As you might know, the UAE government and Cabinet Authorities have changed the visa permit rules to easier ones. The authorities elongate the investors and some other specialist visa periods. They hope this consideration will boost the current real-estate conditions in the country. If you want to know more about these visa reforms, continue reading.
How does the visa reform of the UAE help real-estate boosting?
Each year many expatriates fly to this country who are interested in Dubai developments of prime importance for the real estate investment sector in UAE. Totally the UAE government believes that this decision will be beneficial in this subject and cause successful results in reaching the purpose. The authorities announce the details of this reform like this:
- Investors, entrepreneurs, and specialists can grant long-term visas.
- A more aggravated number of High Net Worth Individuals is expected to retain, which means higher assets or capital to make valuable investments like land investment in a given economic setup.
The old property visa was a two-year visa for all freehold properties against a property investment of Dh1 million or more on the title deed, and you need to renew it each two years. The 5-year residence visa will encourage and improve the real-estate investments as the longer-term expatriates would think of investing in properties that previously appeared out of range for them.
What are the types of investor visas based on this visa reform?
The Cabinet Authorities divide investors into two main categories based on the terms of respective long-term visas.
- The first group includes investors with an AED 5 million property investment value or more who can request a 5-year residence visa.
- And the second group contains investors with a property with AED 10 million value in the public sector. For example, a deposit, an established company, a business partnership, or a cumulative investment in any of these mentioned areas. The government will provide these investors with a 10-year residence visa.
What is the importance of new visa reforms for the UAE real-estate market?
Shedding some light on the significance of the new visa reforms, Elaine Jones, the Executive Chairman of Asteco, leading property management and real-estate group stated: “Over the past year, we’ve been witnessing a trend towards investors preferring affordable property as the tax-free income is still very good. With the new visa reforms, existing residents may look to establish themselves in the Emirates on a medium- or longer-term basis and as such, look to enhance their residential property. We will see a boost in the luxury real estate space as those who are looking for an alternative location in which to reside now have another option.”
Jones also added: “The retention of HNWIs who had not previously enjoyed any security of residency and will now be able to secure a 10-year visa subject to Dh10 million worth of investment in the business, is likely to be significant. There is likely to be an increase in foreign investments as the ability to establish ties for the medium term will attract the next generation looking for a stable location in which to base themselves, their family and establish a business. The UAE will re-establish its position as one of the most attractive destinations to investors”.
Elaine Jones is hopeful about the results of these newer visa reforms. She thinks that the Cabinet authorities should grant enduring residency to long-term investors.
How do the new visa reforms affect the class gap of Dubai areas?
For years Dubai has experienced a great class gap, for example, Jumeirah, Marina, and Downtown Dubai properties were among the expensive areas. So people with normal wage-earning never thought about buying a property in these places, but the recent visa reforms have changed this mindset. Currently, immigrants who have been living in this country for a long time think of making investments in high-profile areas like these at affordable rates and payment plans.
Mr. David Abood, Partner at a renowned Real-Estate group touched the same issue and stated that waterfront locations of Jumeirah like developments and Emirates Hills are expected to see renewed interest. We predict a result of boosting in both the supply and demand side of the market to attract and retain long-term investors. Also, we are focusing on the new project launches/deliveries to offer properties priced over Dh5 million to attract international investors.
With all these market changes and trendsetters that followed the longer-term visa reforms, we, at dxboffplan.com are sure that such advancements will make a way towards the country’s socio-economic progress. So, if you want to find some great options for investments, check our website now and see every single detail on all the off-plan properties in UAE on this one-stop portal. Also, you can contact our professional team and ask all your questions whenever you want during the 24 hrs of the day.