8 months ago
Buying Property In Oman
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From Iran to Oman with Samaland
Buying property in Oman; the safest way to invest
Buying property in Oman has become very attractive for Iranians as one of the safest ways to invest and obtain residency in the country. Oman has become a popular destination for foreign investors with its strategic location, economic stability, and modern infrastructure. To make a smart decision, Samaland will introduce you to all the conditions for buying property in Oman, the associated costs, and the best shopping areas.
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Why is Buying a House in Oman Ideal?
Buying property in Oman is an attractive option for Iranians who want to invest in a country with a stable economy and modern infrastructure and through it receive permanent residency in the country. This country has become an ideal destination due to its simple rules for buying property by foreigners and its strategic location. Areas such as Muscat wave and Muscat Hills are suitable for foreign investors. Stay with Sama land throughout the entire process of buying property, from selecting a property to receiving the title deed.
Convenient geographical location
Economic stability
High monetary power
Methods of buying property in Oman
Buying property in Oman for foreigners, including Iranians, has specific conditions and restrictions that it is essential to be aware of before purchasing a home in Oman. Buying property in Oman 2024 can be done in two ways: buying ready-made homes and buying pre-purchased homes (buying a home under construction in Oman). Each of these methods has its own specific conditions and requirements, which we will discuss below.
Pre-owned homes
Pre-owned homes (or pre-sales) mean that you are buying a property from the developer that is not yet completed. Buying a property under construction in Oman is on installment terms and the title deed is not issued until the house is completed. Also, the builder must have an escrow account so that your payment is held in this account.
Benefits of buying pre-owned homes:- Interest-free installment payments: The ability to pay the property amount in installments during the construction period (usually 3 to 4 years) without interest;
- Choice of the desired unit: Freedom to choose the location, floor, unit plan and other features;
- High added value: As the project progresses, the value of the property increases (usually 10 percent per year);
- Government guarantee: Pre-owned projects are guaranteed by the government, which increases the security of investment;
- Builder Credit Check: Ensure that the builder is reputable and the project is under government supervision;
- Escrow Account: The existence of an escrow account ensures that the buyer’s payments are held in a secure account and are used only for the progress of the project;
- No need to pay commission: When buying directly from the builder, the buyer does not need to pay a commission to the broker or builder.
Buying Ready-Made Homes
In buying ready-made homes, you are buying the property directly from the current owner. The first step is to inspect the property to ensure its condition. Then, the title deed must be requested from the Ministry of Housing to ensure that the property is free from problems. These steps are usually carried out by a real estate agent or broker, who in turn receives a commission from both parties.
Benefits of buying ready-made houses:- Immediate delivery: Possibility of living in or renting out the property immediately after purchase;
- No rent payment: If you plan to live in, you no longer need to pay rent;
- Receive immediate title deed: The title deed is issued immediately in the name of the buyer.
- Full cash payment: The entire property amount must be paid in cash
- Commission to the broker: The buyer usually has to pay a commission to the real estate agent or broker;
- Lower value added: You should not expect a large increase in the price in the short term; because the Omani economy is stable and the value of the property increases gradually;
- Property inspection: The buyer must inspect the property and ensure its condition.
Key Tips for Buying and Selling Property in Oman
Escrow Account: To ensure financial security, the property purchase amount must be held in an escrow account until all the terms of the transaction are met.
Work with a local lawyer: Working with a specialist lawyer in Oman can help you navigate the legal process and ensure a successful transaction.
Use reputable real estate agents: Reputable real estate agents can help you choose the best area and property and prevent potential scams.
What is the minimum capital to buy property in Oman?
To buy a ready-made house, you can buy a house of approximately sixty meters with a minimum of ten billion.
Otherwise, if you want to buy in advance, you can invest in Oman with a down payment of two or three billion and the rest in installments. Bank interest here is four to five percent. You can also buy an office with ten billion.
Ancillary costs and conditions for buying property in Oman
Buying property in Oman for Iranians and other foreigners has special rules that, with proper and professional advice, you can familiarize yourself with Conditions for buying property in Oman for foreigners and go through the steps of buying property in Oman correctly. Some of these steps include the following:
Check the legal status of the property
Before purchasing a property, it is necessary to check the ownership status of the property and any legal issues or obstacles.
Purchase Agreement (Akad al-Shei): The purchase agreement must be drawn up between the buyer and the seller and certified by a notary. This agreement includes all the terms and conditions of the sale.
Research and selection of property
The first step to buying property is to carefully research the real estate market and select the right property. Working with local real estate agents can help you with this.
Pay additional costs and taxes
The costs associated with purchasing a property include stamp duty (3% of the property value), application fee (US$20), and registration fee (3%). Also, other taxes may apply depending on the type of property.
Register the property and receive the title deed
After signing the contract, the property must be registered with the Ministry of Housing and receive the title deed.
What is the minimum purchase amount for a property to obtain Oman residency?
By purchasing at least thirty-five thousand Omani Rials in IPC estates, you can obtain Oman residency. For more information, please contact Ms. Samaneh Boroujerdi, the manager of Samaland Real Estate Agency, for a free consultation.
Types of Ownership in Oman
Foreigners can buy property in Oman in two ways
Full ownership in Integrated Tourism Complexes (ITC)
Foreigners can buy property in these complexes with full ownership rights. This ownership is inheritable and the buyer’s immediate family can also enjoy residency benefits.
