Latest news with #SpringfieldProperties
The National
07-08-2025
- Business
- The National
UAE residents warned against using credit cards for property deposits
Using a credit card to cover part of a property down payment in the UAE is quite common but comes with risks, experts warn. The issue is in focus after Indian property buyers in Dubai reportedly faced regulatory challenges back home after using international credit cards to make down payments during their UAE visits. 'It is a relatively common practice in Dubai to use credit cards for partial down payments, particularly among buyers purchasing directly from developers,' says Farooq Syed, chief executive of Springfield Properties. 'Most developers allow a portion of the initial deposit – typically between Dh40,000 [$10,890] and Dh100,000 – to be paid through credit card. This amount is often used to reserve the unit, giving buyers additional time to complete the transfer of remaining funds.' The UAE Central Bank had instructed banks to stop financing the Dubai Land Department registration fees and real estate broker fees from February 1. The banking regulator will no longer allow customers to include the DLD and broker fees as part of their mortgage financing. This could result in home buyers having to set aside a larger down payment. In addition to the required 20 per cent or 30 per cent property down payment, buyers will now need liquid funds to cover the 4 per cent DLD fee and 2 per cent agent fee. Safe downpayments As well as the DLD and agent fees, the associated costs of buying a property in Dubai include a fixed DLD trustee fee of Dh4,200, 0.25 per cent of the loan amount as mortgage registration fee and a Dh500 title deed fee. These amount to about 6 per cent to 7 per cent of the property's purchase price. Banks used to finance 80 per cent of these costs. Now, the Central Bank has told banks to stick to the original loan-to-value ratio of 80 per cent of the collateral. 'In most cases, buyers who opt to use a credit card do so because they may not have immediate access to liquid funds but want to lock in a unit – particularly during high-demand launches,' Mr Syed says. 'While it can serve as a short-term solution, it's not a widespread or recommended approach due to the high interest rates associated with credit card borrowing.' This practice is more prevalent among end users, especially first-time buyers securing off-plan properties with lower initial commitments, he adds. Property down payments for buyers with mortgages need to be self-sourced and a credit card is not accepted, says Sandeep Tekchandani, co-founder of mortgage advisory company YouAE Mortgages. Typically, credit cards can be used to cover property transfer charges, the DLD fee, trustee fee, mortgage registration fee and developer service charges, he says. 'Developer booking amounts can be paid in the form of credit cards, so long as the merchant banks allow the credit card transaction and the customer's individual card spend is within permissible card limits. Certain bank cards can support this to be converted into an easy payment plan,' Mr Tekchandani adds. Watch: Dubai property investors 'becoming more selective' Issue for Indian buyers Under Indian law, specifically the Foreign Exchange Management Act (Fema), there are clear rules about sending money abroad, says Anurag Chaturvedi, chief executive of financial advisory Andersen UAE. Buying property overseas is considered a capital transaction, but credit cards are only allowed for spending such as travel, shopping or education, not for big investments such as real estate. 'So, when someone uses their international credit card to pay for a house, it can bypass the official route set by the Reserve Bank of India (RBI),' he says. 'The legal way to buy property overseas is through the Liberalised Remittance Scheme (LRS).' Indian residents can send up to $250,000 per year through a bank. This route ensures proper reporting, tax compliance and RBI approval, adds Mr Chaturvedi. The central bank clarified that if an Indian resident investor uses an international credit card (ICC) overseas, it is usually treated like a capital outflow and must comply with LRS rules. 'ICCs are meant for current account use [hotels, travel, etc.], not capital transactions like buying real estate. Since real estate purchase is a capital account transaction, using an ICC bypasses the LRS route and violates Fema,' Mr Chaturvedi adds. 'The investor could face investigations by RBI, the tax department or the Enforcement Directorate. Also, credit cards have high interest rates and forex charges, making them an expensive option,' he warns.
