Anyone looking for new opportunities for real estate investment cannot fail to take a close look at the Dubai real estate market. Real estate investments in Dubai are attracting the attention of companies and individuals alike: the sector in this UAE city is now growing steadily and can open up extremely interesting opportunities.
But how to move? And where to start?
Why invest in Dubai now?
Many investors in the real estate sector are turning their attention to the city of Dubai. Dubai is considered one of the most profitable and also one of the safest real estate investments at the moment.
But why is it so worthwhile to invest in Dubai at this exact time in history?
The capital of one of the seven United Arab Emirates attracts thousands of visitors from all over the world every year. The demand for residential and office buildings is continuous, the upward trend in the number of residents also, the real estate market is very lively and the sector involves local and foreign investors from all over the world.
The country is also considered a high-profile destination with state-of-the-art infrastructure and where a luxurious lifestyle is possible. This is why Dubai is on the radar of investors and real estate agents on a global scale.
Among the United Arab Emirates, Dubai has the highest growth rate. This is related to its excellent services, the reputation of beautiful places and the lifestyle associated with it, but also to a very streamlined bureaucracy.
2. New opportunities
Thanks to the measures promptly put in place by the government in the aftermath of the 2008 crisis, what was a hardship for other countries has opened up promising opportunities in Dubai. The price of real estate has fallen, turning the crisis into an advantage for real estate investors who choose to invest in Dubai.
3. Trade stability
In addition to unparalleled development, Dubai can boast of an economic stability found nowhere else in the world. Imports and exports have increased sharply, as has the number of companies and businesses that have set up their headquarters in Dubai. Foreign residents are also steadily increasing.
Investing in Dubai: advantages
- In Dubai, no taxes are paid on the purchase of real estate. By buying property today one can expect positive growth in the long run.
- Lean bureaucracy makes it possible to each company or agency to move in peace.
- The low tax burden makes Dubai's real estate market very attractive to foreign investors.
- The system of laws proposed by the government protects both investors and consumers.
- Dubai's economy, which is already growing, is projected to grow further by about 4 percentage points in the coming years.
The real estate market in Dubai: property prices
How much does real estate cost in Dubai? The price of a property in Dubai reflects the type of businesses, companies, agencies and lifestyle in the area, which mostly tend towards the luxury segment. This does not mean that you need to own billions in your account to become a local investor.
With the flexible payment plans and real estate offers introduced in the market recently, it is possible to find affordable solutions for even small budgets.
The advantages offered by Dubai and its laws also affect the price of real estate: the residential property tax, for example, is 4% and there are no other annual fees or taxes to bear, which is why this type of investment in Dubai is an excellent monetary value transaction.
Full ownership, usufruct and condominium property
What kind of property can you buy in Dubai?
1. Freehold - Freehold
These are the most sought-after ones. In this case, the property belongs in its entirety to the buyer who can decide to do what he wants with it: live in it, rent it out, or sell it. This type of property can refer to plots of land, as well as to actual flats or houses.
A usufruct is a kind of long-term lease. Again, the buyer can decide how to manage his investment, but he has a contract that can last 10, 50 or even 100 years, and that binds him to the seller.
3. Condominium properties
Here we are generally talking about flats or private houses. The owner in this case is obliged to maintain the property properly, but may decide to do with it as he sees fit: live in it, rent it out, sell it or give it in usufruct.
Buying a house in Dubai: how to do it?
When a foreigner or, in your case, an Italian decides to buy a property in Dubai, he has two main options: to do it on his own, by travelling to Dubai and inquiring about the prices of properties for sale, or to rely on the advice of a locally present professional.
For an inexperienced person who wants to take advantage of the potential that investment in real estate in Dubai now offers, it is advisable to rely on the experience of a professional. An experienced real estate agent, in addition to his knowledge and advice, can offer additional guarantees. Even better is to confront yourself with the experience of investors, who will have the same point of view as you regarding opportunities and risks. Our service, for example, includes:
- A guide during the process of selecting and evaluating properties for sale according to your budget and needs.
- Assistance during the property purchase phase: drafting, advising on the rental contract and any other necessary bureaucratic elements. Our business has been operating in the sector for years: knowing the laws, bureaucracy and tax burdens is part of our work.
- Security: we put our experience at your service to ensure safe buying and selling by negotiating with the most reliable counterparties.
- Assistance during the resale phase of the property: investing in the property market is not just about buying. Those who want to sell their property in Dubai will find in our company the leading experts ready to offer assistance on the value and promotion to be done.
Investing in real estate is not just about completing a simple transaction. The elements involved are greater and more complex when it comes to investment. What is the value of the property compared to the price at which I am buying it? What will its value be in 10 years, or, how can I increase the value of this property? How do rents change over time?
Our company can provide you with the answers to these questions.
Where to buy in Dubai?
Dubai, after all, is nothing more than a city, and the city itself can be heterogeneous. When choosing to make a local investment one has to ask questions about the location of the property one is going to buy, assess the urban plan, the development of new neighbourhoods. Is one worth the other? Obviously not, and this is another aspect that shows how consulting a company specialised in real estate investment can be of great help.
The best investments in Dubai are those in newly built areas. But the hinterland is also attracting attention due to its typical suburban atmosphere, with large parks and amenities, and a distance of only 15-25 minutes from two major airports.
Another good location, for example, is the one called Healthcare City. It is an area in which many healthcare facilities are concentrated but which is still not far from the city's recreational and luxury areas.
Who are the big investors in Dubai?
The big investors in Dubai are all foreigners: according to a recent estimate, the UK, India and Pakistan are the countries of origin of most of those who make their investments in Dubai.
This gives us an idea of how attractive an investment in Dubai is to all citizens of the world, but also of how the state's bureaucracy has streamlined processes so that citizens from all over the world can conduct their local business in full legality (both from the point of view of the UAE legislature and that of their home country).
Do I need a special visa to buy a house in Dubai?
No special visa is needed to buy, sell or rent a house in Dubai. Depending on the country of origin, documents and passports will be required to travel and travel to Dubai, but the legislature concerning the property market is lean, and the tax burden light.
Dubai's real estate market turns billions with ease: this explains the enormous development this area of the globe has achieved in the last three decades.
Can I apply for a loan to buy a house in Dubai?
Anyone in need can apply for a loan at a bank in Dubai. The best procedure is to send all the documentation to the bank and wait for their reply: generally, anyone who can prove they have sufficient credit and salary can obtain a loan in Dubai.
Investing in Dubai: let's take stock
Investing in real estate in Dubai is a great opportunity that the present holds. As we have seen throughout the article, the investment is great but can be complex for people from other parts of the world who are unfamiliar with a streamlined legislature that is different from their home country.
For all these reasons, the best option for those who decide to invest in real estate in Dubai safely is to turn to professional investors.
Contact us now for your first consultation!