Potential Risks When Buying Property Off-Plan
Purchase of real estate from Emaar Properties means investing in off-plan property from a renowned developer. More than 800 objects of premium quality have been developed by Emaar Properties. Cooperation with a developing company that has an untainted reputation features an extremely small likelihood of inconvenience.
Among some of the most commonplace risks, the buyer should be ready for:
- Difference between expectation and reality.
- Failure of the developer to meet deadlines.
- Problems with documentation.
Difference Between Expectation And Reality
At the meeting with the developer, a potential purchaser is given a detailed design of the residential complex and apartments. But in reality, the buyer’s expectations are not always met. An accurate visual representation of how the finished apartment will look can be quite complex to achieve. Sometimes the declared characteristics are not met due to the fault of the construction company. In this case, the investor can demand compensation for damages.
The developers of Seascape in Dubai always commit to the agreed plans and therefore the buyers always obtain the same residence first seen via images.
Failure Of The Developer To Meet Construction Deadlines
Delays in the execution of the construction plan can often be due to financial difficulties, errors in calculating the time required for the project, or irregular delivery of building materials. Additionally, the schedule can also be disrupted for reasons beyond the developer’s control. Before signing a purchase agreement, make sure that it specifies the exact date of completion, guarantees, penalties and compensation for late delivery.
The government of the UAE controls the construction and guarantees the on-time delivery of residential units. If the developer is not able to finish the project, the government will find an alternative company to complete the project.
Problems With Documentation
In order to obtain a construction permit, Dubai`s developers have to prepare well. There is no chance a developer will start the construction without obligatory documentation and the buyer has the right to check all the necessary documents before signing the contract and upon delivery.
In case buyers are not satisfied with the quality of the finished housing unit or the developer refuses to provide the obligatory papers, the appropriate authority will need to be consulted.
Reasons To Choose Off-Plan In Seascape In Dubai
Residents of foreign countries invest in apartments in Dubai to move to a permanent residence and for the purpose of generating income. The financial opportunity is high as renting out an apartment can offer a yield of up to 10% per annum.
Because of rising prices, off-plan real estate will bring more profit if the purchase is made in installments. Moreover, there are no taxes following this process, such as sale, inheritance and property. The purchased object is bought in full ownership and can be managed according to the needs of the buyer.
Buying an apartment in the community at the price of $4 million, gives the opportunity to get a resident status in the country. This means that the owner may reside in the Emirates for several years. The period of residence and type of visa depends on the price of the purchased object. The more expensive the purchase, the longer the period of residence.
Off-plan housing in the UAE is a good opportunity to buy your own home at a more affordable price. Real estate under construction is also a good option for investment. The real estate agency Dubai-Property.Investments offers various premium quality housing units under construction in the community Seascape. Numerous apartments with advanced amenities and modern facilities are available for purchase with the help of experienced agents.
Post in collaboration.