3 Tips about Dubai housing market - 2017
The steady decline in oil prices have put the wealthy on their back foot and put a strain on real estate market in Dubai since 2013-14. However the early 9 months of 2017 have poised to change the course of real estate market before the advent of Expo 2020. Luxury housing drew a huge volume of sales along with sales of business centers’ properties in these nine months. To make a profitable real estate investment in Dubai, here are three things you should be aware:
One, In spite of a growth prediction and increased volume of sales for real estate business, the market is still trying to make headway as a lucrative investment option for international buyers. Although in a bearish market the general tendency is to be speculative and off-load risky investments, it provides a good opportunity to buy more property at a lower cost and avail more rent per dirham compared to a bullish market. A keen observer of the real estate market will be able to spot the right investment opportunity in a down market. Ensure you have access to accurate market information through trusted sources and invest smartly.
Two, Home owning could now be simpler due to attractive offers from leading real estate developers by providing convenient financing options. Shortlist your choices of property based on your budget, location and preference. Find a reputable advisor who can provide you with options on financing your dream home. Even if you have endless source of cash, ensure your money is safe and invest in a bankable property that you can resell, rent or use for years to come.
Three, If you are new to the idea of investing in Emirates you may or may not know this. As Non-UAE nationals you may own real estate in the Emirate of Dubai in only specific areas where foreign nationals (non-UAE/GCC nationals*) can own freehold land and property and other real property rights such as usufruct** and long-term lease rights for up to a period of 99 years. The Designated Areas (see list after footnotes) for foreign ownership of real estate are determined by the Ruler of the Emirate of Dubai by way of decrees and regulations issued from time to time.
*The Gulf Cooperation Council (GCC) is a political and economic alliance of six Middle Eastern countries-Saudi Arabia, Kuwait, the United Arab Emirates, Qatar, Bahrain, and Oman.
**A Civil Law term referring to the right of one individual to use and enjoy the property of another, provided its substance is neither impaired nor altered.
Below is a list of the most important Designated Areas:
- The Palm Jumeirah
- The World Islands
- Downtown Dubai
- Old Town
- Burj Khalifa
- Business Bay
- Dubai Marina
- Emirates Hills
- Jumeirah Lakes Towers
- Jumeirah Beach Residence (JBR)
- Discovery Gardens
- Arabian Ranches
- Midriff (specified plots)
- Dubai Investment Park
- Falcon City
- Dubai Sports City
- Dubai Motor City
- International City
- Jumeirah Islands & Jumeirah Village
If you are someone who works, lives or visits Dubai with your family and looking to invest on a villa in a great neighborhood, don’t hesitate to contact one of our real estate agents.