Crypto Cash out to Dubai Rental Income (Pro and cons)

[troubled soul]

I starting New thread for Crypto -> Dubai Property -> Rental Income -> Any tradtional bank account.

You can buy property in Dubai with crypto without any problem most of the Developer and Broker accept bitcoin. And Earn Rental income in your bank account.
Why people do not use this path to Cashout crypto?
You can cash out any amount of the crypto without any problem.
You can also sell the property after some time.

Why people are not using this path?
You can also get a Tax free residential Visa for Property purchase. You do not require to set up a company or make some workaround.

Why people are not using this method? I am seeing only upside no downside for this setup.
What am I missing?
What are the drawback, disadvantages, or cons of this setup?

Please give your comments.

Thanks

 

[John Spectre]

As a cons, i could suggest next things:
- Dubai property are overpriced
- Not everyone want to have property in Dubai(because he live if totally different place)
- Buy property and sell property at least time consume process
- Residential visa don't help for tax free life just after purchase property. Person should stop to be tax resident of his native country first
- Its a still not direct process of cashout, but just one of many schemes for cashout. I.e. when broker sell crypto from your name, you could be tax obliged for this process.
- rental income (minus list of charges) are times less than amount of cashout required for people. I.e if you buy property for 1mil$ and then start to earn for couple of thousands $ in months (if good way), it would took years for get cash amount similar to the invested one. Think if the people originally want to invest these crypto money in something different at first place, but dont want years for something.


So, generally, Dubai good place if you going to relocate there and live there. So could examine all pros of this scheme. In another way, its a just one of many ways. Not worst, not best.

 

[CaptK]

It's having your funds locked in a property when maybe you only wanted 25% of it in property.

By the time you add land tax and fees you are due to pay about 7% all in government fees.

 

[carz]

Does anyone have experience of doing this? What documents would banks in the UAE and those outside in “stricter” countries (like EU) ask for both when receiving rental income and eventually selling the property?

 

[Dreamy]

In theory, this way you can buy not only in Dubai, but also in any other country.

 

[troubled soul]

In theory, this way you can buy not only in Dubai, but also in any other country.

Thanks for your input
Can you provide some names?

 

[Kol019201]

In theory, this way you can buy not only in Dubai, but also in any other country.

Yeah but the advantage in Dubai is nobody would care.
Of course you can buy many apartments in europe as well with crypto, but they would find out and then want to know how you made the gains + tax it. Because your cryptogains are also a taxable event if you buy something with it.

 

[Dreamy]

Yeah but the advantage in Dubai is nobody would care.
Of course you can buy many apartments in europe as well with crypto, but they would find out and then want to know how you made the gains + tax it. Because your cryptogains are also a taxable event if you buy something with it.

If you are euro resident. If you not euro resident about what tex we are talking about?

 

[Dreamy]

Thanks for your input
Can you provide some names?

I don’t want to advertise anyone because I didn’t use the services. But you can google something like "buy apartment in *country* bitcoin" and you will see.

 

[John Spectre]

I don’t want to advertise anyone because I didn’t use the services. But you can google something like "buy apartment in *country* bitcoin" and you will see.

And don't forget to tell that 90% of them is pure scam.
Or if not, they could simple offer you price of 1mil $ for property which have actual market cost in something about 200k$.

Purchase real estate directly with crypto are more harder than with cash.

And even with cash is not so easy to buy property nowadays in the world.
Crypto just add additional level of complexity and risks.

 

[troubled soul]

Even When I thought about it,
There will be risk also, Someone knows that you Have huge Crypto holding. They will kidnap you or worse things can happen to you.
Better to Convert your Crypto to Fiat and Buy property. Most crooks are in the real estate industry in every country. You have to very careful with that.

Thanks