Mid East Info
04-08-2025
- Business
- Mid East Info
Dubai Real Estate Records AED 49.7 Billion in Transactions in July 2025 as Off-Plan Dominates Market Activity
AED 49.7 billion worth of property transactions recorded in July 2025 across 18,191 deals. Off-plan accounted for 74% of total activity, with investor and end-user demand driving project launches. Dubai, UAE – August 2025: Dubai's real estate market recorded AED 49.67 billion in transactions in July 2025, reflecting a 12.09% increase from June and a 24.8% rise year-on-year. A total of 18,191 deals were registered – up 16.5% month-on-month and 21.5% annually – underscoring the market's momentum heading into H2. Off-plan transactions accounted for 74.26% of activity, supported by a broader end-user base, enhanced affordability measures, and rising investor appetite in emerging corridors. 'Transaction volumes are holding steady at a high base, supported by the scale and pace of new project launches,' said Farooq Syed, CEO of Springfield Properties. 'We're seeing particular strength in the off-plan segment where developers are responding to buyer expectations with flexible payment plans, and integrated masterplans designed for long-term community living'. 'What defines today's market is clarity – buyers are better informed, more intentional, and focused on tangible value – from quality of product to delivery timelines,' Syed added. As Dubai's infrastructure expands and masterplanned communities evolve, demand is shifting beyond traditional prime areas toward developments offering long-term value and livability. The current cycle is shaped by informed buyers, diversified capital allocation, and sustained confidence in the emirate's real estate fundamentals — underpinned by consistent transaction growth, flexible financing, and a deepening commitment to quality delivery across segments. About Springfield Properties: Springfield Properties, headquartered in Dubai, is a beacon of innovation and excellence in the real estate industry. With a team of over 140 dedicated realtors, we are committed to reshaping the financial landscape with a forward-thinking, human-centric approach. Our mission revolves around assisting value-driven investors, individuals, and businesses in achieving financial success while upholding the highest standards of integrity and market expertise. We understand that every client is unique, and our goal is to provide tailored solutions that meet their specific needs. As a dynamic force in the real estate industry, we seamlessly blend innovation and expertise to deliver exceptional results. We harness the power of real-time, data-driven insights while maintaining a deep understanding of the ever-evolving financial landscape in the UAE. Springfield Properties earned the trust of our clients through unmatched market insight and a commitment to excellence. Since our establishment in 2008, we have consistently demonstrated our ability to meet and exceed our clients' expectations.
Khaleej Times
03-08-2025
- Business
- Khaleej Times
Dubai: New areas driving strong demand as July property sales near Dh50 billion
Dubai's property market continues to hold strong in July, as demand shifts from traditional to new areas that are offering long-term value for end-users, according to the latest data. Released by Springfield Properties, data showed that the emirate's real estate market recorded Dh49.67 billion in transactions in July 2025, a 12.09 per cent increase from June 2025 and a 24.8 per cent rise year-on-year. A total of 18,191 deals were registered, up 16.5 per cent month-on-month and 21.5 per cent annually, underscoring the market's momentum heading into the second-half. Off-plan transactions accounted for 74.26 per cent of activity, supported by a broader end-user base, enhanced affordability measures, and rising investor appetite in emerging corridors. "Transaction volumes are holding steady at a high base, supported by the scale and pace of new project launches," said Farooq Syed, CEO of Springfield Properties. "We're seeing particular strength in the off-plan segment where developers are responding to buyer expectations with flexible payment plans, and integrated masterplans designed for long-term community living," he said. Syed added that buyers are better informed these days and more focused on tangible value - from quality of product to delivery timelines. According to Springfield Properties, as Dubai's infrastructure expands and masterplanned communities evolve, demand is shifting beyond traditional prime areas toward developments offering long-term value and livability. The current cycle is shaped by informed buyers, diversified capital allocation, and sustained confidence in the emirate's real estate fundamentals — underpinned by consistent transaction growth, flexible financing, and a deepening commitment to quality delivery across segments. July data showed that the average price per square foot for off-plan apartments was Dh2,090, with ready apartments averaging Dh1,495. For villas and townhouses, off-plan prices averaged Dh1,353 per sqft, while secondary market prices averaged Dh1,666 per sqft. Compared to June, price movements across most segments remained within a tight range, with performance tied more closely to product design and location than macro shifts. The secondary market also remained active in July, with ready apartments in established locations seeing demand from first-time buyers taking advantage of new mortgage schemes. Villas continued to register interest selectively, with premium end-user buyers prioritising layout efficiency and long-term value.
