Expert Advice with Dacha Real Estate: Why should you buy property in Dubai in 2019?
With attractive property prices and flexible payment plans across the city, more and more people are looking to buy property in Dubai. If you’re considering investing in Dubai real estate in 2019, but want an expert opinion on the matter, read on. Today, MyBayut is in conversation with Abdulsalam Bses from Dacha Real Estate. An off-plan specialist, Abdulsalam has more than 30 years of experience in the industry behind him.
For those on the fence, Abdulsalam talks us through why investors should look at buying property in Dubai in 2019, including expected ROI and more. He also shares helpful pointers for first-time buyers such as important markers to look for in a successful development. Get a comprehensive idea of the Dubai real estate market right now, along with advantages for foreign investors and what to expect in the future.
WHY IS 2019 A GOOD TIME TO BUY PROPERTY IN DUBAI?
When buying property in Dubai, investors will either find a seller’s market or buyer’s market, says Abdulsalam. Right now, a large portfolio of properties available in the Dubai real estate market has resulted in affordable prices, tipping the market in buyers’ favour. This trend is also seen in Bayut’s Q1 2019 Dubai property market report, where prices across the city’s most popular areas have seen modest decreases. Buying prices for 1-bedroom apartments in Dubai Marina and Downtown Dubai have dipped by 3.3% and stand at AED 1.15M and AED 1.45M respectively.
More attractive property prices mean that Dacha Real Estate has seen the number of people investing in Dubai real estate increase significantly in 2019. Another reason to invest in Dubai real estate is that residential communities are more established, so buyers know exactly what to expect of the property. This has led to an increase in investor confidence when buying property in Dubai.
Wondering the benefits of investing in Dubai? Investors looking at buy-to-let properties in Dubai can expect an ROI of 5% – 6% for ready properties. The Q1 2019 market report reveals that the ROI for apartments in Dubai Marina stands at a strong 6.4%, while units in Downtown Dubai deliver rental returns of 5.4%.
TIPS FOR FIRST-TIME BUYERS INVESTING IN DUBAI REAL ESTATE 2019
First-time buyers looking for the best areas to invest in Dubai should keep a few indicators in mind. The most important factor when investing in Dubai real estate 2019 is location, says Abdulsalam. If a development has a great location within the city, that’s a prime indicator the project will perform well. However, according to Abdulsalam, one of the advantages of investing in Dubai is there is no central location that excludes others. Dubai is designed in a manner that ensures every large community is central to itself with schools, parks, retail and dining options. These well-designed communities are proving to be one of the strong reasons to invest in Dubai real estate. This trend is also echoed in the Q1 2019 Dubai market report, which shows that well-integrated communities like Jumeirah Village Circle (JVC) and Dubai Sports City are rising in popularity with those looking to invest in Dubai real estate.
Aside from location, it’s important to look at the developers behind the project, along with the facilities, the design of the community and the property itself. If a development ticks all these boxes, says Abdulsalam, then these are strong markers it will perform well.
Looking at the best places to buy property in Dubai 2019? Take your lifestyle into consideration, says Abdulsalam. If someone wants to live close to their workplace, Downtown Dubai and Business Bay are good areas to consider investing in Dubai 2019. Meanwhile, someone who prefers a beach lifestyle could look at properties in Palm Jumeirah. Buying property in Dubai means investors have a diverse portfolio to choose from, which will appeal to different interests and budgets. Take a look at Bayut’s property market report for a quick comparison of lifestyles and prices between Dubai’s popular areas for both luxury and affordable properties.
HOW DO OVERSEAS INVESTORS BENEFIT FROM BUYING PROPERTY IN DUBAI?
For foreign investors wondering, ‘is buying property in Dubai a good idea?’, Abdulsalam says there are clear advantages. The UAE was ranked as the safest country in the world in 2019, according to an announcement made by local authorities. It’s also one of the prime reasons for foreign investment in Dubai real estate. Overseas investors don’t have to worry about security issues when buying property in Dubai, due to the city’s safe environment.
And while VAT has been introduced, it does not apply to investors’ rental income. This tax-free income is also amongst the reasons to buy property in Dubai in 2019 as an overseas investor. Finally, Dubai continues to be one of the top cities to visit and live in, giving the properties here a high investment potential.
WHAT IS THE FUTURE OF DUBAI REAL ESTATE?
The Dubai real estate forecast is extremely positive, says Abdulsalam. There are already many reasons to buy property in Dubai – but the city isn’t done developing yet. Dubai real estate has made its mark on the world map and is compared to global hubs like New York, London and Hong Kong. With the Expo 2020 projects like the Dubai Metro extension and Al Maktoum International Airport taking shape, the Dubai real estate market is likely to see a positive impact in the coming years.
ABOUT ABDULSALAM BSES
Abdulsalam Bses is the Off-plan Specialist at Dacha Real Estate with over 30 years of experience in the Dubai property market behind him. Abdulsalam started his career in real estate in 1987, handling hotel acquisitions for a Swiss investment fund. Continuing to work in property development and investment, Abdulsalam entered the Dubai real estate industry in 2000. At Dacha Real Estate, he focuses primarily on off-plan projects and investments.
ABOUT DACHA REAL ESTATE
Established in 2004, Dacha Real Estate has climbed its way to being one of the best property agencies in Dubai. With their in-depth knowledge of the local market and experienced agents, Dacha Real Estate provides customised solutions for those who want to rent or buy property in Dubai. They provide a comprehensive suite of services including sales, leasing and property management.
And that completes this month’s Expert Advice segment. We hope this insight into the property market will help you make an informed decision when buying property in Dubai. Looking to invest in the UAE’s capital? Take a look at Bayut’s guide to buying property in Abu Dhabi. And stay tuned for more expert insights on the Dubai real estate market 2019.
