Investor Visa, Mortgages, Real Estate, & much more.

Хозяин
There’s just so much more to hear. Download our podcasts at DubaiI1038.com.We’re now on for the next 40 minutes—slightly under an hour today. We’re going to be talking essentially about property when we get to it. But first, let me ask you about this, Ludmila. Not a proclamation, not a declaration, but you’ve had some news from the Land Department today. This is interesting.

Людмила Ямалова
Indeed. Let me give you a little bit of background because it still surprises me how few people actually know about this. This pertains to Dubai and, in particular, the ability of property owners to apply for a UAE residence visa.

This UAE residence visa is linked to the ownership of real estate and is different from what many believe is a six-month entry permit. These two are very different. In Dubai, it is possible for those who own properties meeting specific requirements to apply for a UAE residence visa.

Хозяин
That’s fascinating. How long has this been around?

Людмила Ямалова
This option has been available for about three years. However, it seems that only a resourceful few find the list of requirements, including applicable fees. It’s often referred to as an “investor visa,” though technically, it’s not called that.

The visa is connected to an investment license, issued by the Department of Economic Development (DED), based on property ownership. However, the rules occasionally change, and these amendments are not always publicly announced.

Хозяин
Can you tell us about the latest changes?

Людмила Ямалова
Yes, and this is critical for listeners. Recently, we learned that only certain types of properties are now eligible for the UAE residence visa under the investor category. Specifically, the property must be purchased. Properties transferred as a gift or inherited do not qualify.

This is a new limitation that surprised even us because it wasn’t previously in the circulated regulations. For example, if a father gifts his property to his son, the son cannot use that property to apply for a residence visa.

Хозяин
That’s quite a significant change. What advice would you give to those planning to apply for such visas?

Людмила Ямалова
Always confirm the current requirements before proceeding. The UAE is a rapidly evolving jurisdiction, and such changes are frequent. It’s essential to stay updated or work with a lawyer who will keep track of these developments for you.

Хозяин
Fair point. We’ve received a question: “What if you sell one property and purchase another? Does that count as a purchase for visa eligibility?”

Людмила Ямалова
Yes, that would qualify as a purchase. However, if you acquire the property as a gift or inheritance, it won’t count. This likely relates to the gift tax, which is only 0.125% compared to the standard 4% registration fee. The government may be trying to close loopholes that allow people to avoid paying the full registration fee while still claiming visa benefits.

Хозяин
What if someone tries to transfer property to a relative by selling it at a nominal price?

Людмила Ямалова
In theory, this could work. But in practice, the Land Department assigns its own market value to properties. Even if the transaction lists a nominal price, the government will calculate the 4% fee based on the property’s assessed market value.

Хозяин
Another listener asks, “Can you get the visa if the property is mortgaged?”

Людмила Ямалова
Yes, but the mortgage must be paid off at least 50% of the property’s value. Additionally, the property’s current market value—assessed by the Land Department—must be at least AED 1 million.

Хозяин
That’s good to know. Another question: “What happens if property values drop below AED 1 million after purchase?”

Людмила Ямалова
The Land Department relies on its database to determine market value, not current market fluctuations. However, if you purchased a property for over AED 1 million and its value has since dropped, you may face challenges securing the visa.

Хозяин
Interesting insights. Let’s take one more question: “What happens if a property owner passes away and leaves the property to a family member in their will? Can the inheritor apply for the visa?”

Людмила Ямалова
The inheritor would need to restructure the transaction as a purchase and pay the 4% registration fee. As it stands, inherited properties are excluded from the investor visa. However, this limitation could be revisited or updated by authorities in the future.

Хозяин
Thanks, Ludmila. This has been incredibly insightful. We’ll hold additional questions for next time.

Людмила Ямалова
Thank you. Always a pleasure to share these updates.