Updated October 2026.
For buyers whose property is concentrated in Dubai, London offers exposure to a different market with a different legal system, tax regime, currency and buyer pool. That difference is the reason many consider it — and the reason to plan carefully.
How the two markets differ
Dubai has a large pipeline of new supply, off-plan-heavy transactions and no UK-style income or capital gains tax for residents. London has slower supply growth in many prime areas, a long-established resale market, and a tax regime that applies to non-resident owners. Gross yields quoted for Dubai are often higher than London's; net returns depend on service charges, vacancy and costs in both.
Practicalities for Dubai-based buyers
- The purchase can usually be completed remotely through a UK solicitor, with identity and source-of-funds checks done electronically.
- Plan for SDLT surcharges, UK tax on rent and gains, and UK inheritance tax exposure.
- Decide early whether to buy personally, jointly or through a structure — with UK tax advice.
- Appoint a managing agent if you intend to let.
Stamp Duty Land Tax (SDLT) for residential purchases in England is charged in bands: 0% up to £125,000, 2% to £250,000, 5% to £925,000, 10% to £1.5 million and 12% above (rates in force from 1 April 2025). Buyers who already own residential property anywhere in the world usually pay a 5% higher-rates surcharge on top, and non-UK residents pay a further 2% surcharge. As an illustration, a non-resident who already owns property elsewhere would pay roughly £80,000 on a £750,000 purchase. Your solicitor confirms the exact figure — and rates can change at any Budget.
How CM2 helps
CM2 assesses London opportunities against your mandate and, where useful, compares them with Dubai or Abu Dhabi options it can access. Request a private consultation.
CM2 operates on the buyer side while receiving compensation from participating developer partners, including Aldar Properties and London Square. Buyers are not charged a fee by CM2. This article is general information, not legal, tax or financial advice. Figures may be indicative, availability can change and projected yields are not guaranteed.