Short answer: yes. Indian citizens, whether they live in India, the UAE or elsewhere, can own freehold property in Dubai’s designated freehold areas. Indian residents send the money under the RBI’s Liberalised Remittance Scheme (LRS), and Indian tax rules apply to rent and gains.
Checked against RBI guidance on 18 Oct 2026. Reviewed by the Vidabricks advisory team. This is general information, not tax advice: confirm your own position with a chartered accountant.
Which rules apply to you
| You are… | How you pay | Indian rules that apply |
|---|---|---|
| Resident in India | Bank remittance under LRS | Up to USD 250,000 per person per financial year; TCS on remittances above ₹10 lakh a year, credited against your tax |
| NRI living in the UAE | From UAE salary or savings, or a UAE mortgage | LRS does not apply to money earned abroad; Indian tax depends on your residential status |
| NRI elsewhere | From overseas funds | As above |
Step by step for an Indian resident
- Shortlist projects with an advisor; viewings can be done by video.
- Pay the booking amount by bank transfer under LRS, declaring the purpose as purchase of property abroad. Your bank collects any TCS.
- Sign the sale and purchase agreement digitally. The developer registers it with the Dubai Land Department (Oqood).
- Pay each instalment directly into the project’s escrow account, keeping within your yearly LRS limit.
- Declare the property in Schedule FA of your Indian income tax return.
Worked example: AED 1,080,000 off-plan, 30/70 plan
- Before handover: 30% of the price (AED 324,000) plus the 4% DLD fee (AED 43,200) = about AED 367,200.
- At handover: 70% = AED 756,000, which many buyers fund with savings or a UAE mortgage.
- Two resident family members buying jointly can each use their own LRS limit.
See the full list of Dubai buying costs for the other fees.
Tax points to confirm with a chartered accountant
- Rental income from Dubai is taxable in India if you are an Indian tax resident; the UAE does not tax it.
- TCS collected on your remittance is a credit against your Indian tax, not an extra cost.
- A gain on sale is taxable in India for residents; check how the India–UAE tax treaty applies to you.
Why Indian buyers use Vidabricks
- Advisors who speak Hindi, Malayalam and Tamil.
- In October 2026 we held property roadshows in Bangalore, Coimbatore and Chennai.
- Vidabricks Real Estate LLC is a RERA-registered Dubai brokerage (ORN 24316). Verify our licence.
Frequently asked questions
Can Indian citizens buy property in Dubai?
Yes. Indian citizens can own freehold property in Dubai's designated freehold areas, whether they live in India, the UAE or elsewhere. There is no need to be a UAE resident.
How much money can an Indian resident send abroad to buy property?
Under the RBI's Liberalised Remittance Scheme, a resident individual can remit up to USD 250,000 per financial year, and buying property abroad is a permitted purpose. Remittances can be combined with resident relatives for a jointly owned property, within the scheme's conditions.
Is TCS charged when I send money to Dubai for property?
Yes, for Indian residents. Banks collect TCS on LRS remittances above ₹10 lakh in a financial year; the rate depends on the purpose under the current Finance Act. TCS is credited against your Indian income tax.
Do I pay tax in Dubai on rent or when I sell?
The UAE does not charge personal income tax, so there is no UAE tax on rent or on a sale gain. If you are tax resident in India, the income is taxable in India and the property must be shown in Schedule FA of your return.
Do I need to travel to Dubai to buy?
No. Viewings can be done by video, contracts can be signed digitally, and Oqood registration is handled by the developer with the Dubai Land Department.
