5 min read

Should I Buy or Rent a Home in Dubai? Pros and Cons Explained

Mo’ Zubair
· September 20, 2022
Should I Buy or Rent a Home in Dubai? Pros and Cons Explained

It’s no secret that rents in Dubai are quite high; as you would expect from one of the best cities on the planet! Dubai’s unparalleled infrastructure and unprecedented security make it a very popular choice among people looking to relocate from all over the world.

Trusted movers and packers service in Dubai

All Covered. No Hassle. Low-cost movers and packers expert in Dubai — book now!

What are you moving?

The cost of living, especially the rent, is just one of the factors worth considering before you make the move. If you’re curious to know about the intricacies of the cost of living in Dubai, we’ve written about this in the past here

One way in which you can save a large amount of money every month is by choosing to buy a property rather than rent. Let’s take a closer look at whether this is a good idea by discussing the pros and cons!

The Pros

1. Save up on Rent

This one is fairly obvious and the biggest benefit of owning a property in Dubai. You don’t have to pay a small fortune in rent every month! Even if you do buy a property in instalments, you will be paying approximately the same amount as you would be paying in rent. Except at the end of the instalment term, you own the property outright. Sounds great right?

Pro Tip: For non-citizens, it is not possible to buy property everywhere in Dubai. Only developments and communities in ‘New Dubai’ that are classified as ‘freehold’ or ‘leasehold’ can be purchased.

2. Stability in the Long Run

Owning a property in Dubai will undoubtedly give you much-needed stability and control in the long run. In the unfortunate event that you lose your job, the added cost of rent will not eat into your savings (if you own the property outright) while you look for work. Also, rents in Dubai are used to cycles of rising and falling drastically; this is another thing that will no longer affect you.

Property ownership gives you control over what you choose to do with your home. If you are a tenant, your landlord might prevent you from making renovations. As the owner, you can modify your home as per your requirements and even keep pets without taking permission from anybody!

3. Achieve a Golden Visa

Another big advantage of buying a property in Dubai is the fact that it might make you eligible for the newly announced and highly sought-after Golden Visa. The Golden Visa is valid for 10 years and among many other benefits, gives the holder the ability to stay in Dubai without the need for ‘sponsorship’.

However, do keep in mind that to be eligible for the Golden Visa, the property value should be AED 2 Million or more.

The Cons

1. The UAE is a Transient Place

Considering how the UAE doesn’t provide citizenship or permanent residency, Dubai can be considered a transient place. People might end up leaving after a few years should they find better prospects. Either way, only a small portion of folks choose to retire in Dubai as it's quite expensive to do so.

If you don’t plan to stay in Dubai for too long or the prospects of no citizenship is a deal-breaker for you then perhaps buying a property here wouldn’t be the wisest choice.

2. Increased Burden in Terms of Costs

It’s important to keep in mind that just because you won’t be paying rent, it's not that you won’t be paying anything at all. You will still have to pay utilities and maintenance costs every year on your property.

More importantly, you should factor in major repair expenses that may come your way. This cost is usually covered by the landlord when you’re living in a rented property.

3. Susceptibility to Real Estate Crashes

Historically speaking, the UAE is just as susceptible to real estate market crashes as any place in the world. This should not be a problem should you buy the property to live in yourself as compared to as an investment.

However, should you choose to move out from Dubai in search of better prospects and look to sell your home; a bad market at the time might result in pretty large financial losses.


In conclusion, should you buy or rent a home in Dubai? The answer is entirely based on your personal preferences, future goals, and financial situation.

Trusted movers and packers service in Dubai

All Covered. No Hassle. Low-cost movers and packers expert in Dubai — book now!

What are you moving?

Remember, even if you choose to buy a home in instalments, you will still have to put a down payment in the range of 20-25%. This is in addition to your interest rate, the 4% transfer charges levied by the Dubai Land Department, and a 2-5% charge by your real estate agent. Renting on the other hand is comparatively much easier, but might work out rather expensive in the long run!

Buying a home is undoubtedly a big financial decision, but if you intend to stay in Dubai long-term and have a certain amount to invest; it might be a wise choice.

That’s it from us at Wise Move for now. Until next time and as always; choose wisely!