Are you looking for the freehold districts of Dubai where you can invest as a foreigner freely and without any encumbrance? Are you still unsure about the ideas of freehold and what it comprehensively means for you as a realtor/investor?
A lot of people invest money in Dubai today without a balanced knowledge of the varying factors of engagement and the terms for owning real estate. Except you have permanent residency or are an Emirati, you should know these salient facts before you buy apartments in residential complexes under construction in Dubai; stick around to the end as this article shares insight on the concept of freehold and how you can navigate it as a foreigner.
Known for its dynamic districts, Dubai offers a diverse range of real estate options for foreign purchasers. Whether seeking luxurious properties or waterfront residences, the city’s districts cater to various preferences. Additionally, with a thriving business environment, foreign purchasers may find strategic investment opportunities where the presence of reputable event management companies in Dubai enhances the potential for successful ventures.
The Concept of Freehold
What are freehold zones, and why do government designate them?
Freehold zones/areas designated as free zones are locations within a country where foreigners can own 100% equity in landed properties. It, therefore, means that for countries that have this practice, foreigners are not ordinarily allowed to own properties in their entirety there – Read more on the official website Emirates.Estate. In some countries, the real estate policy is quite open such that you can literally come from anywhere and buy bulks of property in your name, own them in entirety and move away. In fact, in some countries, you don’t have to stay there. Just buy, own and reside wherever place you choose.
Countries with such open policies aim to attract foreign investment through real estate and have attained some measure of economic growth such that there is no fear of coveting majority lands to foreign control while locals lose their territory.
Some nuances
However, in certain countries, especially those that are increasingly developing, it may hurt the economy to have a too large portion of the landed properties in a territory in the hands of foreigners. These nations have usually gained international public respect such that if they do not restrict ownership, their leadership may wake up one day and find out that half of the country’s real estate belongs to people who reside all over the world, stifling economic growth (as you probably know, land is an ever appreciating phenomenon and a great contributor of economic growth – land brings tourism, housing and real estate growth, to mention but a few).
It is considerations like this, and so much more, that make countries all over the world regulate who owns what to preserve some measure of real estate for its indigenes and ensure that it is not all lost to foreign acquisition. Pursuant to this concept, some locations are restricted and reserved for nationals only, while some are announced designated freeholds where foreigners can buy and own property without restriction.
Freehold Location for Investors in 2023
So far, the government of the United Arab Emirates have designated many areas as freehold. It has been the practice of the government to make this announcement periodically, and just as you guessed, the tourism sector swings into action to advertise those places, and developers personalise them and start creating units on them. Once the circle is complete, these location has never seemed to lack investors since 2000. Here are some of the top freehold locations according to their alphabetical order:
| 1. Arjan |
| 2. Al Barari |
| 3. Al Furjan |
| 4. Al Warsan |
| 5. Arabian Ranches |
| 6. Barsha Heights |
| 7. Bluewaters Island |
| 8. Business Bay |
| 9. Culture Village |
| 10. Damac Hills |
| 11. Dubai Waterfront |
| 12. Dubai Festival City |
| 13. Dubai Hills Estate |
| 14. Dubai Silicon Oasis |
| 15. Discovery Garden |
| 16. Downtown Dubai |
| 17. Dubai Creek Harbour |
| 18. Dubai International Financial Centre |
| 19. Dubai South |
| 20. Dubai Production City |
| 21. Dubai Investment Park |
| 22. Dubai Sports City |
| 23. Dubai Production City |
| 24. Dubai Residence Complex |
| 25. Dubai Science Park |
| 26. Dubai Studio City |
| 27. Emirates Hills |
| 28. International City |
| 29. Jumeirah |
| 30. Jumeirah Gold Estates |
| 31. Jumeirah Park |
| 32. Jumeirah Heights |
| 33. Jumeirah Lake Towers |
| 34. Jumeirah Village Circle |
| 35. Jumeirah Islands |
| 36. Jumeirah Village triangle |
| 37. Liwan |
| 38. Meydan City |
| 39. Meadows |
| 40. Mirdiff Hills |
| 41. Motor City |
| 42. MBR City |
| 43. Mudon |
| 44. Old Town Dubai |
| 45. Palm Jumeirah |
| 46. Park Gate Residence |
| 47. Reem |
| 48. Remraam |
| 49. Tilal Al Ghaf |
| 50. Town Square |
| 51. The Green |
| 52. The Villa |
| 53. The Views |
The extent of the Concept of Freehold
Please note that freehold does not mean that foreigners can only buy property in those areas. Foreigners can buy property in all other areas of the country. The only caveat is that they cannot own the property wholly. They cannot have up to 100% ownership of the property. A certain percentage must be allocated to a national or a locally registered company. In reality/practice, therefore, people incorporate Emirati companies (these attain legal personality upon incorporation – that is, they become a living person in the eye of the law). Those companies are then used to buy the remaining percentages of the properties. This practice is quite widespread and has been in use for decades now.
