South Africans buying up property in one of the most peaceful countries in the Middle East

·2 Aug 2025

High-net-worth South Africans are increasingly buying real estate in the United Arab Emirates (UAE), which was ranked one of the most peaceful countries in the Middle East in 2025.

Property experts have noted that these wealthy South Africans are drawn by its stability and lifestyle appeal.

With South Africa grappling with economic instability, high crime levels, and concerns about the future, the city of Dubai has become a notable option for investment, retirement, or relocation.

“South Africans are turning to offshore property not only to diversify their assets but also as a hedge against currency volatility,” said Nombasa Mawela, licensee for Seeff Dubai.

“Dubai offers an appealing combination of factors, which include strong capital appreciation, solid rental yields, and attractive payment plans,” she said

“This is especially important in a global climate where people are looking for financial stability and return on investment.”

According to the Global Peace Index released by the Institute for Economics and Peace, in 2025, the UAE was ranked one of the most peaceful countries in the Middle East.

The index, which tracks peace trends across 163 nations using indicators such as crime, political instability, and militarisation, placed the UAE 52nd globally with a score of 1.812.

This put the country ahead of several developed nations, including France and the United States. In contrast, South Africa ranked 124th, falling behind countries such as Rwanda, Zimbabwe, and Kazakhstan.

This is unsurprising given that five South African cities continue to appear among the world’s most dangerous cities, based on murder rates.

Cities such as Cape Town, Durban, Gqeberha, Johannesburg, and, more recently, Buffalo City have consistently featured among the top 50 most violent cities worldwide.

“Given these circumstances, we’re seeing a clear pattern of high-net-worth individuals seeking safer, more predictable environments,” Mawela explained.

“Dubai’s property market is booming, with transaction volumes up by 22.5%, value up 40.1%, and property prices rising by 15.6%. Add to this an average rental yield of around 6.3%, and you can see why investors are interested.”

What South Africans are paying

Investors typically target properties priced between AED 1 and 3 million (roughly R4 million to R12 million), with apartments and townhouses being the most popular.

Rental yields in Dubai can reach between 5% and 8%, outpacing many other popular offshore destinations such as Mauritius, where returns tend to hover between 3% and 7%.

For those aiming for long-term residency, Dubai also offers a Golden Visa with a 10-year renewable residency in exchange for a minimum property investment of AED 2 million (around R9.8 million).

The added bonus, Mawela said, is that South Africans do not need to physically relocate to benefit.

“You don’t have to move to Dubai or even get residency. Many invest simply to grow wealth in a tax-friendly and stable dollar-based environment,” she said.

“There’s no personal income tax, capital gains tax, or property taxes. That’s very attractive to South African investors.”

South Africans are also making use of the annual offshore allowance, which includes R1 million discretionary allowance and R10 million foreign capital allowance. “

Mawela explained that many buyers are taking full advantage of this, and most developments offer staged payment plans, with the added convenience of rental management services bundled into the deals.”

Dubai’s strong and growing expat population, around 85% of the city’s residents are foreign nationals, also contributes to the city’s rental market and international lifestyle appeal.

Andrew Golding, chief executive of Pam Golding Property Group, echoed these sentiments, noting that global instability over the past few years has pushed investors toward more stable, growth-oriented markets.

“Dubai has emerged as a global hub for real estate investment. Its combination of high returns, political and economic stability, modern infrastructure, and lifestyle benefits is unparalleled,” said Golding.

He pointed out that Dubai is now considered one of the top five luxury residential markets in the world. He noted that there’s confidence in the city’s business sector and economy.

“This, combined with strong demand for luxury homes and tax advantages, makes it one of the most attractive global destinations for residential property investment,” he added.