Positives and Negatives of buying a house here

edna you must be in a different time zone I gotta hit the sack nite nite xxxx

But then again, they can change the rules can't they? Did you believe them? I was always cynical, but plenty of people did believe it... and were brutally let down when it mattered most. So as you say, you shouldn't invest in Dubai unless you're prepared to lose absolutely everything. I do feel very very sorry for those folks but most of them thought they were going to make themselves a fortune and speculated money they never had. Greed, greed, greed pure and simple. Don't spend what you haven't got!!

But then again, they can change the rules can't they? Did you believe them? I was always cynical, but plenty of people did believe it... and were brutally let down when it mattered most. So as you say, you shouldn't invest in Dubai unless you're prepared to lose absolutely everything. no investment is guaranteed so anyone who believed 'promises to investors' is very silly The promise was made specifically to kickstart the Dubai property market. You certainly benefited from that promise, even if you weren't aware of it, because it helped create the confidence in the market that pushed prices up. <em>edited by edna.welthorpe on 27/11/2011</em>

You are totally right, expats are not well protected here There's no protection at all. We're all just 30 days from being kicked out. And the broken promises to investors and the total lack of help during the crash for the expats who actually make the place function do need to be borne in mind when speculating about what the government might or might not do in the future. Exactly. But no investment is guaranteed so anyone who believed 'promises to investors' is very silly.

You are totally right, expats are not well protected here There's no protection at all. We're all just 30 days from being kicked out. And the broken promises to investors and the total lack of help during the crash for the expats who actually make the place function do need to be borne in mind.

I agree with everything you are saying Edna I really do. But the OP asked about the positives and negatives of buying property here and the replies have probably gone a long way to answering those questions. You are totally right, expats are not well protected here so you have to accept that, go in with eyes open and take the risk as it applies to your own particular position. For us it was an easy choice, for others maybe not so. I never expected anyone to protect me or change the laws of the land just to suit me if I fell on hard times. I borrowed what I could afford to lose, took that risk and will live with the decision. <em>edited by cushion on 27/11/2011</em>

'Two other things to bear in mind: when Dubai first opened its property market to foreigners, the government guaranteed that nobody buying in Dubai would lose money'. Did it really? I must have missed that announcement. Really did it please tell me when that was stated. <em>edited by cushion on 27/11/2011</em>

Has the UK government done anything to help people during the crash? Thousands there in negative equity Negative equity isn't the issue. If you lose your job in the UK, you don't have to leave the country within 30 days, and you can claim some kind of government assistance. The UK government also moved quickly to limit mortgage lenders' ability to foreclose on borrowers who were in trouble, in order to prevent families being thrown onto the streets. Given how utterly dependent the UAE is on expats you'd have thought that they would have moved quickly to change laws during the crash to try and stem the mass exodus that happened. It was certainly debated within the government. But in the end, they left things as they were, so thousands of families were forced to leave, even if they'd bought property here. Never forget that, just as you should never forget the "guarantee" that investing in Dubai was safe because nobody who bought property would lose money on it, nor the "guarantee" that buying property would get you a visa. <em>edited by edna.welthorpe on 27/11/2011</em>

Has the UK government done anything to help people during the crash? Thousands there in negative equity. Really just interested to know, has it?

If you have money to invest where would you put it? Stock markets? Bank account? No thanks Many people have discovered that bank accounts would have been a better idea that the stock market over the last few years! This argument about rules changing with no recourse is valid up to a point but really I think the UAE is moving forward and, as far as anyone can predict anywhere, chances of the powers that be rescinding ownership very unlikely Yes, it's unlikely, but it's always worth bearing in mind that the government did nothing to help during the crash. As a result of expats being laid off left, right and centre, government officials were quoted in the newspapers about the possibility of changing the visa law so that people who'd lost their jobs wouldn't be forced to leave the country within 30 days... but although they could have changed laws overnight to help people, they chose not to. Nobody should ever forget that we have no rights here, none at all. We're all purely temporary residents. Even people who own property do not have any right to live here permanently. There are plenty of other countries, many of which have much more pleasant year-round climates than the UAE and much more mature and transparent legal systems, where expat property owners *do* have proper rights. Two other things to bear in mind: when Dubai first opened its property market to foreigners, the government guaranteed that nobody buying in Dubai would lose money. There were also promises that buying property guaranteed a visa. Need I say more? Banks are lending again, at much lower interest rates and I am having to fend off messages from estate agents wanting to sell my house to 'ready buyers'. None of which does much to alleviate the plight of those hundreds of thousands of people who bought into the madness at or near the peak and are saddled with properties that will never again be worth what they paid for them. That, plus the huge existing glut of apartments and the very large new developments that are nearing completion and will be adding yet more to the housing stock over the next year or so, will weigh down the Dubai property market for a long time to come. Sure, if you bought at the beginning when property was dirt-cheap, *and* you've maintained it properly, you're still well ahead. But so, so many people who got in early sold up to take advantage of the madness, and immediately bought back in with even more expensive houses because they thought they couldn't lose... and are seriously regretting it now... Absolutely Edna, all driven by pure unadulterated greed and they got their come-uppance. Not the fault of the UAE government.

