Understanding the logic of offshore trusts

Dubai Real Estate -Understanding the logic of offshore trusts


Highly effective for the purposes of estate planning tax mitigation and asset protection.

When it comes to life in general,legalities are usually the last thing on people's minds,even as most property-related predicaments involve the lack of legal foresight in relation to major life changes such as personal calamities

As anything and everything can change at the stroke of a second, there are some questions you might want to answer to check whether you need serious legal advice: Are you a resident in the UAE? Are you a partner or a shareholder in a business in a free zone or of an LLC? Do you own freehold property either solely or jointly? Do you have children? If your answer is YES to either one or all of the above, you should consider establishing a trust to protect your assets and secure your assets and secure your family's future.

A trust,properly structured and utilized, is highly effective for estate planning,tax mitigation and asset protection. Trusts are instrumental in avoiding probate,an important consideration in the Middle East,where local fixed heir ship laws can prevail. They are especially helpful in asset preservation and protection in case of political,family or business uncertainty (e.g. Unexpected divorce,bankruptcy,litigation); succession planning;consolidation and preservation  of family wealth across generations; business continuity;overcoming cost, and delay of obtaining probate;bypassing local laws with your own succession blue print; professional management of assets for the benefit of beneficiaries; a high degree of privacy and confidentiality,avoiding public disclosure of asset ownership.

To secure yourself and your property, there are few legal consultancies available which specialize in international wills,trusts and taxes that are experienced and fully qualified to advise and assist clients regarding all aspects of trust formation,management and administration . Your consultant should be able to create a bespoke solution that secures and preserves your assets in a way which is uniquely suited to your personal and business requirements, and that you will be entirely at ease with.

Dubai Real Estate Tips

Trusts are instrumental in avoiding probate especially in the Middle East

Legal foresight is essential in protecting your property and all your assets

Your consultant should create a bespoke solution suited to your situation.


UAE’s New Mortgage Rule Will Deter Property Investors




Home Insurance-Always be prepared for the unexpected.


Getting home insurance ensures you are protected from unforeseen threats

Your home is your biggest investment. It houses people and things that are most important to you. Most of us know all about how our homes work but are clueless about how our home insurance works. You can legally own a home without having insurance but that would be rather unwise, leaving your loved ones as well as your belongings open to the threat of disaster.

Home insurance generally covers three things: structure, belongings and liability. Structure refers to the building) roof, walls, stairs, and others).home insurance typically covers fire, water from busted pipes, damage due to hailstorm, and others. Most insurance policies do not cover earthquakes and floods, and you have to buy a separate insurance for that.

Belongings refer to all things in your house, so insurance covers you from theft as well. It is useful to have a home inventory so that you know exactly what you have and how much they are worth. When it comes to belongings, you are insured up to a certain limit only. You may need a separate insurance for high-value items such as gold and jewelry.

Liability refers to accidents happening to others in your home premises. High-risk areas for such caese are the pool, trampoline, or even the stairs. Your home insurance protects you against law suits as well as takes care of the medical expenses of others. Most insurance policies also cover living expenses wherein in cases of an accident such as a fire or flooding from broken pipelines, you may have to stay in a hotel.

Once you are clear about your needs and budget, work with an independent agent who can present suitable options. You can get a professional assessor to help you assess your risks, valuate your property, and suggest a suitable coverage. Ensure your coverage is large enough as building and labor costs are continually on the rise. If you make any additions, inform your insurance agent to increase the coverage. This may not increase your premium hugely, but will definitely buy you peace of mind. When buying the insurance, specifically ask for what it does not cover

Remember, life is all about being prepared for the unexpected.

Home Insurance

Home insurance, in general, covers the structure, belongings, and liability

Most insurance policies do not cover damage caused but natural disasters

Ensure your insurance cover is large enough as building/labor costs are rising

 

  UAE’s New Mortgage Rule Will Deter Property Investors – Experts

The UAE central bank recently issued a ruling to limit home loans to foreigners at 50 per cent of the property’s value.


The UAE central bank recently issued a circular instructing commercial banks in the country to restrict mortgage loans to foreigners at 50 per cent of the property’s value, Reuters reported earlier this week.

While the central bank has not yet confirmed the ruling, the report said that the move was probably aimed at ensuring that the UAE real estate does not develop another property bubble as it did in 2008/2009.

But experts say the new rule could have a negative impact on the property market.
“I would presume that central bank has taken this initiative in order to pre-empt another surge in the bank’s non-performing levels, which in some cases peaked at 20 per cent of bank’s overall loan books and also to weed out speculators from the market,” said Jonathan Fothergill, director of valuations at Cluttons.

“In this respect, I think the general rationale of this instrument is a good and positive step helping to lead to a more sustainable market.

“However, I think it is also inevitable that the initiative will likely impact negatively on the market for end users just as this is finding its feet once more. Not many expatriates in the country can claim to be in a ready position to put down 50 per cent of a Dhs2.5 million property,” he said.
Dubai’s property market, which was the worst hit in the UAE during the financial crisis in 2008/2009, began to finally stabilise in 2012.

Average rents for one, two and three bedroom apartments in Dubai fell 54 per cent between Q4 2008 and Q4 2011, but are now rebounding amidst renewed confidence in the Dubai market, CBRE said in a report published in December 2012.

Lease rates have risen by an average of 17 per cent over the past year , with some established locations witnessing even higher growth, the report said.
Matthew Green, head of research & consultancy UAE, CBRE Middle East said: “Dubai is seeing higher rental growth this year due to a sustained period of population growth, positive economic performance, increased occupier demand, and limited availability of quality units in the most desirable locations.

“Over the last 12 months we have also witnessed an appreciation of sale rates, which have averaged 13 per cent in these areas. Sale rates in the Greens and Downtown Dubai developments have appreciated at notably higher rates, reflecting over 20 per cent year-on-year.”
The new central bank rule will negatively impact this recovery, said Clutton’s Fothergill.
“I think that the cap will certainly weed out speculators and flippers but at the same time will also deter genuine end users,” he said.

However he added that the there might be more modifications to the new ruling in the near future.
“The sudden and immediate arrival of this new central bank rule has caught many involved in the real estate sector by surprise, but I would be surprised if this is the final word on the matter and await to see how this issue plays out over the coming weeks,” he said.

source gulfbusiness

Buyers can now avail of low mortgage rates



 

Buyers can now avail of low mortgage rates- Dubai Real Estate.


The option of buying seems compelling when pitched against the certainty of losing money by renting.

As the post-recession dust settled, the local property scene was classed as a”buyers market’’. It still holds true today, with an increasing number of residents looking to snap up lucrative deal. Many are old-timers in the emirates who are all too familiar with the way rents eat into their pay packages.In such a scenario, the prospect of buying a home makes complete sense.


Property for single people looking to set up a home.-Dubai Real Estate





Property for single people looking to set up a home.

Here's your quick guide to various pricing and location options in the city

So here you are- single,employed as a professional,ready to begin life in the exciting city of Dubai. You've been scouting the real estate classifieds and websites,short listing areas and calling up agents. You have a rough budget in mind, but don't have a solid idea of what the rentals can be. Worry not, and read on.

As a single professional, you must prepare yourself for your single largest recurring expense every month - housing. An expatriate hub like Dubai(with over 180 nationalities at last count) is bound to come with expensive leasing costs for residential space.