WHY INVEST IN DUBAI?
BY EXCEL PROPERTIES
Amid a global slowdown of social movements and its resulting economic effects, the UAE government has set the grounds for safe investments in Dubai. According to the latest 2020 Frank Knight report, the impact of the COVID pandemic across the GCC countries has caused some changes in their economic policies to support businesses and property investments this year.
The investor profile of the property market has seen an evolution in the last decade. The current buyers are a strong mix of end-users and seasoned investors, who invest in a property for self-occupancy or rental returns. If you are an owner-buyer, you may be looking at purchasing a home to live rather than renting, owing to the attractive pricing and payment plans. On the other hand, you can explore properties at this year amongst appealing payment plans or stunning ready ones at softened prices. There is more advantage this year for any investor’s consumption.
Here are some of the ground factors of Investing in Dubai:
The city offers higher rental yields: Making it a preferable place than many mature real estate markets. On average, investors can achieve gross rental yields of between 5-9%.
Lower Prices & Flexible Payment Plans: Both seasoned investors and first-time buyers benefit from lower prices and greater financial flexibility that off-plan properties offer. With numerous projects being announced every month, developers compete mainly on prices and lucrative payment schemes
Buyer Protection Laws in Dubai: While off-plan properties come at a risk, there are numerous measures taken by RERA (Real Estate Regulatory Authority) and Dubai Land Department (DLD) in the UAE to grant buyers added protection against delays, cancellations or fraud.
Highly favourable tax conditions: Particularly, the absence of property taxes and stamp duties, that are applicable in other global real estate markets, also paints the city as a highly attractive investment environment.
In the recent times there has been a shift in focus, with developers planning their launches and modifying their products based on the demand. In other words, the market seems to have reached a level of standardisation. You will find properties that suit many of the residents from the salaried and the business backgrounds. It is a general trend, a mature market where buying a property in Dubai is on an upward curve.
Although a delay in the expo 2020 may be thought of as a minor set -back to the UAE economy, it may not altogether have much effect in the property market. To maintain the market, the government has made some advantageous changes to its policies for the local and expat property investors
In conclusion, the decision of investing in the Dubai’s real estate depends on what works best for an individual need. It is only evident that over the years till today, Dubai remains an appealing option to visit, live (for short and long term) and do business in, for a wide target audience.
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