Zawya
03-08-2025
- Business
- Zawya
Dubai Real Estate records AED 49.7bln in transactions in July 2025 as off-plan dominates market activity
Off-plan accounted for 74% of total activity, with investor and end-user demand driving project launches. Dubai, UAE – Dubai's real estate market recorded AED 49.67 billion in transactions in July 2025, reflecting a 12.09% increase from June and a 24.8% rise year-on-year. A total of 18,191 deals were registered - up 16.5% month-on-month and 21.5% annually - underscoring the market's momentum heading into H2. Off-plan transactions accounted for 74.26% of activity, supported by a broader end-user base, enhanced affordability measures, and rising investor appetite in emerging corridors. 'Transaction volumes are holding steady at a high base, supported by the scale and pace of new project launches,' said Farooq Syed, CEO of Springfield Properties. 'We're seeing particular strength in the off-plan segment where developers are responding to buyer expectations with flexible payment plans, and integrated masterplans designed for long-term community living'. 'What defines today's market is clarity - buyers are better informed, more intentional, and focused on tangible value - from quality of product to delivery timelines,' Syed added. As Dubai's infrastructure expands and masterplanned communities evolve, demand is shifting beyond traditional prime areas toward developments offering long-term value and livability. The current cycle is shaped by informed buyers, diversified capital allocation, and sustained confidence in the emirate's real estate fundamentals — underpinned by consistent transaction growth, flexible financing, and a deepening commitment to quality delivery across segments. The full Dubai Real Estate Market Report is available HERE About Springfield Properties Springfield Properties, headquartered in Dubai, is a beacon of innovation and excellence in the real estate industry. With a team of over 140 dedicated realtors, we are committed to reshaping the financial landscape with a forward-thinking, human-centric approach. Our mission revolves around assisting value-driven investors, individuals, and businesses in achieving financial success while upholding the highest standards of integrity and market expertise. We understand that every client is unique, and our goal is to provide tailored solutions that meet their specific needs. As a dynamic force in the real estate industry, we seamlessly blend innovation and expertise to deliver exceptional results. We harness the power of real-time, data-driven insights while maintaining a deep understanding of the ever-evolving financial landscape in the UAE. Springfield Properties earned the trust of our clients through unmatched market insight and a commitment to excellence. Since our establishment in 2008, we have consistently demonstrated our ability to meet and exceed our clients' expectations. Facebook: Springfield Properties | Dubai | Facebook Twitter: Springfield Properties | Dubai | Facebook LinkedIn: Springfield Properties | LinkedIn YouTube: Springfield Properties - YouTube
Arabian Business
08-07-2025
- Business
- Arabian Business
Dubai real estate transactions reach $39.4bn in second quarter of 2025
With international buyers from the UK, Europe, and India capitalising on currency arbitrage to secure AED-denominated assets, Dubai's real estate market recorded AED 144.7 billion (US$39.4 billion) in transactions during the second quarter of 2025. This is 26.8 per cent up from the previous quarter and represents a 39.7 per cent jump year-on-year, a quarterly report by Springfield Properties said. Farooq Syed, CEO of Springfield Properties, commented: 'This quarter reflects a decisive shift in buyer strategy. We're seeing strong alignment between investor confidence, infrastructure delivery, and the long-term fundamentals that continue to underpin Dubai's real estate market.' Foreign buyers drive Dubai property surge A total of 48,519 transactions were registered, with demand concentrated in infrastructure-linked zones and well-established master-planned communities. The quarter also saw a notable uptick in foreign capital flows, driven by currency-based affordability and growing trust in the local regulatory framework. Off-plan performance led the market, contributing AED 98.4 billion (US$26.8 billion) in transaction value – up a whopping 82.7 per cent from Q1, and the highest quarterly value on record. A total of 31,699 off-plan units were sold, while the ready market accounted for AED 46.4 billion (US$12.63 billion) across 16,820 transactions. Off-plan launches continue to dominate investor sentiment, with flexible payment plans and early access to infrastructure-led communities driving transaction volumes. Rental income reached AED 9.4 billion, led by villa-centric districts such as Arabian Ranches, DAMAC Hills, and Jumeirah Golf Estates. The report highlighted several forces shaping market behaviour during the quarter. Areas linked to the new Dubai Metro Blue Line are seeing early pricing momentum. It also added that digital platforms, particularly those powered by AI, are accelerating buyer decision-making across financing and location filtering.
