Updated October 2026. Remittance rules checked against the Reserve Bank of India’s Liberalised Remittance Scheme master direction, and Dubai fees against Dubai Land Department guidance.
Indian buyers are the largest group of foreign investors in Dubai property, drawn by freehold ownership, no personal income tax on rent in the UAE, short flights home and the option of a long-term visa. If you want to buy property in Dubai as an Indian, the rules depend on whether you live in India or are an NRI. This guide explains how to send the money legally, the tax points to check, the costs, and the areas worth shortlisting in 2026.
Why do Indian investors buy in Dubai?
An Anarock report cited by Khaleej Times in July 2026 found that Indians made up about 22% of Dubai property buyers in 2025, the largest share of any nationality. The main reasons are:
- Freehold ownership. Foreigners can own property outright in Dubai’s designated freehold areas, registered in their own name with the Dubai Land Department (DLD).
- No personal income tax in the UAE. The UAE does not tax individuals on rental income or on gains when they sell a home. Indian tax rules may still apply, as explained below.
- Residency options. Property with a DLD-registered value of AED 2 million or more can qualify you for a 10-year UAE Golden Visa.
- Proximity and community. Dubai is a short flight from most Indian cities and has one of the largest Indian communities outside India.
The market has cooled in 2026. Q3 2026 market data shows average apartment prices down 4.8% on the previous quarter and rents down 10 to 13% year on year in areas such as Dubai Marina, Business Bay and JVC. That gives buyers more room to negotiate, but it also means past growth should not be assumed to continue.
Can Indians buy property in Dubai?
Yes. Indian citizens, whether living in India, in the UAE or elsewhere, can buy freehold property in Dubai. You do not need a UAE visa, and you can complete the purchase from abroad through a notarised and attested power of attorney. What changes is how you fund it.
Buying from India: the RBI’s LRS rules
If you are a resident of India, you must send the money under the Reserve Bank of India’s Liberalised Remittance Scheme (LRS). The RBI’s master direction allows resident individuals to remit up to USD 250,000 per financial year (April to March), and buying immovable property outside India is a permitted purpose.
Key points for resident Indians
- The limit is per person, per financial year. Family members can each use their own limit, but for property each person remitting should normally be a co-owner. Plan large purchases across family members and financial years with your bank.
- Use your bank’s LRS route only. Payments must go through an authorised dealer bank with Form A2 and your PAN. In 2026 India’s Enforcement Directorate issued notices to buyers who paid Dubai property bookings with international credit cards, which is not a permitted route for property.
- Indian banks cannot lend you the money to remit. The RBI does not allow banks to give credit facilities to fund LRS capital account remittances. Borrowing abroad as an Indian resident is also restricted, so check with your bank and adviser before applying for a UAE mortgage.
- Off-plan suits staged remittances. Developer payment plans spread payments over time, which can help you stay within the yearly limit.
TCS on LRS remittances
Your bank collects Tax Collected at Source (TCS) on LRS remittances above ₹10 lakh in a financial year. For investments, including property, the rate is 20% on the amount above ₹10 lakh, and Budget 2026 did not change this. TCS is not an extra tax: it shows in your Form 26AS and can be set against your income tax or refunded. It does affect your cash flow, so plan for it.
Buying as an NRI
If you are a non-resident Indian, LRS does not apply to money you earn and hold outside India. You can buy with your foreign income or savings, including from a UAE bank account if you live here.
- NRIs living in the UAE can apply for a UAE mortgage as residents. Central Bank rules allow up to 80% for a first home worth up to AED 5 million.
- NRIs living elsewhere are treated as non-residents by UAE banks, which usually lend around 50 to 60%.
- Money held in India in NRE accounts can be moved abroad, while NRO funds have their own repatriation limits and paperwork. Check with your bank.
Our in-house mortgage team can tell you what UAE banks will lend in your situation.
What tax points should Indian buyers check?
Tax depends on your residential status in India, so speak to a chartered accountant before you buy. The main points to raise are:
- Rental income. If you are an Indian tax resident, rent from Dubai is generally taxable in India, even though the UAE does not tax it.
