Dubai announces new incentives for residents buying property for the first time

The Dubai Land Department (DLD) has initiated the "First Property Ownership" programme on Wednesday for UAE citizens and residents, in collaboration with real estate development companies and several banking institutions operating within the local market. The programme has set itself the target of supporting more than 5,000 beneficiaries by the end of 2025.

The programme offers a range of benefits, including credit facilities of up to 18 years, as well as the option to pay in instalments the registration fee of 4 per cent with the DLD. Furthermore, participating real estate development companies have been observed to offer significant discounts and preferences on property prices, which have been documented to be as much as 10 per cent lower than market price, irrespective of the property's status as being either ready or off-plan.

Applicants must be residents of the UAE, not currently in possession of any freehold residential property in Dubai, be aged 18 years or older, and their property must have a value no greater than Dhs5 million.

The programme operates under a policy of one-time use, thereby exempting the property from rental restrictions for the purpose of long-term investment.

Commenting on the programme, Khalid Al Shaibani, Director of the Rental Affairs Department at Dubai Land Department, said that it offers a number of benefits, the most significant of which is priority access to viewing and reservation of residential units in new projects from real estate developers, preferential rates for new residential units, a flexible payment plan for registration fees with the department (4%), or via interest-free credit cards, and competitive real estate financing offers from banks with reduced interest rates and fees.

Applications for the programme can be submitted via a link provided by DLD, the Dubai Real Estate app or the DLD website. Applications will then be reviewed and eligible residents will be added to the programme beneficiary list, which will be made available to developers.