No 4% fee, interest-free EMIs, pay after handover

As more and more developers announce projects in Dubai, companies are now focusing on offering investors freebies and flexible payment plans that run post unit handovers.

In its 'Wealth Gauge' report in March, Mashreq, a top bank in the UAE, said real estate development with innovative payment plan was the need of the hour and back-loaded schemes especially for off-plan properties whereby developers demand chunk of the payments to be made only after the unit is handed over were in demand.

Joining the array of developers is Deyaar Development, a Dubai-bourse listed developer has announced a one-day sale event on May 16.

At the event, it will waive off the 4 per cent Dubai Land Department registration fee for those buying units in their ready projects in Business Bay, International Media Production Zone and Dubai Silicon Oasis.

Investors will have to pay a 5 per cent down payment and will get instalment plans for up to five years and free property management for two years. Possession of the unit will be on payment of 30 per cent of the unit price.

“The UAE and more specifically Dubai have grown to become more than just a transit place for expats, but rather a place to settle,” company Vice-President Sales, Nasser Amer, said in a statement.

“The event will allow us to extend attractive and affordable deals that will enable potential investors and end users to realise their aspirations of owning their dream home in Dubai,” he added.

In its sales pitch for the upscale Anantara Residences on Palm Jumeirah Crescent, Raine & Horne, a real estate brokerage firm, said it was offering investors with a guaranteed return on investment (ROI) of up to 13 per cent for five years, interest free payment plans for five years and a seven-day complimentary stay at Anantara Luxury Resort every year.

GGICO Properties, a Dubai-based real estate service company, has come out with a 30/70-payment plan for Topaz Residences in Dubai Silicon Oasis and is providing buyers with a three-year payment plan at zero per cent interest from completion.

In the Royal Estates development in Dubai Investment Park, a project developed by Aristocratic Star, Pacific Ventures and Texture Holding, investors can book units by paying a 10 per cent down with the balance being paid over 4.5 years of nearly Dh3,600 per month installments.

As for the Glitz 3 tower in Dubai Studio City, Danube Properties, the real estate developer, has adopted the one per cent per month payment plan.

Investors can pay 10 per cent down payment, 15 per cent in the next 60 days followed by 25 instalments of one per cent of the unit value per month till handover and 50 instalments of one per cent of the unit value per month after handover.

“We have also worked out a payment plan that in no way burdens the end user who will pay only one per cent of the unit price on a monthly basis,” company Chairman Rizwan Sajan told Emirates24l7 at the launch of Glitz 1 and 2 towers.

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