Is it Better to Buy Property in Dubai or Turkey?

When it comes to real estate investment, the question always arises: is it better to buy property in Dubai or Turkey? Turkey is a suitable choice with its lower living costs and the possibility of obtaining citizenship quickly. In contrast, Dubai attracts more investors with its economic stability, stable national currency value, and modern infrastructure. Among these, buying a townhouse in Dubai creates a special opportunity. Dubai’s townhouses, in addition to their modern design and luxury amenities, provide conditions for obtaining long-term residency and even a Golden Visa.

Buying Property in Dubai and Residency Conditions

By buying property in Dubai, you can obtain a two-year, five-year, or Golden Visa for Dubai. Three months after purchasing a home, you can apply for residency. If the property’s value exceeds one million dirhams, residency is granted. It is worth noting that buying a penthouse in Dubai is an option that, due to its higher price, makes it easier to obtain residency while enjoying a luxurious life and full amenities.

Conditions for Obtaining Residency in Dubai

Dubai offers various ways for foreigners to obtain residency. Depending on your goal, you can use different methods such as buying property, investing, or working.

• Buying Property: By purchasing a residential property in permitted areas and registering it in your name, you can obtain residency.
• Company Registration: By registering a company in Dubai, you can get a 3-year renewable residency.
• Investment: Investors and entrepreneurs with significant investment in the UAE economy can receive a 10-year Golden Visa.
• Marriage: Marrying a UAE citizen or a resident of Dubai can lead to residency.
• Student Visa: Students with admission from UAE universities or colleges and providing the necessary documents, including a language certificate, can receive a student residency.
• Job Offer: Individuals who receive a job offer from a government office or a private company in the UAE can obtain a work residency.

Property Purchase Tax in Dubai

Dubai has become one of the world’s major financial and investment hubs due to the absence of income tax and annual property tax. These advantages have attracted foreign investors to Dubai’s real estate market.

Pros and Cons of Buying Property in Dubai

Buying property in Dubai is one of the most popular investment methods. This method is popular among investors because of the many benefits it offers. However, before deciding whether to buy property in Dubai or Turkey, you should examine the pros and cons of both options.

Advantages of Investing in Dubai

Buying property in Dubai not only offers income and investment potential but also comes with several benefits:

• Stable economy
• Tax-free income
• Receiving a 99-year title deed
• High standard of living
• Possibility of obtaining a Golden Visa or 10-year residency with an investment of 2 million dirhams
• High-quality healthcare services
• Access to the best educational centers

Disadvantages of Investing in Dubai

Despite the advantages, buying property in Dubai also has its drawbacks that you should consider:

• No permanent residency
• High living costs
• Real estate market fluctuations
• No possibility of working just by buying property

Buying Property in Turkey and Conditions for Investment and Residency

In Turkey, you can obtain temporary or permanent residency by buying property. For temporary residency, the property value must be over $75,000, and for permanent residency, this figure is over $400,000. With the increase in construction and demand in Turkey, buying property can create a good investment, and in tourist cities, renting to tourists brings in a good income. Although whether buying property in Dubai or Turkey is better depends on your personal and investment needs, Turkey, by following European standards, provides the possibility of a comfortable and high-quality life.

Conditions for Obtaining Residency in Turkey

Turkey offers various methods for obtaining residency, which vary depending on your goal. The main methods are reviewed below:

• Residency through Property Purchase: By buying a property worth at least $400,000 and not selling it for 3 years, it is possible to obtain citizenship and permanent residency.
• Residency through Investment: Investing in an active company or economic project in Turkey for a specified period (usually 5 years) can lead to permanent residency.
• Residency through Marriage: Official marriage to a Turkish citizen, provided the relationship is genuine and legal procedures are followed, can lead to temporary and then permanent residency.
• Student Residency: Requires admission from an educational institution in Turkey and proof of ability to pay tuition and living expenses.
• Work Residency: Requires having a job offer from a Turkish employer and obtaining a work permit (çalışma izni).

Pros and Cons of Buying Property in Turkey

Buying property in Turkey has attracted many investors due to its favorable prices and the possibility of obtaining residency or citizenship. Of course, alongside the advantages, there are some disadvantages that should be considered.

