Wednesday, February 20, 2008

Property Ownership in UAE

Basking in the warmth of the Persian Gulf, the Middle East houses the United Arab Emirates (UAE) which is made up of seven sovereign states aka emirates, namely: Dubai, Abu Dhabi, Ajman, Fujairah, Ras al- Khaimah, Sharjah and Umm al- Quwain. UAE is home to a unique amalgam of Islamic and western culture that produces a wonderfully modern country offering something to all. With its modern cities teeming with world-class facilities such as super-luxurious hotels, marvelous recreational destinations, and mouth-watering shopping places, UAE has become a major tourist hotspot and a prime relocation destination for world’s peoples.

The year 2002 brought a sweeping revolution in the Dubai Property sector when the foreigners were allowed to buy freehold property in the UAE for the first time ever. The very year marked the onset of the UAE property boom that has only gained momentum with the passage of years and till date shows no signs of slowing down. It was in Dubai that the property freehold decree was first issued by crown prince General Sheikh Mohammed bin Rashid Al Maktoom. The laws that followed further reinforced the ability of foreigners to own a freehold property in Dubai. The other emirates to follow suit were Ras Al Khaimah and then Ajman which allowed freehold property ownership in 2004.

In the remaining emirates of UAE, foreign ownership laws vary. In Sharjah, freehold ownership to expats is not allowed – instead, the emirate allows 99-year leaseholds to the foreigners. The same law exists in Abu Dhabi along with 50-year renewable surface ownership agreements. On the other hand, Umm al- Quwain prohibits the ownership of land but does allow property ownership. Fujairah is preparing a legislation regarding freehold rights which, it is hoped, will grant complete property freehold rights to foreigners.

1 comment:

Sebastian said...

I've been in UAE before and owning a property there was very hard. Lots of process which i really don't like. That's why when I transferred here in Australia, I found property sunshine coast they have offered an investment to own a property. I like their offer that's why I am now a property owner here. And it's worthy no neglections because it's very nice here.