The Most Common Mistakes First-Time Buyers Make While Buying a Property in Dubai

Are you thinking of buying a property in Dubai? That's an exciting decision for a first-time buyer. Whether you are an end-user or wish to become an investor, there are a few things you should keep in mind while buying a property in Dubai. To help you, we prepared a list of the most common mistakes first-time homebuyers make.

1. Not taking additional costs into consideration

Don't forget that the value of your desired property or the mortgage will not be the only cost you will have to cover. Keep in mind additional charges, such as agency fees, service charges, DLD fee, furnishing cost etc. Make sure to prepare a list of all the charges you may encounter before setting your budget. Otherwise, you may need to dip into your savings or find an alternative way to pay the unforeseen costs.

2. Choosing a property before having your mortgage approved

Being pre-approved for a loan is beneficial in multiple ways. Firstly, you won't waste time looking for properties in Dubai that you can't afford. Secondly, the sellers will take you more seriously knowing you're a qualified buyer. This will make your property search easier and more efficient. Also, knowing your maximum budget will help the agent to find the right property for you.

Therefore, once you decide that it’s time to buy a property in Dubai, make sure to get your loan approval.

3. Not hiring real estate professionals

First-time buyers think it's better for them to look for an ideal property or investment opportunity by themselves. Even though you might save on commission, you could incur additional charges later on during the transfer process. An experienced agent will lead you through the process and turn your property purchase into a seamless experience. Furthermore, a real estate professional will know more about the units that might become available and the upcoming projects in the area. He will also be able to negotiate on your behalf, secure the best price and unveil benefits that come with certain projects or properties.

4. Having too many requirements

Knowing what you want is great, but having a too-long list of requirements can be counterproductive. It will be hard to find a property that ticks all your requirements. Keep in mind that this can slow down the process of finding the right home. Minor changes can always be done once you move in. To avoid wasting time, prepare a list of 'needs' versus 'wants'. Once you find several units that tick all your needs, then you can choose to compromise on some of your wants.

5. Not knowing what you want

On the other hand, some buyers are not sure what they want exactly. If you are considering buying a property in Dubai, you should at least know the approximate community, area or property type you are interested in. If you try to inquire about each and every project in various parts of the city, you will get lost in endless options. Keep in mind the reason behind your purchase - do you wish to live in the property, or will you rent it out? What is the possible ROI you could get?  

6. Not thinking ahead

Are you buying this property for yourself? If so, consider all the possible variables. Will this home be spacious enough if you decide to have kids? Will you be able to easily commute to other areas of Dubai if you change your job? If you decide to rent out the property in the future, how much can you rent it for? Is the community in demand, or even more importantly, do you believe it will be in demand in the future? Focus on the bigger picture before making your decision.

If you are interested in buying a property in Dubai, get in touch with us. Our team of real estate professionals will be happy to assist you.