If you have money to invest where would you put it? Stock markets? Bank account? No thanks Many people have discovered that bank accounts would have been a better idea that the stock market over the last few years! This argument about rules changing with no recourse is valid up to a point but really I think the UAE is moving forward and, as far as anyone can predict anywhere, chances of the powers that be rescinding ownership very unlikely Yes, it's unlikely, but it's always worth bearing in mind that the government did nothing to help during the crash. As a result of expats being laid off left, right and centre, government officials were quoted in the newspapers about the possibility of changing the visa law so that people who'd lost their jobs wouldn't be forced to leave the country within 30 days... but although they could have changed laws overnight to help people, they chose not to. Nobody should ever forget that we have no rights here, none at all. We're all purely temporary residents. Even people who own property do not have any right to live here permanently. There are plenty of other countries, many of which have much more pleasant year-round climates than the UAE and much more mature and transparent legal systems, where expat property owners *do* have proper rights. Two other things to bear in mind: when Dubai first opened its property market to foreigners, the government guaranteed that nobody buying in Dubai would lose money. There were also promises that buying property guaranteed a visa. Need I say more? Banks are lending again, at much lower interest rates and I am having to fend off messages from estate agents wanting to sell my house to 'ready buyers'. None of which does much to alleviate the plight of those hundreds of thousands of people who bought into the madness at or near the peak and are saddled with properties that will never again be worth what they paid for them. That, plus the huge existing glut of apartments and the very large new developments that are nearing completion and will be adding yet more to the housing stock over the next year or so, will weigh down the Dubai property market for a long time to come. Sure, if you bought at the beginning when property was dirt-cheap, *and* you've maintained it properly, you're still well ahead. But so, so many people who got in early sold up to take advantage of the madness, and immediately bought back in with even more expensive houses because they thought they couldn't lose... and are seriously regretting it now...

So greenish or anybody - what are the good places/communities to buy at the moment:-)

Some interesting opinions here and as usual on this type of thread responses depend very much on personal situations. I class myself as one of the fortunate people who bought off plan when it all started in 2004. Our house was delivered on time and we have lived here peacefully ever since while lots of friends have moved from pillar to post at the whim of dodgy landlords, losing fortunes in the process paying inflated rents. Our property has been well maintained and is still worth three times what we paid for it. Rules change everywhere and the current turmoil in Europe is an example. The UK is bracing itself for a day of industrial action on 30th November. Lots of teachers and transport workers on strike over pensions. Nothing is guaranteed anywhere in the world at the moment in my opinion. If you have money to invest where would you put it? Stock markets? Bank account? No thanks. This argument about rules changing with no recourse is valid up to a point but really I think the UAE is moving forward and, as far as anyone can predict anywhere, chances of the powers that be rescinding ownership very unlikely. Banks are lending again, at much lower interest rates and I am having to fend off messages from estate agents wanting to sell my house to 'ready buyers'.

[b'>Expats being able to own property is less than 6 years old here - it could change again tomorrow if those in power decide to rescind it. If (and it is a big IF I know) that happened, not only would you have to sell, but probably at a big loss. I would never buy property in a country where the rules can be changed without the rule of law governing it. And it doesn't here.[/b'> Not true, expats have been able to buy homes here for nearly 9 years now, since February 2003. We have owned our house for 7 years and we have no regrets at all. Yes it is true that the laws could change but after all the efforts the UAE has put in to attracting businesses and tourists to the region it really wouldn't make any sense. So for us we have a mortgage of Dhs.60,000 a year and we have 8 years left on the mortgage, it really would be daft for us to rent, so it does depend on each persons situation but after renting for the first 7 years we are much better off since we bought. Back then, the prices were more realistic, to buy now the prices are hugely overflated. Just curious; do you worry what the next 8 years will bring? Are your jobs secure? Meaning its a long time to still be tied to a loan here - unfortunately anything could go wrong or change financially, and therefore not being able to meet the payments that what would concern me...... I think to buy with a mortgage here is unwise. But if you can pay cash outright, then your're in a much better position....depending on your individual circumstances of course.

[b'>Expats being able to own property is less than 6 years old here - it could change again tomorrow if those in power decide to rescind it. If (and it is a big IF I know) that happened, not only would you have to sell, but probably at a big loss. I would never buy property in a country where the rules can be changed without the rule of law governing it. And it doesn't here.[/b'> Not true, expats have been able to buy homes here for nearly 9 years now, since February 2003. We have owned our house for 7 years and we have no regrets at all. Yes it is true that the laws could change but after all the efforts the UAE has put in to attracting businesses and tourists to the region it really wouldn't make any sense. So for us we have a mortgage of Dhs.60,000 a year and we have 8 years left on the mortgage, it really would be daft for us to rent, so it does depend on each persons situation but after renting for the first 7 years we are much better off since we bought.

We bought at the wrong time and yes the house is a noose but to be honest weloved living in our own place and decorating. We had a great feeling of being settled after 4 years of renting here. We plan to stay long term and will wait for the house to be worth something again but until then will look to refinance to make things easier. If you buy at the right time then you could do well in the long term. As for changing the law etc really think its unlikely as the world may put its foot down to such a move as too many foreign investments here supporting the economy.

And who know if the laws could suddenly change one day and you would suddenly have nothing!

I wish we'd stayed renting. We'd have been gone by now if we didn't have the house hanging round our neck like a millstone.

Are you able to cover your mortgage IF your husband lost his job? Or at least for several months?

Expats being able to own property is less than 6 years old here - it could change again tomorrow if those in power decide to rescind it. If (and it is a big IF I know) that happened, not only would you have to sell, but probably at a big loss. I would never buy property in a country where the rules can be changed without the rule of law governing it. And it doesn't here.

From experience: - only in a very select few parts of the emirates - only if there's a very good chance you'll be there a very long time - only if bank charges, maintenance and service charges plus mortgage are equal to or less than you're currently paying in rent - only if you can afford to lose EVERYTHING you put into it if your situation, or the rules, or the economic climate change again Would we buy there again? Never in a million years.