Having a dream of having a house in Dubai?
So if you have been stranded due to high down payments then the following news is for you!
Owning a home has become easier in the emirate thanks to developers who have come up with the one percent down payment plan.
But what is actually this payment scheme and why should you start using it now?
Okay let us make it easier for you.
What is a 1% Payment Plan?
A 1% payment plan is one of the most popular payment structures provided by the majority of Dubai developers.
Currently, buyers can purchase their dream homes by paying as little as 10% to 20% of the property’s value as down payment and pay the remaining amount within a monthly installments of 1% until handover.
This low entry cost is an advantage in property investment since it extends the range when it comes to buyers in cheap markets.
How Does the 1% Payment Plan Work?
- Down Payment: 1% of the property price is paid in installments after paying 10% to 20% of the down payment.
- Monthly Installments: Buyers pay 1% each month over the construction period.
- Handover: The rest is usually paid at the time of handover or post handover.
This payment model allows buyers to spread the cost over time, reducing the financial strain of a large upfront payment.
Benefits of a 1% Payment Plan
- Low Initial Investment: The biggest advantage to this model is that there is normally a small initial outlay which gives one a way into real estate.
- Increased Accessibility: Like all other plans it can be conducive for both first time buyers as well as investors without necessarily having a large amount of capital to invest.
- Flexible Payment: The strongest evidence to support the proposed organizational structure of collecting revenues is the fact that only 1% is expected each month; it provides better control over expenditures.
- No Immediate Need for Mortgage: Due this, you may not require a mortgage until after the handover since payments are done in installments.
Top Properties with 1% Payment Plan
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Danube Properties
- Projects: Danube Oasiz
- Payment Terms: This includes 10% down payment, 54% during construction (1% monthly), 1% at the time of handover and 35% post handover (1% monthly).
- Highlights: Exclusive houses which are relatively at a reasonable price and provide exquisite services.
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Damac Properties
- Projects: Damac Lagoons, Damac Hills
- Payment Terms: There are 1% payment schemes, predominantly in cases with off-plan property developments.
- Highlights: Famous for premium residential building projects offering luxurious and leisure-like amenities.
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Azizi Properties
- Projects: Riviera, Creek Views
- Payment Terms: Mortgage payments in the amount of one percent of the contract price per month, credited for the period of construction.
- Highlights: Established for its choice settings and advanced facilities.
Conclusion
Dubai’s 1% payment plan schemes make it possible for people of different social status and financial stands to own a property in one of the most exciting cities on the planet.
Many real estate developers like Danube, Damac and Azizi are embracing these schemes due to which investing in real estate in Dubai is now much smoother.
If you are a first time buyer or investor, this payment structure provides an easy opportunity of acquiring your preferred property in Dubai.