Popular for its stunning architecture, luxury shopping, white sandy beaches, and a growing real estate market, Dubai is a major hotspot for foreign visitors/investors. With property prices declining in the last few years across the emirate, there are plenty of opportunities to buy a property in Dubai at reasonable prices.
Statistics show that the UAE’s GDP is expected to grow by 2.1% in 2021 as compared to last year. By 2024, the GDP is also expected to increase by 2.57%.
According to reports from New World Wealth, the UAE is also the wealthiest country in the Middle East, in which Dubai has emerged as the richest city. Therefore, Dubai has a lot of potential for becoming the business hub of the Middle East.
As a result, several foreign nationals are showing interest towards investing in properties in Dubai that can have promising returns. If you are also planning to go for real estate investment in Dubai, you’re at the right place.
In this blog, we’re going to explore why now is the best time to buy a property in Dubai. Let’s get started.
- Dubai Property Market is Growing
In 2019, real estate sales in Dubai rose by 20%. Analysts are concerned that now the pandemic is subsiding, the economy is going to stabilize over the coming months.
Investors can expect to achieve a gross rental income between 7-12%. This is possible because Dubai is offering a more attractive return than many other mature commercial markets, such as London.
Dubai’s Government has determined now that it will limit the number of installations available each year. The restrictions can help strengthen the property market and are important for investors.
Prices are lower on the market so experts say now is definitely the ideal time to buy property in Dubai.
- Property Prices are Low
As per statistics, Dubai residential property prices fell by an average 4.4% from Q4 2019 to Q4 2020. But the prices also grew by 1.2% quarterly, which means that prices are going to escalate. Hence, you can buy a property in Dubai today at a fairly lower price, which is expected to appreciate.
By buying properties when prices are lower, you can make significant profits by reselling the same property when prices are higher.
As an investor, you also need to be aware and find assets that are under supplied in the market. For instance, there are villas in locations such as Jumeirah Golf Estates, Jumeirah Park, Arabian Ranches, and Palm Jumeirah. In addition, you can also check out the best places to buy a property in Dubai.
- Living in Dubai is Affordable
In 2019, Dubai was found to be 28% cheaper than living in NYC and it was ranked as the 58th most expensive city in the world. According to the UAE ministry of economy data, an average households’ annual income for the month is currently AED 188.56 in the city.
The UAE no longer holds income tax, so citizens get all the income they’ve earned. When it comes to schools and housing there are many options available all over Dubai at various prices.
Compared to other capital cities like London, Dubai housing prices are reasonable and it is easier to live a decent life.
- Long-Term Residency Visas for Investors
As per the new property regulations, foreign nationals can take a long-term residence permit for living in Dubai if they have invested in a property. The permit is valid for five years from the date of issue and does not require other requirements such as working abroad.
The property must be retained for a long duration as the visa remains valid. This allows investors to enjoy the benefit of living in Dubai. They can come and go wherever they want and stay for as long as they wish.
Also Read: Pros & Cons of Buying Property in Dubai
- Tourism is at Peak
The emirate of Dubai is becoming a popular destination for tourists who are always looking for beautiful cities to travel. With high vaccination rates in the UAE and stringent measures in place to ensure the safety of the residents and tourists, the city is a favourable choice for many tourists.
Usually, visitors are drawn towards the famous Burj Khalifa, The Dubai Mall, luxurious hotels, and other locations. People visit for having fun, relaxation, and doing business meet-ups.
The number of 5-star hotels and rooms have also increased in the city seeing the rising demand from international visitors. However, there’s a decrease in standard hotels. Hence, there is a lot of potential for investors to put their money in the hotel industry. This can be a great investment opportunity and can offer major profit in the future.
Get Set Go- Buy A Property in Dubai with our Help!
With no doubts, this is a good time to invest in buying a property in Dubai before the market booms. There are still a lot of properties available in different areas in Dubai with prices that are affordable for foreign investors.
With so much to enjoy in Dubai, you will be in the depth and diversity of an exciting and thriving area if you prefer to invest.
At Allegiance, we can help you make the right decision. We’ve a team of real estate agents who have expertise about the real estate market of Dubai. We can advise you and support you in your investments, so that you can choose the right property as per your expectations.
You can contact us today to get guidance from our experts. Our team members would be happy to help you and will guide you throughout the property buying process.