The city of Dubai, undoubtedly, has become an exciting place for investors. The real estate market has expanded with an array of new developments in all parts of the city. People now have plenty of options at their disposal because of the increased number of properties in Dubai available on rent or for sale.

There are so many factors that one has to consider when buying a property in Dubai. An important one among the plethora of these factors is the selection between freehold or leasehold land. Both these options come with their own set of pros and cons. To make things easy for those who are looking for homes or villas for sale in Dubai, we have come up with an in-depth comparison between freehold and leasehold options. Read on to know more about these terms in detail:


When a person becomes a freeholder i.e. buys a freehold home/villa, the property is not the only asset they own. They also get ownership of the land on which the property is built. Dubai, like any other city, has its own set of laws and regulations that govern the rules of buying freehold properties.

Dubai allows investors belonging to non-GCC countries to avail any freehold property for sale offer in specific areas including Arabian Ranches, JLT, Emirates Living, and Downtown, etc. There’s a complete process to follow in order to purchase a freehold property in Dubai. An important step here is to register your name with DLD (Dubai Land Department). It will make you the landowner of the property. Therefore, you become eligible to receive its title deed.

Benefits of Buying a Freehold Property

Freehold property owners in Dubai get numerous benefits. Some of these are:

Full Rights Over Property

The owner, in the case of buying a freehold property, has full rights over it. They can sell or put it on a lease without facing any major hassle.

Complete Control

Another benefit of owning a freehold property is that the owner has complete control over it. Whether they want to make any modification to the existing property or major structure changes, they have full rights and control to do this.

Visa Benefits

Freeholders enjoy additional visa perks other than their existing property investor visa for the duration of two years. The Dubai Government planned long-term visas last year to provide freehold property owners more opportunities to invest in this region.

The Flipside

There is a flipside to buying freehold property in Dubai as well. As stated above, there are only a few selected areas available for them to purchase property in Dubai. This greatly limits their choices.


Buying a leasehold property in Dubai is different from freehold in the sense that you only become the owner of the house/villa/unit, not the land. This property can be occupied for a period of 99 years or less. The real owner of the land is the freeholder, who leases the property to the leaseholder. Once the term or period of lease is complete, the freeholder gets their rights back on the property.

Benefits of Buying a Leasehold Property

Becoming a leaseholder also offers some benefits. These include:

No Restrictions

There are no restrictions whatsoever when it comes to occupying a leasehold property. Unlike freehold properties, you can buy any property on lease, provided it is available for sale. This no restriction benefit gives buyers a wider range of opportunities.

A Flexible Option

Becoming a leaseholder is considered as a more flexible option as compared to its counterpart. Although it comes with a limit of 99 years but it can be extended or renewed upon the agreement of both the parties involved.

No Additional Responsibilities

With becoming a leaseholder, there are no additional responsibilities. If the property requires any structural challenges or extended maintenance work, the freehold owner is responsible for it.

The Flipside

As discussed above, you will not have complete ownership of the property. So, even if there is a requirement of a small maintenance work to be done or an improvement in the property, you will have to contact the freeholder. Once they have given you the written permission, only then you can get started with the said work.

The Takeaway

Ultimately, it all comes down to your requirements. So, carefully weigh the pros and cons of both the options and make the decision accordingly. If you need any help with the selection of property, experts at Zoom Property are available for your assistance.

Follow Us