“Advantages of Dubai Real Estate Investment 2024”
Investing in real estate is one of the most effective ways to ensure sustainable income and increase wealth. However, as with any other type of investment, real estate carries some risks that must be considered carefully. There are many factors that should be evaluated before investing in the Dubai real estate market to achieve the best possible returns
Attractive real estate investment prime project in Dubai: Objective and benefits
The city of Dubai offers investors many benefits that make it a preferred destination for real estate investment. Firstly, Dubai offers high rental yields compared to many global real estate markets, where investors can achieve returns of between 5-9% on average. Secondly, Dubai has affordable prices per square foot compared to other global cities, making it an attractive option for investing in luxury real estate. For more details, you can visit the Real Estate Survey blog to see the properties that can be purchased for a price of one million US dollars. Thirdly, the new residency visa laws related to real estate investment provide excellent opportunities for investors in Dubai. Investors who own properties worth more than AED 1 million can obtain a 2-year residence visa, while investors whose property value exceeds 5 million dirhams are entitled to a 5-year residence visa. For those who own properties worth more than AED 10 million, they are eligible for a 10-year residence visa. Finally, Dubai provides a favorable tax environment for real estate investment, as it does not impose real estate taxes or stamp duty that are imposed in many other global real estate markets. This makes Dubai an attractive investment environment for investors from all over the world.
Key factors to consider when investing in attractive properties in Dubai
The real estate investor always strives to achieve the highest return on his investment, but achieving this goal requires careful study and careful research. So, we bring you some important factors that affect investment return rates
the site
Choosing the ideal location is one of the most important factors, as it can greatly affect the value of the property and the expected return from the location
Facilities and amenities
Availability of transportation, proximity to educational institutions, child care centers, as well as recreational facilities can increase the value of the property
Space and quality
The large area and high quality of the property contribute to increasing its attractiveness to investors and tenants alike
Market condition and timing of purchase
Knowing the state of the market and choosing the right timing to buy can greatly affect the final return
Interest rates
Monitoring interest rates and changes in them helps determine the actual cost of an investment
Maintenance costs
Maintenance costs and service fees, set by RERA, are an important factor to take into consideration to estimate the net return on investment
The best locations and complexes to achieve high returns on attractive real estate investment in Dubai
Dubai Silicon Oasis recorded the highest residential rental yield rates of 9.5% during the first half of 2019, making it an excellent choice for investors. Followed by new residential complexes such as ‘Meydan’ with returns of 9.3% and ‘Damac Hills’ with returns of 8.9%.
With regard to townhouse and villa complexes, the ‘Town Square’ complex showed a strong performance with a total return of 7.8%. The Springs, Reem-Mira, and Mudon complexes also achieved return rates of 6.6%, 6.4%, and 6.3%, respectively.
To benefit from these investment opportunities, you can explore more distinguished projects in the best locations in Dubai. To get more details click here
Tips for achieving the best return on investment in real estate in Dubai
Residential apartments offer higher rental yields compared to townhouses and villas, because most renters in Dubai are visitors, expatriates, or middle-income citizens who prefer small, affordable homes. Therefore, residential apartments are considered the best option for real estate investment in Dubai. We advise you to choose small apartments such as studio apartments and one-bedroom apartments in affordable complexes, which are characterized by good infrastructure and a location close to transportation stations and basic facilities such as schools and health centers, as these options are considered among the best real estate investment methods that guarantee a good return. Also, the maintenance fees set by the Dubai Land Department based on the Real Estate Regulatory Authority’s Service and Maintenance Fees Index can significantly impact the overall returns. The index specifies a fee per square foot that varies depending on the residential complex, so it is best to check the fees applicable to the chosen complex before you start investing. You can follow the latest fees updates directly through the official website of the Land Department and property in Dubai.
When investing in real estate, it is natural to have many questions. We are here to provide you with simple and correct answers, allowing you to make informed decisions with confidence. You will find all the accurate and comprehensive information you need because our goal is to facilitate the investment process and ensure making the most of the opportunities available in Dubai. Among the questions on the minds of investors are:
How to become a real estate investor in Dubai?
To obtain investor residency in Dubai, the following steps must be taken:
1) Submit an application for a two-year investor residency.
2) Adding residency for the family and residency for the parents for one year.
3) Pay the fees required for real estate investor residency.
Does buying a property in Dubai grant residency?
To obtain residency in the UAE as a real estate investor, you must own a property worth at least AED 750,000. When applying for residency, the property must meet the following conditions:
– If the property is mortgaged or in installments, a no-objection certificate must be submitted from the bank or developer showing the total amount paid and the remaining amount in addition to the mortgage statement.
