In the first quarter of 2017, Dubai has witnessed a 25 percent increase in overall transactional activity. Although this is great news for the property sector, there’s still vast potential for growth – especially from international investors.
This was the consensus of the latest International Property Show at the Dubai World Trade Centre. Experts discussed how lower oil prices, more favourable mortgage conditions and a strong local currency can stimulate market activity even further.
To take advantage of the promising outlook, Aspen Woolf offer numerous investment opportunities across Dubai. Our flexible payment plans, varied finance options and personal connections inside the Emirate will help secure your purchase.
The impetus from inside the UAE is to create an appealing market for international buyers. UK-based investors should take note, especially at a time when Dubai is offering better rental yields than London, Singapore and Hong Kong.
The managing director at Emaar Properties has emphasised the importance of a unified effort to bring in foreign investment. He said:
“We already have a strong appeal to international investors. As developers, we can do the marketing but we need the continuous support of banks in completing transactions getting the money abroad.”
This was echoed by Masood Al Awar, chief commercial officer at Dubai Properties:
“Eighty percent of the demand will come from the international market. However, as of today, not even 50 percent comes from it, which means we still have a huge market to conquer and investors to attract moving towards 2020.”
The year 2020 is significant in Dubai right now, essentially because of the impending World Exhibition in three years’ time. The prestigious event will attract a massive 25 million visitors to the Emirate over a six-month period, acting as a major catalyst for real estate activity.
Buy-to-let investors have been quick to recognise this unique opportunity. Such an enormous influx of people will create massive demand for accommodation, as well as inflated rental income.
As the quarterly growth of 25% indicates, the momentum created by Expo 2020 has already begun. This has been backed up by government initiatives to improve infrastructure and the tourism/hospitality sectors, creating jobs and boosting the rental market even further.
With the local real estate community cooperating to attract foreign backers, UK investors should take notice of the vast potential for growth in Dubai. Findings in the Core Savills’ Q2 Dubai Residential Market Update shows how this approach is already paying off.
Their report found the main apartment districts of the Dubai Marina, the Views and the Greens are attracting increased buy-to-let interest, buoyed by increased supply. More than 3,500 units were delivered in the second quarter of 2017, an increase from 12 months before.
To take advantage of Dubai’s potential for growth, especially ahead of Expo 2020, using a UK-based estate agent to secure the purchase is highly recommended. At Aspen Woolf, we can advise on various local buying customs and how to benefit from the UAE’s lenient tax conditions. Please get in touch today for more information.