For instance, in Dubai, the designated areas include, amongst others, Business Bay, Burj Khalifa, Palm Jumeirah, Emirates Hill, Jumeriah Islands, Dubai Marina etc. Despite these limitations, the UAE real estate market is one of the most coveted markets in the world, especially that of the emirate of Dubai. Recent years have seen the UAE government opening up the real estate market for ex-pats to a larger extent allowing for more investments. As part of the new initiatives, the government has introduced the concept of both a five-year and a ten-year residency visa that can be acquired through real estate investments.
The UAE being a federation of seven emirates, with each emirate governed by its own ruler and local government brings in the application of the local laws along with federal laws. This is especially true when concerning property laws.
The UAE federal laws especially the civil transactions law of the UAE constitute the primary source of law governing real estate transactions. Part four of the civil transaction law exclusively deals with property rights as well as the rights of ownership, while part five includes the principles governing real property as well as its derivative rights and framework. In addition to these, there exists local legalization in force specific to each emirate. Due to this distinctive and special characteristic of the UAE laws, it is crucial that property laws and procedures be rightfully understood in depth by approaching a commercial real estate attorney. only such specialized lawyers can advise you on the local rules and practices of each emirate and guide you on real-estate transactions.
The UAE provides the following property rights to its citizens as well as ex-pats:
Freehold: This type of property right provides the most complete form of ownership as the owner is vested with complete rights to a given property unlimited in time. For this reason, freehold property is the most sought-after property rights and investment option for ex-pats in the UAE.
Usufruct: This type of property right allows for the right to use a given property only for a limited time period. A usufruct right, however, imposes certain restrictions such as the use and advantages of the usufruct property is allowed short of the destruction or waste of its substance. It is essentially hence not a complete right.
Lease: This constitutes a common property right that allows for the right to a property for a limited time period and depending on the same is often referred to as a ‘short term lease’ or a ‘long term lease’.
Musataha: This type of property right, allows the owner of the Musataha right to be able to both use the property for a limited time period as well as to have construction rights on the given property or land. Unlike freehold property, Musataha does not confer complete property rights and imposes limitations in the form of time as well as usage.
In a property market, people often enter into deals based on a subjective vision, which can often lead to legal issues in the long run. Ensure that you are taking bankable legal advice before entering into any property deals. Property deals are often high-value transactions therefore you need to ensure that you are approaching a law firm that can have credible expertise in handling high-value transactions. If you are looking for a property lawyer with long-standing experience in advising real estate transactions as well as in real estate litigation and arbitration matters, then you may choose one of the top international law firms lawyers in Dubai Abu Dhabi, UAE.