TAGS: #dubai
Readers who scroll through hours upon hours seeking an answer to the dilemmas of Dubai Real Estate Investing are familiar with its challenges. The United Arab Emirates sits at the coast of the Arabian Gulf with a rich history that is interspersed with trade, oil, industry and property.
This history is surpassed by a future that promises a landscape fit for expansion and investment. But the dilemma of Dubai Real Estate Investing in this region has sparked a great deal of doubt over its feasibility. The time has come to put such matters to ease and declare the UAE as not one of the best, but 'the best' place to invest.
To begin with, the UAE has consistently shown its prowess as an investment destination gaining the title of the 13th Most Promising Home Economy for Investment in 2017-19. The region is expected to attract more than $ 1.8 trillion in global investments in 2018 (a 5% increase from 2017).
Due to its strategic position in the global landscape, it offers the Best Investment Opportunities by Top Real Estate Companies in Dubai. The UAE served nearly 2.4 billion market traders in 2017 within just five hours from recent Thomson Reuters reports.
The region is also the 3rd most attractive investment destination for those in infrastructure.
With more than a hundred smart city initiatives set to take effect as part of an elaborate plan for the upcoming EXPO, opportunities are abound for investors. More than a thousand government services have already been made smart in 2017.
REITs
REIT or Real Estate Investment Trusts in UAE are increasingly winning commonality. The country's REIT sector rose sharply in 2017 with a number high profile acquisitions such as the purchase of The Edge, Uninest and South View School by ENBD REIT.
While only representing a small chunk of the sector, they are expected to be a great way for small investors to enter the market.
The Freedom of Freehold Properties
The introduction of the Freehold Properties Decree in Dubai in 2002 was the first platform that allowed foreigners to buy, sell and lease property.
The Decree assisted launch multiple projects like the 'New Dubai' area contracting of the Dubai Marina, Jumeirah Lake Towers and Emirates Living.
This helped advocate the growth of construction, architecture, engineering and other real estate services. With time, Dubai turned into a global hotspot for investments attracting the best and brightest.
High return on investment (ROI)
The ultimate purpose of any investment is to get more bang for your buck. The UAE commands an ever-flourishing real estate market that grows with its population.
Dubai real estate assets have generated a 120 percent return for investors in the decade since the global financial crisis. The region's testament is substantiated with property investment in Dubai Real estate being second only to investment in the NASDAQ Index back then.
During the first quarter of 2017, the Dubai Land Department reported AED77 billion (US $ 20.9 billion) worth of deals in the first three months of the year, up from AED54.7 billion ($ 14.89 billion) in January to March 2016.
Data for the same in 2018 showed a similar trend with transactions for the first three months totaling at Dh58 billion through 13,759 sales. This constituents 9,092 sales transaction worth about Dh19 billion, 3,717 mortgage transactions worth over Dh30.6 billion, and 950 other transactions valued at Dh8.4 billion.
The first quarter also attracted 5,041 foreign investors making more than 5,000 transactions with a total value exceeding Dh10 billion.
All these numbers paint a prosperous picture for the real estate sector in UAE, putting an end to the question of investing or not.