Advantages of Investing in Turkey

Buying property in Turkey, in addition to income, has other benefits:

• High return on real estate investment
• Possibility of obtaining citizenship by buying a $400,000 property
• Reasonable property prices compared to other countries
• Booming real estate market and good sales opportunities
• Possibility of obtaining a 2-year renewable residency by buying a property of at least $75,000
• Getting a Turkish passport
• Possibility of selling the property after 3 years

Disadvantages of Investing in Turkey

Despite the advantages, the following negative points also exist:

• Political instability
• Currency fluctuations
• Low economic stability

Comparing the Cost of Living in Turkey with Dubai

Dubai is one of the most expensive cities in the world to rent or buy property, while Turkey is considered a more affordable option. On average, renting a one-bedroom apartment in Turkey is about 1,200 Lira per month, which is approximately 78% cheaper than in Dubai. Also, the cost of buying property in Dubai is about 40 to 50 percent more expensive than in Turkey. For this reason, the question of whether to buy property in Dubai or Turkey depends on your budget and investment goals.

Examining Financing Options for Buying Property in Dubai and Turkey

Foreign investors have various financing options for buying property in Dubai and Turkey. Choosing the right loan method can reduce investment risk and increase returns.

Turkey Mortgage

Turkish banks offer mortgages to foreigners but have conservative conditions. Usually, 50 to 75 percent of the property value is loaned, and the repayment period is up to 20 years. Banks require many documents, such as proof of income and a guarantor. The interest rate is variable, and loans are mainly given in Lira, which creates currency risk.

Dubai Mortgage

Dubai banks offer competitive mortgage loans to foreign investors. Usually, 70 to 80 percent of the property value is loaned, with a down payment of only 20 to 30 percent. The pre-approval process is fast and transparent, and fixed-rate and multi-currency options reduce the risk of currency fluctuations.

Comparing Economic Stability and Life in Dubai and Turkey

The UAE and Turkey are two important countries near Iran, each considered advanced in terms of tourism, economy, and society. Living and working in Dubai and Turkey have different conditions, and understanding the differences helps in deciding whether it is better to buy property in Dubai or Turkey.

Cost of Living in Dubai and Turkey

The cost of living and housing rent in Dubai is higher than in Turkey. Dubai is a luxurious and famous city, and immigrants have to pay more than in Turkey. Healthcare services are more expensive in Dubai, but with proper insurance, high quality is provided. In Turkey, treatment costs are lower, and some public hospitals offer free services. The cost of food is also higher in Dubai, and eating in Istanbul’s restaurants is about 36 percent cheaper.

Comparing Unemployment Rate and Life Expectancy

The unemployment rate in Dubai is about 2.45%, one of the lowest in the region, while the unemployment rate in Turkey is about 12.94%. Life expectancy in Dubai is 78 years for men and 80 years for women, while in Turkey, the average life expectancy is reported as 73 years for men and 78 years for women. People in the UAE live on average 3.3 years longer than in Turkey.

Conclusion: Is it Better to Buy Property in Dubai or Turkey?

In response to the question of whether it is better to buy property in Dubai or Turkey, it should be said that Dubai offers advantages such as a stable economy, tax-free income, a 99-year title deed, and a high standard of living, but it also has disadvantages like not being able to obtain permanent residency and high living costs. In contrast, Turkey, with its high return on real estate investment and reasonable property prices compared to other countries, is an economical option for investors, although currency fluctuations and low economic stability are considered its drawbacks.

Frequently Asked Questions: Is it Better to Buy Property in Turkey or Dubai?

Is the cost of property maintenance higher in Dubai or Turkey?

The cost of property maintenance in Dubai is usually higher, annually between 2 to 5 percent of the property’s value. Building service charges can also be between 15,000 and 50,000 dirhams. In Turkey, these costs are on average between 1 to 3 percent and are lower in small or rural areas than in Dubai.

Is the cost of living higher in Dubai or Turkey?

The cost of living is higher in Dubai, but the quality of services, security, and facilities are also much higher and comparable to advanced cities in the world.

Is buying property more profitable in Dubai or Turkey?

The cost of buying and living in Dubai is higher than in Turkey, and with the same cost, one can have a more comfortable life in Turkey. However, the return on investment in Dubai is at least five times that of Turkey.