Dubai is the city that never ceases to charm and astound us. From the tallest building in the world to some of the best malls ever known. It is not onlythe tourists' best destination, but in fact the greatest opportunity for people wishing to build a comfortable and safe life.
It is indeed considered as one of the greatest population growth cities with a booming economy, an interesting property portfolio, and some of the best returns on real estate investment.
The real estate market in Dubai is quite fascinating for a variety of reasons. As it can be used to either increase the value of your current portfolio of investments or even to buy a home in one of the best cities in the world.
In this article we’ve selected for you a list of some of the best reasons of why it is high time for you to own a property in Dubai.
Safety and Security
First things first, Dubai is considered as one of the safest locations in the world to reside in. It keeps its citizens safe thanks to smart technologies developed over the years, equipped with Smart Police Stations throughout the city. In addition to Al Ameen Service, an online police service that allows residents to communicate with relevant authorities regarding any concerning issues and to report crimes anonymously.
Beside the newest cutting-edge technologies that may stop crime in its tracks, the emirate is quite consistent in upholding the law. Overall, one of the numerous advantages of buying a property in Dubai is the safe atmosphere in which one may live.
Due to its secure surroundings, Dubai is not only among the finest locations to live but also among the best places to raise a family in. There are hardly any violent crimes, as the crime rate is quite low.
Consistent Innovation and Development
The innovative spirit supported by the Dubai government is clear evidence that buying properties in Dubai might be the best choice you will ever make. Known as “The future City”, the emirate has demonstrated that nothing is impossible.
Dubai is a leading center for research and development in emerging industries. The engineering advancements, which will also see developers incorporating smart technologies within villas and apartment buildings, are other notable upgrades that will significantly increase the value of purchased properties.
The city is creating an environment that encourages innovation across various industries. With a diversity of futuristic long-term strategies spanning. The goal is to make Dubai a smart city that is personalized, intelligent, and responsive.
Over 130 initiatives have been implemented by The Smart Dubai Office
in collaboration with public and private sector organizations since its start.
Unrivalled Location
Dubai is strategically positioned in the heart of the United Arab Emirates which makes it a perfect getaway to the Middle East, Asia and Africa. Most flights from the UAE to all significant MENA business centers take four hours or less. It's an excellent method to travel anyplace in the globe and a crucial aviation link.
Through the combined efforts of the Dubai Government, the city has emerged as the top worldwide destination for fast-growing firms that transcend geographical boundaries. Dubai is a global business center and gateway to growth markets.
Transparent Market
The Middle East and North Africa's real estate market recognize Dubai's market as being the most transparent. The market is now at a high position and is showing no signs of slowing down. The government is increasing market openness through fresh and updated policies and rules. Thanks to a new effort from the Dubai Land Department, all real estate information is now accessible to the general public as of this year alone.
Dubai has developed into one of the most active countries in the globe in recent years, luring investors from all over the world. These elements open up a wide range of chances for investors in real estate who want to take advantage of the city's market and buy a property in Dubai.
Economic Growth
Due to the economy's stability and ongoing expansion, most investors favor Dubai. The Middle East's tourism and business hub has one of the most diversified economies and draws significant amounts of foreign investment each year. It's hardly surprising that Dubai won the competition for luring projects with foreign direct investment in 2021.
Increasing oil prices and efforts to lessen the effects of the Covid-19 outbreak, the UAE economy expanded by 8.2% in the first three months of this year, making the country's greatest quarterly growth since 2011.
The UAE Central Bank stated in its most recent
Quarterly Economic Review 2022
that growth in the first quarter was driven by a rapid increase in oil production as well as a remarkable augmentation in the domestic product market.
According to the regulators’ most recent forecasts, the second-largest economy in the Arab world, which grew by 3.8% in 2021, is anticipated to rise by 5.4% and 4.2% in 2022 and 2023, respectively.
Returns on Investment
As the city’s population is continuously increasing, the real estate market of Dubai is getting better day by day. When it comes to purchasing property, investors are very conscious that the growing population is quite wise and keeping up with the increase in demand for rent is highly important.
You can certainly expect good returns on your investment if you are buying properties in Dubai. Rent out your luxury house on which you have invested loadsamoney with ease. In other words, it will help you maintain consistent and positive earnings in terms of rent.
It’s more beneficial renting out properties in Dubai as the rental yield is much higher compared to other cities in the world. On the other hand, you can trade the million-dollar mansion you own for investment purposes in the future. As Dubai's real estate market is growing every day more, it is expected for you to earn a good profit from it. In short, if you have pitched in your savings in Dubai’s property market, you do not have to worry about your investment as a good return.
No Property Tax
One of the largest advantages of investing in Dubai's real estate market is the absence of tax obligations. Most types of residential properties fall under this benefit. This implies that a property owner in the emirate of Dubai doesn't have to pay any taxes after he buys a property in Dubai.
Due to the fact that Dubai is a tax-free emirate, both tourists and locals are drawn there. It doesn't have to rely on direct taxes to generate cash because of its oil and trade profits.
However, it avoids the property tax by charging a 4% transfer fee in addition to a monthly "housing fee" also referred to as the municipality tax.
In addition to paying a charge to the Dubai Land Department upon the transfer of the property, owners are required to pay 5% of the area's average rental value.
Tourism
Known as one of the greatest destinations in the world. Dubai has a substantial annual tourist traffic, which reaches astronomical numbers, 7.2 million visitors from January to June 2022 which impacts the value of the real estate market in dubai.
Moreover, Dubai is one of the countries that contains the largest number
of hotels per square kilometer, one more reason to invest in a country that does not stop to experience an increasingly gradual arrival of tourists.
The most central location, and hence the most crowded, is around the Dubai mall which is where Burj Khalifa is located. At the other end is the Dubai Marina with Palm Jumeirah and Burj Al Arab close by. On the complete opposite end of this “strip” is the Dubai airport and Old Dubai with the souks. Along most of this strip is Jumeirah Beach filled with beach resorts, shops and restaurants. Based on your interests, you may prefer to stay closer to one of these landmarks.
Investor
Property Visa
Property investors are now able to apply for long-term resident permits which offers greater cohesion and stability. This visa allows owners to sponsor their family members for a long-term visa as well.
Investors must own one or more properties valued at least 1 million AED in order to be eligible for this sort of visa. They also have the option of obtaining one of two resident visas in Dubai as a property investor: a three-year visa or a five-year visa.
Real estate investors are also eligible for the golden visa even if they borrow money from certain local banks to buy a property. Off-plan properties are also eligible for the golden visa as long as they are purchased through recognized local real estate firms.
Roots Land Real Estate is a 360° real estate services. With more than 20 years of collective industry experience, our team offers best in class expertise and services in Residential/ Commercial Sales & Leasing, Property Management, Valuations and Research, and management of ready and off-plan property - all under one roof.
Over the years, we have carved a niche in the Dubai Real Estate market with an approach of making our investors’ goals our own, resulting in increased rental income at a minimum expense, higher occupancy rate andsmooth move-in and move-out. Do not hesitate to contact us for more information and for any request you need.
