Dubai 'first home' initiative takes aim at Golden Visa investors

Dubai: Dubai’s recently announced ‘first home’ initiative is bringing a fresh burst of interest in property investments tied to UAE’s Golden Visa programme. Investors paying Dh2 million and more on a property in the UAE are eligible for the 10-year residency permit.

According to estate agents, they are receiving queries from potential clients willing to commit to a Dh2 million investment from the properties that will be listed by select developers under Dubai’s initiative to bring in first-time home buyers.

“The queries are about what sort of discounts buying these properties would bring and what the mortgage rates will be,” said an estate agent. “And the next question is how soon they can get a Golden Visa once they buy a Dh2 million plus home.”

The UAE authorities have also put to rest all speculation about making non-investment linked access to Golden Visas easier. And about a steep cut in some of the investments tied to these residency visas.

"With that clarity from the UAE authorities, the investor focus turns to what's legit and how a Golden Visa can be pursued," said an estate agent. "The Dubai first home initiative is one of the best options available in the market right now."

Property-linked investments remain the most favoured option among new Golden Visa seekers in the UAE. Which is why Dubai’s ‘first home’ promotion targeting a new set of potential property investors ties in perfectly with the Golden Visa project.

“We are still seeing more property-based Golden Visa requests,” said Naveed Chaudhary of Golden Generation consultancy. “That’s because property-based investor Golden Visas are issued in as little as 72 hours.

“By offering a large pool of first-time buyers the opportunity to enter Dubai property market through top-tier developers and with the support of the banks on preferential terms will bring more investors into the Dh2 million segment.

“And since such investments are tied to the Golden Visa scheme, we will see more takers.”

• Visa duration: 10 years (renewable under the same conditions).

• Key requirements: Own one or more UAE properties with total value of over Dh2 million. Proof of ownership (via a land registry letter) and valid health insurance are needed.

According to Yash Trivedi, co-founder of YOUAE Mortgages, "Every client I speak with who is purchasing a property and doesn’t already have a Golden Visa engages in a conversation about it.

"Many individuals who qualify for the Golden Visa—either through purchasing property worth at least Dh2 million, their salaries, or other eligibility criteria—have already obtained theirs.

"New investors or those who recently relocated for work are likely the primary applicants now. This shift may explain why the overall numbers have declined compared to previous months or the last couple of years."

With Dubai first home, that could soon change...