Can you buy a Property in Dubai using a Company License?
Dubai’s real estate market is one of the most dynamic aspects of the city. People from all over the world are welcome to own and invest in properties here. Being a tax haven, Dubai offers a lifestyle like no other.
Purchasing property as a foreign national:
You are eligible to purchase property in Dubai as a foreign national in designated areas only. These properties are called freehold properties.
You can purchase them as an individual or using a company license. However, there are certain conditions that need to be met.
You are not eligible to buy property in Dubai as an offshore company outside of the United Arab Emirates.
You are not eligible to purchase a property under a foreign company located outside the UAE.
The Dubai Land Department needs full disclosure of the actual individual owners of each company owning real estate entities in the country.
Offshore Company License:
In Dubai, you can own property under your offshore company license if it is located in RAKICC or Jebel Ali Free Zone Area only. Earlier, it was only JAFZA Off-shore companies that were allowed to own freehold properties in Dubai.
Offshore companies registered under international jurisdictions like Seychelles, Hong Kong, British Virgin Islands are not allowed to own properties in Dubai.
Onshore Company License:
If you own an onshore company in Dubai, like limited liability companies and private joint-stock companies, you can own properties in the freehold areas. You can choose to not have UAE nationals as shareholders in your company, as it is not mandatory for this purpose.
Benefits of Owning Property Using Company License:
While owning a property has a myriad of benefits, using a company license to own the said property offers you many advantages too:
> Privacy: Using an offshore company license to purchase a property would protect your privacy. The property would be owned under the company’s name and that helps protect your identity from the international governments and public records. Thus maintaining your anonymity.
> Tax Savings: As an owner of a property under an offshore company license, you are 100% exempted from paying taxes.
> 100% Ownership: If you open an offshore company in UAE, you can have 100% ownership as a foreign national and do not require an Emirati Partner to be eligible for owning a property.
> Inheritance: Owning a property under an offshore company in UAE exempts your property from following the sharia law of inheritance.