The content of the article:
“The East is tricky” — is a catch phrase often applied to many countries in the Middle East. The Sultanate of Oman is no exception. A little over 50 years ago, the country was one of the laggards in the Middle East: several dozen schools, sandy roads, lack of medical centers, weak economy — all this indicated that living here is not easy. In the 70s of the last century, the country began to change its appearance before our eyes. Sultan Qaboos, despite the fact that, in fact, he overthrew his father, became a national favorite for his contribution to the development of the country. With his arrival, the state rapidly reached a new level and became one of the richest countries in the Middle East. After his death (in 2020), the country was headed by Haysam bin Tariq Al Said, who, based on the experience of his neighbor, the UAE, began to attract tourists and investors to the country.
Today Oman is a country of great opportunities:
The state has been based on oil exports for a long time, but its reserves are not eternal, so the authorities are developing gas production, metallurgy and tourism. According to our experts, the hotel business has been gaining momentum over the past couple of years. There are more and more foreigners who want to visit the coast of the Gulf of Oman. The advantage is also the support from the government, which provides preferential conditions for investors. The country has large shopping malls, international schools, water parks, etc. The Sultanate is also famous for its high-speed Internet, which attracts freelancers to the country. Unlike the Emirates, in summer the temperature in Oman is 5-6 degrees lower. And in some resort towns, such as Salala, even in summer the temperature does not rise above 35. This contributes to the fact that Oman can be called an all-season resort.
Oman is a Muslim country and at the same time a secular state. While preserving their traditions, residents do not abandon progressive achievements in science, medicine, and education. The citizens of the country treat all visitors favorably, which contributes to the opening of hotels in different directions: for family holidays, for surfing and diving enthusiasts, for those who study history and love excursions. The only thing is that there are not many entertainment facilities in the country, the Omanis themselves lead a measured and calm lifestyle, so for fans of noisy parties and entertainment, like in Dubai, it will be a little boring here. However, young people are attracted here by a good education and relatively inexpensive accommodation.
If your goal is to purchase real estate here and get a residence permit, let's focus on this point in more detail.
For the purchase of real estate in the Sultanate, certain zones have been allocated where foreigners are allowed to buy housing — integrated tourist complexes (ITC). Everything is thought out here for a comfortable lifestyle: hotels, shops, bars, restaurants, golf clubs, schools and much more - which investors primarily pay attention to. These facilities are located in the main investment locations of Oman — Muscat (the capital) and in the resort area of Salalah. Real estate in such areas is acquired by a foreigner as a freehold, that is, it gives the right to full ownership. At the same time, it will not be difficult to sell real estate, since there is always demand from both locals and foreigners. Unlike Dubai, the costs will be much lower and the income will be equivalent. So, a rental business can bring you from 4% to 10% per annum, depending on how long you plan to rent out real estate. It is more profitable to rent in Muscat for a long—term period, in Salalah it is better for a short-term period.
Most Russian-speaking emigrants note in their reviews that they initially did not imagine Oman to be a state with such a high standard of living. Many were captivated by clean streets that are washed several times a week so that people do not breathe dust; the absence of homeless people and almost zero crime rate. The country supports the cult of the family and pays great attention to children and their education, which is in no way inferior to the European one. At the same time, there is a low level of inflation and unemployment, and food prices are acceptable to the population. Highways have a good asphalt surface and it is a pleasure to drive on them, but it is better to have your own car, since buses have a limited route, and taxis have a high fare. The main disadvantage is, perhaps, the high prices for medical care (if there is insurance, the costs will be much lower) and the low level of the banking system.
Investors, taking into account the rise in real estate prices in the Emirates, also increasingly began to pay attention to Oman, noting their advantages:
- an agreement with Dubai on the issuance of single visas for tourists. You can visit both countries with the same visa;
- there is a separate visa for investors. Issued with the approval of the Ministry of Trade and Industry;
- A residence permit can be obtained without a minimum cost threshold.
Touching on the topic of residence permits, some are confused about information from different sources. Let's take an example:
In order to obtain a residence permit in the Sultanate of Oman, you need to buy any property. The main condition will not be the cost, but the fact that the housing must be primary and fully commissioned. The deadline for registration of the status is 6 months from the date of payment. The validity period of the residence permit for such investments is 2 years, followed by an extension from the developer himself. When making a purchase, the owner pays VAT in the amount of 5% and 3% of the value of the property specified in the contract. That's all. There are no taxes on income from renting out real estate, for sale, capital gains and inheritance in Oman.
If you want to get a residence permit for a longer period, then there are two investment options: from $ 650,000 — for 5 years and from 1.3 million.$ for 10 years, followed by multiple extensions.
Residence permit for 2 years:
When applying for a residence permit for 5 and 10 years, these items include the opportunity to obtain residence for family members of the investor, as well as the opportunity to hire domestic staff and issue guest visas for relatives.
Prices in ITC areas are higher than for secondary housing in the real estate market, this is determined by the fact that premium class houses in these areas. They are built on the principle of a "compound" — each house is a separate community with its own restaurants, shops and recreation areas. Each area has its own name and the cost will depend on the location and square meters.
For example, we have real estate objects of different values — from $ 180,000 to $ 10 million.
In conclusion, we note that the East is both a delicate and interesting business; it does not disappoint, it is very friendly and definitely worthy of your attention.
Those who wish to learn more about the Sultanate of Oman can contact our representatives in this country, who will answer all your questions.