– If the husband and wife jointly own the property, the shares must be equal so that either of them can apply for residency. If the shares are different, only the person with the largest share can apply for residency and then sponsor the other party (husband/wife).
How to become a real estate dealer in Dubai?
If you are planning to start in the real estate business as an investor or as a real estate agent, you must understand all aspects of this field, as it requires a lot of research and study. Below are valuable tips to help you develop effective ways to trade real estate in Dubai and ensure sustainable success in this market:
1. Understanding the laws and legislation: Learn about the laws and legislation that regulate real estate trade in Dubai, as understanding them enhances your ability to reap more beneficial deals.
2. Follow prices daily: Stay up to date with land and apartment prices, especially in real estate investment areas in Dubai.
3. Investment tips for foreigners: Stick to Dubai real estate investment tips for foreigners to achieve success.
4. Data collection and communication: Collect data related to various types of properties offered for sale or rent and communicate with their owners.
5. Establish a licensed real estate office: Open a real estate office in Dubai and obtain the necessary licenses to practice the real estate trade profession.
6. Agreements with real estate owners: Enter into agreements with real estate owners to receive a percentage in exchange for accelerating the selling and renting process.
7. Continuous advertising campaigns: Implement continuous advertising campaigns to market real estate effectively.
8. Advertising on real estate websites: Use the Bayut real estate website to reach the largest number of potential customers.
9. Professional dealing with customers: Make sure to deal professionally with customers to ensure their satisfaction.
10. Stay in touch: Maintain communication with customers even after completing the purchase to ensure long-term relationships.
By following these tips, you will be able to build a successful and thriving real estate business in Dubai.
If you own one or several properties in the Emirates, you can obtain a renewable 5-year golden visa, provided that you submit a letter proving ownership of a property with a value of no less than 2 million UAE dirhams (about 544,000 US dollars). This qualifies you for the Investor Golden Residence Visa.
The UAE is currently hosting many projects that are still under construction, allowing those wishing to obtain golden residency to enjoy the benefits of this visa extended for a period of 5 years. Among these distinguished projects:
1. Dorchester Collection Dubai project: It is located in Business Bay and includes two towers, a 5-star hotel, and 39 luxury apartments with amazing water views, with prices starting from 31 million UAE dirhams.
2. Lanai Islands Project: Featuring 7- and 8-bedroom mansions surrounded by a picturesque Crystal Lagoon, with prices starting from AED 65 million.
By investing in these luxury real estate projects, you can benefit from the opportunity to obtain a golden residency visa in the UAE, providing you with many benefits and possibilities in the long term. Follow the latest developments and invest wisely to make the most of the UAE’s booming real estate market.
For more information about the Real Estate Investor Golden Residency, please click here.
“The Future of Real Estate in the UAE”
The future of real estate in Dubai is poised for significant growth and transformation, underpinned by visionary initiatives and robust economic diversification efforts. Dubai’s strategic location, bridging the continents of Asia, Europe, and Africa, continues to be a key advantage in attracting global investments across various sectors, including real estate. The city’s ambitious infrastructure projects, such as the expansion of airports, ports, and transportation networks, not only enhance connectivity but also bolster its appeal as a logistical and commercial hub. The upcoming developments related to Expo 2020 have catalyzed extensive investments in hospitality, commercial, and residential properties, with a focus on sustainability and cutting-edge design. Dubai’s commitment to sustainable development is evident through initiatives like the Dubai Clean Energy Strategy 2050, which aims for 75% of the city’s energy needs to be sourced from clean energy by 2050, thereby influencing real estate designs towards eco-friendly buildings and neighborhoods. Moreover, the city’s proactive stance on innovation and technology integration, including smart city solutions and digital infrastructure, ensures that Dubai remains at the forefront of urban development globally. Real estate trends indicate a growing preference for mixed-use developments that combine residential, commercial, and recreational spaces, catering to a diverse population with varied lifestyle needs. The introduction of flexible regulations and investor-friendly policies, such as long-term residency visas for property owners and favorable tax regimes, further enhance Dubai’s attractiveness as a real estate investment destination. As Dubai continues to diversify its economy beyond oil revenues into sectors like tourism, finance, and technology, the real estate market stands to benefit from increased demand across residential, commercial, and industrial segments. With a strong emphasis on quality of life, cultural diversity, and business opportunities, Dubai’s real estate sector is well-positioned for sustained growth and innovation in the years to come, offering investors and residents alike a dynamic and prosperous urban environment in the heart of the Middle East.
