For real estate investors, the volatility in the real estate market in Dubai has been a matter of concern. However, in 2022, there are several reasons that explain why people are buying new properties in the city. Currently, you might be looking for a cheap townhouse for sale in Dubai. The residential real estate rates in the city look quite affordable. As the prices show an upward trend, current investors are likely to benefit as the rates appreciate.
So, if you are in a dilemma over whether to invest in residential property in Dubai, this would be a great time to go ahead.
Why Is Real Estate Property In Dubai Attractive To Investors?
Have a look at the prime reasons that define the popularity of real estate investments in Dubai.
1) Impressive Rental Income
When you compare popular international destinations to settle down, Dubai comes among the first preferences. The high quality of lifestyle appeals to global residents. This is why the demand for rental property in Dubai is so high. In terms of global rental income yields, Dubai ranks third among the Middle Eastern countries and ninth in the world.
This makes Dubai one of the leading markets for rental real estate. In case you are willing to invest to generate a consistent income, Dubai would be good to go with. Of course, you would need the assistance of professional real estate consultants like Everhomes while you choose the property.
2) Low Prices Per Square Foot
Over the last couple of decades, the UAE has witnessed a consistent rise in property price per foot. However, when you look out for cheap townhouse for sale in Dubai, you would find the per foot cost comparatively lower than the rest of the country. Moreover, when you compare real estate value per square foot to other global cities, the price looks more affordable. Compared to New York, the cost of property price on the basis of floor area is only 0.6%. If you prioritize growing your asset value, this would be the right time for you to proceed.
3) NInvestment-Friendly Area
Investors across all property segments enjoy a good real estate market in Dubai. Besides, both short and long-term investors can enjoy the conditions that Dubai offers. This makes it a unique place to purchase your property in.
To give you an idea, short-term property buyers can rent out their properties to earn a significant profit. On the other hand, long-term property owners can benefit from price appreciation. When they sell off these properties later on, they can earn a decent return.
4) Effective Tax Management
When it comes to tax management through proper investment, real estate often comes to the rescue. The moderate tax implications in Dubai further support this mission of investors. In Dubai, investors need not shell out standard stamp duties and property taxes. No wonder, why investors say that this city continues to have one of the most effective tax management mechanisms across the world. Compared to other global cities, you would have to shell out lower taxes.
5) Enhanced Social Infrastructure
The quality of lifestyle, availability of professional prospects, and the high-end living in Dubai continue to attract residents from all over the world. As a result, the demand for properties keeps soaring in the city. No wonder, rental income and revenue from selling off existing properties would be impressive for the owners. The superior social infrastructure in the city happens to be yet another reason for the high demand for residential property in Dubai.
Should You Purchase A Property In Dubai?
Evidently, several factors fuel the high growth of the real estate sector in Dubai. With effective tax management and high rental returns, the city continues to attract investors. Even when financial crisis hits global markets, the real estate industry in Dubai shows a good resilience.
So, you have plenty of reasons why you should purchase a townhouse or apartment in Dubai. However, real estate investment is a serious and sensitive decision. Therefore, you need to consult the established professionals like Everhomes to be on the right track. After all, you cannot go for the trial-and-error approach when it comes to purchasing a new property in Dubai. Rather than counting on your instincts or making a crude guesswork, it makes sense to seek expert assistance and proceed with your investment.