- Capital gains. If you are an Indian tax resident when you sell, gains may be taxable in India. Ask about how the India–UAE tax treaty applies.
- Disclosure. Indian tax residents must report foreign assets, including Dubai property, in their income tax return. Missing this can lead to penalties under the Black Money Act.
- NRI status. If you qualify as non-resident, your foreign income is generally not taxed in India, but the residency tests are detailed.
- UAE corporate tax generally does not apply to individuals holding property personally, but rules differ if you buy through a company.
How much does it cost to buy in Dubai?
On top of the purchase price, budget roughly 6 to 8% for a cash purchase:
| Cost | Amount |
|---|---|
| DLD transfer fee | 4% of the price |
| Title deed fee | AED 520 |
| Trustee office fee | AED 4,000 + VAT (AED 2,000 + VAT under AED 500,000) |
| Conveyancing fee | Typically AED 6,000 to 10,000 + VAT |
| Agency commission | Usually 2% of the price + 5% VAT |
| Mortgage registration (if financing) | 0.25% of the loan amount + AED 270 to 520 |
The DLD transfer fee, title deed fee and mortgage registration are government charges set by DLD. Trustee office and conveyancing fees depend on the provider, and agency commission is agreed with your agent. All of these can change, so we confirm the exact figures for your purchase before you sign.
Which areas should Indian investors consider?
| Budget | Areas to shortlist | Why |
|---|---|---|
| Under AED 1M | Dubai Silicon Oasis, Dubai Sports City, Dubai South | Studios and 1-beds, gross yields around 7 to 8% in H1 2026 market data |
| AED 1M to 2M | JVC, Arjan, Business Bay (smaller units) | Strong tenant demand, yields around 6 to 7% |
| AED 2M+ (Golden Visa) | Dubai Marina, Dubai Hills Estate, Downtown Dubai, larger Damac Hills 2 villas | Established communities above the Golden Visa value threshold |
Figures are approximate for 2026 and based on advertised asking prices. For more detail, read our guide to the best areas to buy property in Dubai.
The Golden Visa for Indian buyers
Property with a DLD-registered value of AED 2 million or more can make you eligible for a 10-year UAE Golden Visa, which can include your family. Off-plan and mortgaged properties can qualify, subject to current rules. Read our full guide to the UAE Golden Visa through property.
Related guides
- Mortgage pre-approval in Dubai: documents, costs and next steps
- Best areas to buy property in Dubai
- How to avoid property scams in Dubai
- Dubai Hills Estate property prices: a community guide
Why buy with Houzon
Houzon is a RERA-registered agency rated 4.9 on Google by more than 270 clients. We work with buyers in India and the UAE, arrange video viewings and handle the paperwork and transfer, and our in-house mortgage team can arrange UAE financing. Talk to us about your plans.
Frequently asked questions
How much money can I send from India to buy property in Dubai?
Under the RBI’s Liberalised Remittance Scheme, a resident individual can send up to USD 250,000 per financial year, and buying property abroad is a permitted purpose. Each family member has their own limit.
Is TCS charged when I send money to buy Dubai property?
Yes. TCS of 20% applies to LRS remittances for investment above ₹10 lakh in a financial year. It can be adjusted against your income tax or refunded when you file your return.
Can I use a credit card to pay a Dubai property booking from India?
No. Property payments from India should go through your bank under LRS. In 2026 the Enforcement Directorate issued notices to buyers who used international credit cards for Dubai property bookings.
Can NRIs get a mortgage in Dubai?
Yes. NRIs living in the UAE can borrow up to 80% for a first home up to AED 5 million. NRIs living outside the UAE are treated as non-residents and can usually borrow around 50 to 60%.
Is rental income from Dubai property taxed in India?
If you are an Indian tax resident, rental income from Dubai is generally taxable in India, even though the UAE does not tax it. Speak to a chartered accountant about your situation.
Thinking of buying, selling or renting in Dubai?
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