In 2022, Dubai’s residential real estate market is one of the world’s fastest developing. Over the past few years, it has demonstrated unprecedented growth, which cannot be denied. In this regard, 2021 was very significant, when the emirate not only coped with the consequences of the pandemic, but also surpassed the figures of previous years. The source Emirates.Estate told its readers about the main advantages of investing in Dubai housing.
Reasons for the economic success and growth of the housing market
The unprecedented growth of the Dubai housing market is due to several factors. Thanks to their comprehensive impact, the emirate achieved such success at the global level.
· Encouraging foreign investors and entrepreneurs by introducing resident visas for the purchase of real estate (in 2021, the minimum investment threshold decreased from AED 1 million ($272,200/¥1.7 million) to AED 750,000 ($204,000/¥1.3 million));
· Reduction of mortgage rates to 2.5%;
· Opening a company in the UAE with 100% ownership of real estate without Arab sponsors;
· Comfortable tax-free regime, etc.
The main reasons to invest in Dubai real estate
Purchasing a property in Dubai can be attractive for some reasons, including:
· Lower price for housing unit than in other countries: in Dubai, the average cost per 1 square meter is AED 13,700 ($3,700, ¥23,700), while in other equally developed cities, prices are higher, for example, in New York (AED 56,000, $15.200, ¥97,200) and Paris (AED 49,000, $13,300, ¥85,000);
· Real estate is a reliable investment, especially during the inflation, as part of the fee (for maintenance) may relate to rent;
· Rent is the most common way to earn money for housing. In Dubai, depending on the type of property and the area, the rental yield can reach 8-10%;
· A property, unlike some other investments, will always have a residual value. It cannot completely devalue, even during a market downturn;
· You can take out a mortgage for the purchase of ready–made or off-plan housing – in some banks, the amount of property value coverage can reach 80-85%;
· A property can be bought with cryptocurrency;
· Remote purchase – for a successful transaction, you do not need to be in the emirate, a proxy (real estate broker) is responsible for negotiations with the homeowner, opening a bank account, and collecting the necessary documents.
You can find the right property based on your preferences and needs at Emirates.Estate. Specialists will arrange a deal for apartments for sale in Palm Jumeirah or the purchase of housing in any place of interest to you in Dubai.