I Bought My First Dubai Apartment Last Year. Here's What I Got Wrong.

Full disclosure: I bought a one-bed apartment in Business Bay in early 2025. I thought I'd done my homework. I was wrong about several things. Here's what I wish I'd known.

I Underestimated the Total Cash Needed

My apartment cost AED 1.1M. I budgeted AED 220K for the 20% down payment and figured I'd sort the rest with the mortgage. What I didn't budget for: AED 44K DLD fee, AED 22K agent fee, AED 12K bank processing, AED 4.2K trustee office, AED 3.5K valuation, and AED 2K for miscellaneous admin. That's an extra AED 87,700 on top of the down payment. I had to scramble to cover it.

The lesson: budget 28-30% of the purchase price in cash, not 20%.

I Didn't Check Service Charges Until After the Offer

My building charges AED 22/sqft. On a 750 sqft apartment, that's AED 16,500 per year — roughly AED 1,375/month before I've paid for DEWA, internet, or groceries. I knew service charges existed but I didn't check the actual amount until after I'd made an offer. Some buildings in Business Bay charge AED 15/sqft. That AED 7/sqft difference is AED 5,250/year. Over 10 years, that's AED 52,500 I could have saved by choosing a different building in the same area.

I Trusted the Agent's Price Estimate

My agent told me the apartment was "well priced for the area." When I later checked the DLD transaction data, I found that similar units in the same building had sold for 8% less in the previous quarter. I overpaid. Not catastrophically, but enough to be annoying. The fix is simple: check the actual DLD data before negotiating. Don't rely on agent opinions.

I Didn't Drive the Commute at Rush Hour

Google Maps said 12 minutes to my office in DIFC. In reality, it's 12 minutes at 10pm and 35 minutes at 8:30am. The Business Bay-DIFC corridor is one of the most congested in Dubai, and the construction on Al Khail Road made it worse. I should have made the drive during actual commute hours before buying.

What I Got Right

I bought in Business Bay rather than stretching for Downtown — the 30% price difference means my mortgage is manageable. I got a fixed-rate mortgage for 3 years, which protects me from rate increases. And I bought a ready property rather than off-plan, which means no handover uncertainty. Not everything went wrong.

Would I Do It Again?

Absolutely. Even with the mistakes, owning beats renting in Dubai if you're staying 3+ years. My mortgage payment is AED 4,800/month. The same apartment rents for AED 6,500/month. I'm building equity instead of paying someone else's. I just wish I'd been more methodical about the research.