I am a UK citizen. I have accepted a job offer in Dubai. I prefer to live in my own home rather than a rented house. Is it possible for me to get a mortgage as soon as I land there or should I make a cash payment? I am looking for a two or three-bedroom apartment in the new Dubai area. Could you please advise?

Until you obtain a visa in Dubai, the mortgage department of any bank will see you as a non-resident and your mortgage approval will depend on your bank statement history in the UK along with your financial position and company of employment. It is always preferable to spend your money on a home of your own rather than a rented home.

However, you should not rush your choice. Take the time to look around and decide what type of home and area you want to purchase. You should consider the option of rent- to-own properties offered by a few developers, or simply rent a furnished home for a few months until you find that perfect property.

I am living in a rented apartment. I have been planning to buy a home for quite some time but I am confused about whether to buy or continue to rent, especially after reading conflicting reports by various research agencies. What is your take on this — should I wait or buy?

This collective thinking that prices will decline further causes assets to be undervalued and presents a good opportunity for risk-takers to make a profit. Fool-proof risk-free purchase of any investment doesn't exist. However, loan rates are 30 per cent lower than in 2008 and mortgage financing is being aggressively promoted by all banks.

Today, the annual mortgage payments for most properties in Dubai would work out as the same as what you would be paying to rent it. Should you continue to wait till the market collectively agrees that prices can only go up, the chances are that by then the property would probably be overvalued. Should you decide to go ahead with your purchase, ensure the location is good, that you are not overstretching yourself to pay your mortgage and you are going for the purchase with a long-term outlook.

Buying now and seeing the market drop a further 5 to 10 per cent over the next six months should not put you off. At the end of the day, the only two figures that matter are the purchase price and the sale price. The time in between, as long as you are getting a healthy return on your investment from the rent, should be satisfying enough.

Gassan Ghellal is business development manager at Halcon Real Estate

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By Gassan Ghellal for Property magazine

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