Golden Visa rule change attracting wealthy retirees to Dubai

The more relaxed program also causing a surge in demand for properties valued at Dh2 million.

The UAE's recent decision to ditch the previous minimum down payment rule of AED 1 million (US $272,000) to participate in the Golden Visa Program is attracting a diverse range of real estate investors to Dubai – notably wealthy retirees, according to a recent report in Arabian Business.

This was a demographic already interested in the emirate for its comfortable lifestyle and access to world-class healthcare, leisure facilities, and cultural experiences. Now the relaxation on downpayment has pushed the door wide open.

The rule change also looks set to stimulate new building projects, generate employment opportunities, and bolster the economy. By streamlining the process of obtaining Golden Visas, the government also aims to mitigate market downturns and sustain steady growth.

Introduced in 2019, the Golden Visa Program was originally designed to entice international investors by offering residency in exchange for financial investment within the UAE. This initiative swiftly became one of the most prominent in the MENA region.

Initially, investors seeking a ten-year renewable residence permit were required to invest in properties valued at AED 2 million or more and those opting for mortgage or installment plans had to meet a minimum down payment requirement of AED 1 million – or 50% of the property's value – to qualify for the visa.

However, the recent revisions have waived the AED 1 million minimum down payment stipulation (although the property value requirement set at a minimum of AED 2 million remains unchanged) opening an easy path for affluent foreign investors.
 

Rule driving property size demand

Another impact of the rule change is demand for properties valued at Dh2 million has surged. Real estate industry watchers say that many property developers in Dubai are increasing the size of apartments to accommodate this growing demand, while investors with Dh1.5-million-plus investments are increasing their budgets to reach the 10-year residency eligibility threshold.
 

UAE Golden Visa investor eligibility

To be eligible for a UAE Golden Visa under the revised rules, property investors must provide a letter from the Dubai Land Department confirming ownership of one or more properties valued at no less than AED 2 million. They must then acquire a property through a loan from specific local banks approved by the competent local entity.

While the minimum payment requirement has been abolished, the final approval of the Golden Visa application is subject to the Dubai Land Department’s consideration on a case by case basis.