Leasehold
In this type of ownership, foreigners can receive the rights to use the property for a period of 99 years. This type of ownership is mostly for properties located in and around Muscat and allows foreigners to use the property for a specified period and transfer or sell it to their heirs.
Best Areas to Buy Property in Oman
Oman has various areas that are suitable for foreigners to buy property. These areas are known as the best investment destinations due to their modern infrastructure, amenities, and tourist attractions. Many people ask Can you buy a house in the center of Oman (areas like Bushehr, Ghubrah, Athbiya)?
The answer to this question is that these areas do not sell to foreigners. You should buy in towns like Al Mouj, Aida, Muscat Hills, Upton Project, or even Sustainable City. Of course, there is also an area in Shati Al Qurm that is available for Iranians to buy.
Al Mouj Muscat: One of the most popular areas in Muscat to buy property, Al Mouj Muscat offers luxurious and modern amenities such as luxury restaurants, water sports, and sports clubs. This area has become one of the best destinations for living and investing due to its many amenities and coastal location. Property prices in this area start from OMR 85,000 for one-bedroom units.
Muscat Bay: This area is located around the Saria Jisha Port and the Gulf of Muscat and has recently opened. Muscat Bay has hotels, residential complexes, and private estates that are very suitable for investment. Property prices in this area start from OMR 80,000 for one-bedroom units.
- Muscat Hills: Muscat Hills is another prominent area of Muscat that has amenities such as a shopping mall, restaurants, a club, and a golf course. One-bedroom units in this area start from OMR 65,000. This area is considered a suitable destination for investment due to its peaceful atmosphere and diverse facilities.
- Salalah: Salalah, with its tropical climate and stunning natural scenery, is another popular area to buy property. This area is a suitable destination for investors interested in tourism and nature due to its natural and coastal attractions.
- Shangri-La and Salalah Beach Resort: These areas are also known as Integrated Tourism Complexes (ITC) and provide the opportunity for foreigners to purchase property with full ownership. These areas have luxurious facilities and beautiful views and are known as an ideal destination for investment and living in Oman.
Advantages of Buying Property in Oman
Advantages of Buying Property in Oman for Iranians are:
- By buying property in Oman, you receive permanent residency for yourself and your family members. You can even buy property jointly, in which case the document will be issued separately and in three dangs.
- Oman residency by buying property is one of the main advantages of buying property in the Sultanate of Oman.
- Modern infrastructure: Special areas such as Al Mouj Muscat and Muscat Hills have modern infrastructure and luxurious amenities that provide a comfortable life for residents.
- Safe investment: Oman is considered a safe destination for real estate investment with its economic stability and strategic location.
- Full ownership in ITCs: Foreign nationals can purchase property with full ownership in Integrated Tourism Complexes (ITCs), which is also inheritable.
Disadvantages of buying property in Oman
Disadvantages of buying property in Oman for Iranians These include:
- Property restrictions: Foreign nationals cannot purchase property in certain areas of Oman, such as Musandam and areas near military installations.
- Law changes: Changes in property laws and taxes can affect the terms of ownership and the costs associated with purchasing property.
Is the construction of tall and huge buildings not part of Oman’s development plan?
Oman, due to its large land area, is growing in width, unlike Dubai, and therefore has no desire or plan to build towers.
Legal restrictions on buying property in Oman
In Oman, the laws on buying property for foreigners are limited to ITC projects. In these projects, foreigners can acquire 100% ownership of the property; however, in projects outside the ITC, definitive ownership is not possible for foreigners and they need to cooperate with an Omani guarantor.
Methods for cooperating with an Omani guarantor:
- Official undertaking of the guarantor: The Omani guarantor gives the necessary obligations to the foreign investor in court, so that in official documents, the ownership of the land is in the name of the guarantor; But the practical control and authority lies with the foreign investor;
- Partnership with a sponsor: An agreement to partner and share profits with an Omani sponsor;
- Leasehold ownership: In some cases, foreigners can own leasehold; but this type of ownership has limitations and requires cooperation with an Omani sponsor.
ITC projects are large, modern complexes designed to attract foreign investment. These projects include a variety of amenities such as hospitals, hotels, shopping malls, clubhouses, and green spaces. ITC towns are not only very suitable for living, but also provide good opportunities for capital return through property rental due to their attractiveness to foreign tenants.
Features of ITC projects include the following:
- Freehold ownership for foreigners: Possibility of 100% and definite ownership with an official document;
- Complete welfare facilities: hospitals, schools, shopping centers, green spaces, parks, clubhouses, and recreational facilities;
- Government guarantee: Projects are supervised and supported by the Government of Oman and heavy guarantees are given by the government;
- High investment value: Due to high demand and modern facilities, the value of properties in these projects has grown significantly;
- Popularity for foreign tenants: It is a great opportunity to earn income through rental property; as foreigners prefer to live in these towns.
Examples of ITC projects in Muscat include:
- Al-Mouj Town: One of the most famous and largest ITC projects with full amenities;
- Aida Project: A luxury project in collaboration with the Trump Organization with unparalleled amenities;
- Uptown Project: A suitable option for those looking for more affordable properties.
Experience the safest way to invest with Samaland
At Samaland, we help you turn your dream of a new home into a reality by providing professional advice.