The past few years have been memorable in many different ways with Dubai’s economy in particular experiencing exceptional growth. As such, the real estate market in Dubai has become a significant topic of interest in 2022. So what makes it different from other markets?
A great place to shop
It’s no surprise that many properties on the market in Dubai come with stellar views or idyllic surroundings, many residential real estate projects are even built as part of full communities that include a host of amenities.
So no matter where or what you are buying, you are always guaranteed to get the most for your money. In fact, in comparison to the UK market, If you buy an apartment in Dubai with an area of about 120 square meters, the cost per meter will be around $ 5,900. In London, this figure can reach up to $ 26,260.
Liquidity and rental yields
With Dubai’s economy booming, the market is growing and in turn, so is the demand. This is great news for new buyers, as the continuous high demand presents the ability to sell your property at any time in the future, without losing money.
The damned doesn’t stop at just sales either. Properties for rent are highly sought after in Dubai and if you own a property in one of the premium locations, such as Downtown or Dubai Marina, owners are able to make a great profit from tenants.
For comparison, in most European cities the rental yields do not exceed 3%, however in the Emirates they can reach up to 10%.
Although the state of the economy is never guaranteed, based on the growth Dubai’s economy has faced the past few years, it is highly anticipated to continue on the upward trajectory as the city attracts more tourists, investors and businesses every year.
The government has also embarked on several initiatives and reforms the past few years, particularly aimed at attracting more foreign investment in the country. Including the introduction of a 10-year visa, also known as a Golden Visa, with the purpose of offering long-term residence for individuals and retaining talented people in the country.
In January 2022, the UAE also embraced the global work week of Monday – Friday which helped propel the emirate’s position, both from a trade and transport perspective, as well as its status as a financial hub and a tourism destination.
Attractive taxation laws
One of the biggest incentives for those living and working in Dubai, is the absence of taxes such as personal income or property tax.
This allows you to own any type of housing without wasting money on additional costs. It also means you are able to rent out real estate and receive a net profit, tax free.
Looking into 2022 and beyond, both Dubai’s economy and real estate market looks set to continue its positive momentum, driven by a continuous influx of new capital and a relatively cautious release of new supply by government and semi-government developers.
If you are interested in investing into commercial real estate, you can get in touch with one of our agents today. If it’s residential real estate you are interested in, you can contact our expert team at Betterhomes.