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Real Estate Lawyer in Bahrain

Real Estate Lawyer in Bahrain

The Middle East is a completely new world for citizens and investors in Western countries who come here for various purposes.

Bahrain is one of the most open Middle Eastern states in terms of welcoming foreign investors who move here for starting a business or buying properties. However, there are specific regulations that need to be respected when purchasing real estate here. For this purpose, a real estate lawyer in Bahrain will be very helpful.

Below, we invite you to discover the provisions of the Real Estate Act and how our lawyers in Bahrain can help you buy a property in this country.

Real estate regulations in Bahrain

Foreign investors and citizens who move to Bahrain to set up companies or who have employment contracts with local companies are allowed to purchase properties in respect to the provisions of the Real Estate Law. For this purpose, however, they must first obtain residence permits here. Then, they will be allowed to buy freehold properties only.

The regions in which such real estate is available are:

  • – Ahmed Al-Fateh,
  • – Hoora,
  • – Bu Ghazal,
  • – Seef,
  • – Northern Manama,
  • – Durrat Al-Bahrain,
  • – Amwaj Islands,
  • – Dannat Hawar.

Our real estate lawyer in Bahrain can offer more information on the legislation related to buying properties as foreigners here.

Also, if you are interested in company formation in Bahrain, our specialists are at your service in order to start your own business.

Services provided by our real estate lawyers in Bahrain

Our specialists in Bahrain will offer the following services related to real estate operations and procedures:

  1. guidance on understanding the legislation related to buying a property as a foreigner in Bahrain,
  2. real estate due diligence services for those who want to assess the properties they will purchase,
  3. legal representation for real estate residential or commercial transactions,
  4. legal assistance in real estate disputes, in case of necessity,
  5. assistance in renting a property, as this is usually the first step when moving to Bahrain.

We can also help you apply for a residence permit no matter the country you come from.

Foreign investors who want to open companies in Bahrain can obtain our support for the entire procedure.

Buying a property in Bahrain

Foreign citizens can purchase freehold properties in Bahrain in the areas presented above. They can use them for living here, but they can also rent them. When it comes to commercial properties special requirements apply and these can be explained by our real estate lawyer in Bahrain.

The procedure of buying a property in Bahrain will imply similar steps as in Western countries, namely:

  • – once a property has been found, real estate due diligence is advised,
  • – if the property meets the buyer’s expectations, a reservation agreement can be signed,
  • – an advance payment is advisable followed by signing the sale-purchase contract will be the next step,
  • – once the transaction is finalized, the title deed will be handed to the new owner.

It should be noted that it is the new owner’s duty to register the new property with the Bahrain Land Register. Also, the sale-purchase agreement must be notarized prior to receiving the property title. These procedures can be explained by our real estate lawyers in Bahrain.

Freehold properties in Bahrain

As mentioned earlier, only freehold properties are available for sale in Bahrain. These are real estate free from any encumbrances that can be purchased with the land they are built on. Also, once bought, the new owner will become responsible for the maintenance and all other costs associated with the property.

An important aspect to consider is that the most important benefit of buying a freehold property in Bahrain will enable the foreign citizen to be his own sponsor here and obtain a 5-year residence permit. Also, he or she will be able to sponsor his/her children and spouse for their residencies.

For specific situations applicable in this country, we kindly invite you to discuss with our real estate lawyer in Bahrain who can advise on this matter.

Costs to consider when buying real estate in Bahrain

The costs associated with buying a property in Bahrain are not high, however, an important aspect to consider when it comes to self-sponsorship for obtaining residency is that the minimum value of the real estate cannot be lower than 50,000 BHD.

Apart from this:

  • – the registration fee of the property is 2% of the value of the property,
  • – also, when using a real estate agency, a fee of 1% to 5% must also be considered,
  • – a 10% discount is available when the property is registered with the Land Registry within 60 days from the purchase.

For guidance in buying a property in Bahrain, please contact our real estate lawyers.