This cannot be narrowed down to one particular factor. A plethora of factors exist namely:
a) The liberalization of the real estate sector – ex-pats can now own property
b) High tax-free yields on freehold property rental
c) Globalization and its effects on property prices in metropolitan cities worldwide
d) Favorable interest rate environment
e) Mortgages & homeowner finance available
f) Granting of “permanent” residency upon purchase of freehold properties
g) Great Value – Real estate land & apartment valuations are cheap compared to international prices
h) Conducive lifestyle: safe, tax haven, secondary and tertiary home for international buyers
i) Dubai’s robust economic growth p.a.(GDP)
j) Dubai’s robust population growth p.a.
k) Large mid-income population bracket with high disposable income
l) Dubai is the regional entrepôt & tourism center
m) UAE is an open, welcoming & tolerant state with investor-friendly business policies
A 2 year Visa can be procured in Dubai, once you buy a residential property. This is:
Handed over in a completed format
Worth a minimum value of one million dirhams.
The purchase price shall not be considered if you were to decide to get a visa after few months from buying the property. A property valuation is recommended to be conducted, the result of which should be AED 1,000,000 or more to be eligible to get the visa. A few factors are considered during the valuation, e.g. the value of the last 10 sales transactions within the last 3 years, the current market property listing prices, the condition of the property, amongst others…
A 5-year visa is granted to those, with the new long-term visa, for investors who invest in property value of AED 5 million or more. The renewable 10 year-long visa is apt for investors who set up start-ups, businesses or branches of their companies of valued AED 10 million or more as long as non-real estate investments are not less than 60% of the total investment. It also applies to spouses and children, with conditions. A new law has been released by UAE that provides a 5-year residency visa for retired expatriates with the possibility of renewal for those who wish to stay longer.
Expatriates over 55 years of age are eligible if they have an investment in a property worth AED 2 million, have a minimum of AED 1M in savings, and an active income of at least AED 20,000 per month.