Dubai is one of the most popular overseas property markets for Indian buyers: it is close, has no annual property tax or income tax on rent for individuals, offers freehold ownership to foreigners in designated areas and has an active rental market. Here is what to know before buying.
Freehold areas
Foreigners can own property outright in designated freehold zones, such as Downtown Dubai, Dubai Marina, Palm Jumeirah, Jumeirah Village Circle, Business Bay and Dubai Hills. Outside these zones, foreigners usually take leasehold interests.
Off-plan or ready?
- Off-plan: bought from the developer during construction with payment plans, sometimes including post-handover instalments. Money goes into regulated escrow accounts, but delivery and resale risks remain.
- Ready: you can rent it immediately and see exactly what you buy.
Costs to budget
- Dubai Land Department transfer fee, typically 4% of the price, plus registration and trustee fees.
- Agent commission, often around 2% on resale.
- Annual service charges set per building, which can be significant.
- Mortgage costs if you borrow locally (non-residents usually need a larger down payment).
Rental yields
Gross yields in many Dubai communities have been higher than in Indian metros, but net yields after service charges, vacancy and management are lower. Short-term holiday lets need a permit.
Golden Visa
The UAE offers a long-term Golden Visa to property investors meeting the minimum value threshold (AED 2 million at the time of writing), subject to conditions. Check current rules with official UAE sources.
Rules on the Indian side
Resident Indians can buy property abroad under RBI's Liberalised Remittance Scheme (LRS), within USD 250,000 per person per financial year. Remittances above the threshold attract TCS (tax collected at source), which you can adjust against your income tax. Overseas assets and income must be reported in your Indian tax return. Read our LRS guide.
Tip:Remit only through your bank under LRS, in your own name, and keep every document. Informal channels break Indian law.
How we help
ATTPL Realty's international desk works with registered partners in Dubai. We help Indian buyers compare communities, check the developer and plan the remittance correctly. Talk to us.
Frequently asked questions
Can Indians buy property in Dubai?
Yes. Foreigners, including Indians, can buy freehold property in designated areas of Dubai.
How much can I send abroad to buy property?
Resident Indians can remit up to USD 250,000 per person per financial year under LRS. Family members can pool their limits for a joint purchase.
Is rental income from Dubai taxed in India?
Resident Indians are taxed on global income, so Dubai rent must be reported in India. Relief rules under the India–UAE tax treaty may apply.
This article is general information, written in November 2026, and is not legal, tax or financial advice. Rules, rates and limits change; please confirm the current position with the authority concerned or a qualified professional before you act.
