How much does a plot of land cost in Dubai? A guide for investors

Real estate in Dubai – flats, houses, land

Dubai is not only a perfect place for a wonderful holiday – it is also a city of the future and development, which is a great location for living or investing. Capital from different corners of the world is invested in real estate, building plots, services and other sectors of the economy in Dubai, generating significant profits in a short time. Those interested in investing or purchasing property in Dubai for residential purposes can choose from a variety of options: secondary market flats and off-plan projects, detached houses or exclusive villas, as well as building plots. Property prices in Dubai have been discussed in the context of an analysis of the local real estate market. Today, we will focus on land: what are the prices of plots in Dubai, how to purchase a plot in this city, and whether investing in a plot is a good idea. The land real estate market in Dubai is constantly growing, so now is a good time to explore investment opportunities.

Building plots in Dubai

The development of the real estate sector in Dubai has led to an increase in interest in investing in this area by foreign investors. Apartments and houses (including villas) are the most popular, but investments in land in Dubai are gaining in importance. How much does a building plot in Dubai cost? Average land prices in Dubai are higher than for flats. However, the difference is that the potential profit from purchasing a plot of land in Dubai is greater, so the cost of purchasing a plot of land in Dubai is more profitable for an investor than purchasing a finished property. Check out how much properties in Dubai cost.

What are the formalities involved in purchasing a plot of land in Dubai?

The formalities involved in purchasing a plot of land in Dubai require a valid passport, cooperation with a professional estate agent, obtaining a No Objection Certificate (NOC) from the developer or the Department of Land (DLD) (if required) and meeting the visa requirements that will allow you to stay legally. For more complex transactions, such as off-plan property purchases or joint ownership, it is worth considering consulting a solicitor.

What are the costs of land in Dubai?

What are the prices of building plots in Dubai? Dubai 2025 investment land prices – plots of land for sale in Dubai vary greatly in price. The cost of land in this city starts at AED 1.5 million and can reach up to tens of millions of AED, and the upper limits are difficult to determine due to the attractiveness of the locations offered. The prices of plots for sale in Dubai are not fixed. Price differences will also result from the intended use of the land: whether it is intended for private or commercial use. Land intended for private use is usually used for houses, villas and residential buildings, while commercial plots are used for investment or rental to companies planning to build properties in a given location. Are plots of land in Dubai increasing in value? Is it possible to finance the purchase of a plot of land in Dubai with a loan? The option of purchasing land in Dubai on credit is becoming increasingly popular, and over the years, the value of plots in Dubai has been increasing.

Interest rates on loans for plots in Dubai are not high. Mortgage interest rates in Dubai for residents start at around 4.5%, and for non-residents at 6.0% or more. For personal loans for expatriates, interest rates can range from 6.49% to 13.49%. The exact rates depend on the bank, the type of loan, the amount of the down payment and the individual situation of the customer.

How to purchase land in Dubai as a foreigner?

Can a foreigner buy land in Dubai? Since 2016, foreigners have been able to invest in land in the Emirates. Property prices in the United Arab Emirates have always varied depending on the emirate, with Dubai being one of the most expensive areas. Why is this? Due to the interest and strong demand from investors, new residents and growing companies. What do you need to do to purchase land in Dubai as a foreigner? Can a foreign citizen purchase a plot of land in Dubai?

Any foreigner can purchase a plot of land in Dubai, and the process is handled by the Dubai Land Department (DLD), the institution responsible for land matters in the city. In order to purchase real estate, it is necessary to enter into an agreement with this department, as the land originally belongs to the government or state entities. To purchase a plot of land in Dubai, you must collect the relevant documentation and bear the costs and formalities involved in the purchase. It is much easier to entrust this work to qualified estate agents, such as the members of our team at Two Continents Estate Agency, who have many years of experience in the Dubai real estate market and the process of purchasing plots of land, so they will explain this topic to you in detail and inform you about the fees and taxes involved in purchasing a plot of land in Dubai.

Investing in land in Dubai – is it a good idea?

Investing in land in Dubai – a good or bad decision? What are the risks of investing in land in Dubai? Investing in real estate in Dubai is an effective way to place your capital in a stable real estate market. Data shows that returns on investments in short-term rentals or land leases in Dubai are among the highest in the world. Purchasing land is an excellent opportunity for a proven investment. The specialists at Two Continents real estate agency will help you choose the right plot of land, guide you through the process of buying land in Dubai step by step, and familiarise you with the rules of renting or building on a given plot of land in Dubai. Contact them to get answers to questions such as: What are the prices of building plots in Dubai? What expenses are involved in purchasing a plot in Dubai? You will also find out how land prices vary in different parts of Dubai.

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Questions and answers (FAQ)

• How much does a plot of land in Dubai cost?

The price of a plot of land in Dubai depends on its location and intended use. There is a wide range of plots available in Dubai, with the cheapest ones priced at less than AED 2 million, while the most expensive ones can reach tens of millions of AED – it is worth consulting with experts to find out the exact prices.

• Where to buy a plot of land in Dubai for investment?

A plot of land for construction or investment in Dubai must be purchased with careful consideration of the investment. Foreigners have had the right to own land in Dubai since 2016, but only in specific locations known as Freehold zones. These include areas such as Downtown, Dubai Marina and Palm Jumeirah. It is definitely worth investing in property in locations such as Dubai Marina, where development is progressing at the fastest rate in the entire city.

• How do land prices differ in different districts of Dubai?

Differences in land values in Dubai are due to location and area category. In the most desirable areas of Dubai, land prices will be the highest, and in these locations, land close to tourist attractions and with the highest investment potential will have the greatest value.

• What fees and taxes are involved in purchasing a plot of land in Dubai?

When you purchase a plot of land in Dubai, the main fee is 4% to the Dubai Land Department (DLD), which is usually split between the buyer and seller, and a separate registration fee of approximately AED 580. There may also be an agency fee (often 2% plus 5% VAT) and a small VAT on administrative fees. Unlike many other markets, Dubai does not levy annual property taxes on plot owners.

• What are the best locations for investment plots in Dubai?

The best places to buy investment plots in Dubai are primarily freehold areas, such as Dubai Marina, Downtown Dubai, Business Bay and Palm Jumeirah. It is also worth paying attention to developing districts with great future potential, such as Dubai South, Jumeirah Village Circle (JVC) and Dubai Creek Harbour. The choice of location should be based on your investment strategy, for example, whether you are interested in a steady rental income or are looking for long-term value growth. 

Investing in land and property is not the only reason why people come to Dubai. This city offers many spectacular attractions and provides an unforgettable holiday experience. To book the most interesting attractions in Dubai and find a unique, private apartment in Dubai, visit the Two Continents website and plan your holiday.