One of the fastest-growing metropolises in the world, the emirate of Dubai is known for its towering skyscrapers, scenic waterfront tourist destinations and some of the best malls in the world. However, attractions aside, you can also buy property in Dubai, which you can use to either diversify your investment portfolio or acquire a home in one of the world’s top real estate markets.
Knowing the benefits and limitations of buying real estate in Dubai will help buyers and investors make smarter decisions. In this article, we will read about the benefits of buying property in Dubai.
Benefits of Purchasing Property in Dubai
Choosing the best place to buy property in Dubai depends on your priorities, the size of your family, budgetary concerns; and if you are an investor, your financial goals. Fortunately, the city’s diverse choice of inexpensive, modern, and creatively planned residential communities makes it an investor’s dream come true.
There is something for every property investor or home buyer in Dubai, from inexpensive 1-bedroom apartments to opulent villas and much more. Buyers should expect greater investment opportunities as a result of future developments. The time is perfect for property investment in Dubai, with projects like this underway and a promising real estate market with good prices.
Keeping this in mind, here are a few benefits of buying property in Dubai:
Consistently Growing Population
Dubai is a cosmopolitan city where people from more than 200 different countries are residing. As per the Dubai Statistics centre, as of April 2022, Dubai’s population has passed the 3.5 million mark amid a post-pandemic rise in migration.
Population growth is a major goal for the emirate’s government with a target of 5.8 million people by 2040, which will bring significant demand for housing.
One of the most significant advantages of purchasing property in Dubai is that people from all over the world are constantly coming to Dubai in search of better jobs and business growth opportunities. After all, no one wants to spend the rest of their lives in hotels, do they?
So, what is the most significant advantage of purchasing real estate in Dubai? To accommodate this growing population, many new housing developments have already been constructed in Dubai, providing more investment options for clever investors seeking a larger return on their investments.
Consistent Development & Innovation
Would you rather buy property in a city where no new development work is being done or in one where fresh innovative ideas are being launched on a regular basis? Dubai is well on its way to becoming one of the world’s smartest cities.
One of the biggest advantages of buying property in Dubai is that there is always something new to discover. A city where something new happens all the time is always a draw for the public, and when millions of people visit this city each year, they’ll need a place to stay, so why not yours?
The innovative ideas presented and initiated by the Dubai government are a healthy sign that buying property in Dubai could be the best decision of your life. What does all this new development mean for your property investment?
With the rapid pace of development, new shopping complexes will be built near your home, as well as new roads connecting to the community, raising the value of your Dubai property over time.
Higher Rental Return
Did you know that rental yields in Dubai are substantially greater than in other major global real estate hubs? On average, the best performing districts of Dubai generate a ten per cent rental yield.
How much yield can your Dubai Property generate? On a cautious basis, the net rental return in Dubai will be approximately 5.82%, making it the best destination for property investors in the world. So if you want to enjoy the benefits of buying property in Dubai, don’t forget about the higher rental income that your real estate investment will generate in the Emirates of Dubai.
Choosing the right agent and picking the right Dubai property and home ownership can be a very rewarding experience.
One of the numerous advantages of purchasing property in Dubai is the sense of security that residents enjoy. This is one of the primary reasons why individuals choose to relocate to Dubai and begin their new lives. Despite the fact that several nations in the Middle East have had and continue to experience political unrest, Dubai remains the most peaceful destination in the area.
The online Al Ameen Service which enables residents to report crime anonymously and Smart Police Stations are a few examples of how the city keeps residents secure. Aside from the latest technological solutions that can stop crime in its tracks, the emirate enforces the law very consistently.
Theft or robbery is virtually unheard of in Dubai, and this is one of the biggest reasons to invest in real estate there. You can even leave your car door open in public and no one will try to touch it while you are gone!
So, how safe & secure is Dubai? Well, as per the latest survey conducted in UAE, more than 98% of residents feel secure living and working in the country.
Variety of Options
There is a range of options available when it comes to investing in Dubai’s real estate market and reaping the rewards of buying property in Dubai. Residential and commercial properties are the two basic types of properties.
If you want to invest in residential real estate in Dubai, you may buy an apartment or a villa, and if you want to invest in commercial real estate, you can choose between offices, labour camps, and industrial buildings.
Furthermore, Dubai is more than just shopping malls and towers. Dubai offers year-round activities such as diving, skiing, snowboarding, bicycling, golfing, fishing, sailing, windsurfing, desert activities, and water sports.
UAE Property Visa
You can get an investor visa in Dubai if you buy a property worth AED 1 million. You must, however, ensure that the house you are purchasing is not under a mortgage or off-plan property.
After receiving clearance from the Dubai Land Department, the Dubai Economic Department will issue a trade license on that property after receiving a copy of your passport and the title deed. You can then apply for a 2-year residency visa at the Immigration Department.
If you invest more than AED 5 million in a property, you will be eligible for a 5-year renewable visa. Renewal of the above-mentioned visas is only feasible if you keep possession of your property. Investing in a property worth AED 10 million will entitle you to have a 10-year Dubai visa. In this case, the property must remain unsold for at least 3 years.
Low Acquisition Cost
When compared to locations like New York and London, Dubai real estate has a low acquisition cost. The amount of money required to purchase a property in Dubai is a fraction of what is required in those places. When comparing comparable properties, you will find that Dubai is 30% to 70% less expensive than the majority of the world’s big cities.
Furthermore, the properties in Dubai are of a high standard, which is not common in many other regions of the world. One of the most typical things you will notice is luxury amenities like video surveillance, a swimming pool, a well-equipped gym, and high-speed elevators.
No Annual Property Tax
If you buy a house in Dubai, you would save money since you will not have to pay annual property taxes, as you would in cities such as Hong Kong, New York, and London. There are no further or ongoing taxes to pay once you have purchased your property in Dubai and paid the registration fees.
The Dubai real estate market offers a slew of beneficial investment opportunities for those thinking of buying property in Dubai. To find investments with the best ROI, check out the best types of investments in Dubai.
Looking for something more specific in larger investments? If so, our review of how you can obtain an investor visa can help you figure out the general ins and outs of purchasing a property in Dubai. For more information on Dubai property investment, contact ZāZEN Properties for information on +97150 170 9376 or visit www.zazen.ae.