If you are looking for real estate investment in Dubai, you need to be smart and careful. There is a popular perception about Dubai’s property market among investors from other countries that it’s a very lucrative market, and the returns are phenomenal. To some extent, this is true, but we must understand that when it comes to investment in properties, there are always risk elements. There are certain tips that can be very useful to those who consider investment in Dubai their mission.
Types of Real Estate Projects: Ready-to-Move VS. Off-Plan Project
There are essentially two kinds of real estate investment opportunities in Dubai – ready-to-shift projects, and off-plan projects that are still to be launched or where construction is in progress. It’s up to you to decide which option to choose for the investment in Dubai. Normally, completed projects by developers like Emaar and Damac in good locations cost a bomb, needing a sizable investment.
On the other hand, there are off-plan projects where prices are around 30-40% less. It’s a common practice for developers to sell off-plan projects at much lower rates to arrange for the capital needed for construction.
Smart Tips to Reduce Risk in Real Estate Investment
Irrespective of the type of property you choose, following certain basic principles can help reduce risk. Below are some practical tips for safer real estate investment in Dubai.
- Buy at the Lowest Possible Price
Money saved is money earned. Always try to buy property at the lowest possible rate. In some cases, you may be able to negotiate the base price. Asking directly for a discount often works.
- Exit Before Project Completion
If you invest in an off-plan project, consider selling the property once the market shows growth. This approach can help lock in capital gains early.
- Opt for Lower Down Payments
A basic rule of property investment is that a lower down payment benefits the buyer. It reduces financial pressure and improves cash flow flexibility.
- Choose Developers Who Deliver on Time
Research the developer and project carefully. Online research or consulting a real estate expert like NobleHorizon can help identify developers known for timely project delivery.
- Track Project Progress Regularly
Avoid investing and leaving everything to chance. Monitor construction progress regularly. If you notice delays or deviations, question the developer and seek clarification.
- Consider Multiple Off-Plan Investments
If your budget allows, investing in multiple off-plan units can help maximise returns over time.
Is Real Estate Investment Worth it in Dubai?
Dubai is right at the top if we talk about the fastest-growing cities in the world. The city offers scenic water views, world-class amenities, peaceful ambience and a tax-free system. Whether it’s manmade artificial islands in the shape of palm trees or the tallest building in the world, it never fails to impress.
If investment Dubai is part of your plan, you must understand some of the factors that will help you immensely.
Below are some major advantages you get if you buy a property in Dubai:
- Premier living standard: Dubai offers a lavish lifestyle which few other cities can match. The city has much more than just modern buildings, malls and skyscrapers. It offers world class facilities such as skiing, diving, golfing, water sports, sailing, snowboarding, windsurfing, and desert activities. In short, it has everything you can think of.
- Safety and security: The UAE government’s policy of having a zero tolerance against crime, and decision to exile history sheeters makes Dubai a safe and secure city.
- Great location: Dubai is strategically located with respect to Asia, Africa and Europe as it’s just 5-6 hours of flying from major cities of the world.
- Tax free Environment: There are a few places in the world that offer the same facilities. In Dubai, what anyone earns here belongs to them only.
- Stable market: Property prices in Dubai are quite stable, making this the right time for investment.
- Amenities: Super luxury amenities near your property make life a lot easier for you. Choose projects that have such essential amenities nearby.
- World-class infrastructure: It has a world-class infrastructure that you expect from a world-class city like Dubai.
Final thoughts
So if you are still thinking of investing in properties in Dubai, the best time to do it is now. According to NobleHorizon, some of the best locations for real estate investment in Dubai are Downtown Dubai, Business Bay, Arabian Ranches 3, Akoya Oxygen, and Dubai Hills Estate, etc. These are the most exclusive localities of Dubai, where every investor dreams of having their own property! So get in touch with NobleHorizon before all such options run out!