Real estate in the United Arab Emirates attracts investors for various reasons. Popularity, among other things, is associated with tax breaks. In the UAE are simply absent.
Five main taxes and fees
1. Registration fee of 4% of the total value of the property. Usually buyers share the fee - each side pays half. But sometimes contracts are drawn up in such a way that only the buyer pays the entire amount.
2. Additional registration fee. The lucky owner of real estate must pay 2,000 dirhams to the state treasury if the property costs up to half a million dirhams. And if the real estate object is more expensive, then the fee doubles.
3. Duty (paid when issuing a certificate of ownership). The amount is 70 dollars.
4. Tax on rent. Let's say right away that there is no clause in the UAE legislation according to which the owner or tenant must pay it. It's about real estate brokerage. If you, as the owner, hire an intermediary, it will cost 5% of the rental income.
5. Agent services. Without such service is impossible to conduct a real estate transaction; a licensed realtor must be present. The average commission is 2%.