What Should be Your Salary to Buy Property in Dubai?

Dubai is a popular destination for expats looking for some of the world's most amazing attractions. It has also solidified its position as one of the world's top real estate destinations. After all, who wouldn't be drawn to a property with no property tax, a higher ROI, a lower acquisition cost, and numerous opportunities to earn a passive income? Having said that, it is impossible to deny that real estate in Dubai is extremely expensive. Many people are wondering what the required salary is for purchasing a property in Dubai. If you're wondering the same thing, you've come to the right place. The following is a breakdown of the salary required to become a property owner in Dubai. We'll estimate how you can go from tenant to homeowner based on your earnings.

Why Should You Estimate Your Salary When Buying Real Estate in Dubai?

A Secured Place For Property Investment
Dubai has always been and will continue to be one of the safest cities to invest in. It is advantageous in both directions, whether it is a real estate investment or entrepreneurship. It is the third safest state for female travellers, according to research. In addition to security, there are numerous attractions and amenities to choose from. It is an excellent place to raise a family. That is a compelling reason to take your salary into account when purchasing property in Dubai.

Endless Job and Work Opportunities 
Graduates and young professionals are drawn to a diverse range of job and work opportunities. This factor is also influenced by the warm climate and the sapphire-blue Arabian Gulf. Furthermore, Dubai has grown in popularity as a result of its success in combating the pandemic. The city accomplished this by implementing successful vaccination campaigns and mass testing strategies.

Reformed Visa Policies
Dubai officials have made it easier to stay in the country with a long-term visa permit under the latest visa rule, which was implemented on the 5th of September, 2022. For example, if you invest in an off-plan property or obtain a bank loan, you can now qualify for a 10-year Golden Visa for your entire family.

What’s an Ideal Salary Limit to Request a Mortgage loan? 
There's no denying that buying a home in Dubai isn't easy. However, planning your finances to avoid unexpected mishaps is critical. The required salary for purchasing a property in Dubai is determined by the property type and location. You should be aware that most banks prefer applicants with a monthly salary of at least AED 15,000. However, some banks approve those earning less than AED 10,000 per month.

How to Determine Your Eligibility for Buying a Property in Dubai?
A standard interest rate of 4% requires almost 20% of your salary, which you can repay within 20 years. However, first-time expat buyers in the UAE can get a mortgage in return for only a 20% down payment. It means they can borrow almost 80% of the purchase price.  Whether you fall into the first or second category of buyers, you must be aware of the following upfront costs when purchasing a home.

• - Dubai Land Department Fee makes up 4% of the entire property value. 
• - DLD Administration fee is AED 4k with 5% VAT. 

• - Title Deed Insurance Fee is AED 520. 

- The mortgage Registration Fee will cost you around 0.25% of its value.  

- The mortgage Registration Admin Fee will cost you around AED 290.

 - The actual Estate Agency Fee will be around 2% of the sales value, including 5% VAT. 

 - Include the life insurance fee, which is mandatory when taking a mortgage. 

 - The bank imposes additional Charges for mortgage processing and more.

Now that you’ve perceived all the necessary costs required for property purchasing, it’s easy to align your salary for buying a property in Dubai.

Ending Thoughts 
Because property investment is not a toy, you must organise your finances after all, your lending and investing limit is heavily influenced by your income. After you've saved up enough money to buy a home in Dubai, the next step is to look for a suitable neighbourhood.