With house rent being one of the biggest expanses for an average Dubai resident, a lot of people are now looking forward to buying a home for a long term stay in Dubai. According to experts, around 40% of a resident’s salary goes away in rents. A classic example is of Dubai Marina, where an average rental price of a single bedroom apartment ranges from AED 50,000 to AED 90,000 a month while the same Dubai Marina property for sale ranges around AED 800,000.
Location Of The Property
The location of the property is of pivotal importance in all the other factors considered before buying it. Especially if the buyer works or has school going kids, the location of area where the property is being purchased does need to be close to their workplace as well as good schools. Following that, for investors, the future appreciation/depreciation of the property is also a big question, the expected rate of return on their investment also needs to be analyzed before making any decision.
Freehold Areas And Leasehold Areas
In early 2000, freehold areas came into existence after Dubai opened its doors to foreigners to buy a property in certain areas. Some of the famous freehold areas are Al Bashra, Um Hurair, Emirates Hills and Ras Al Khour. On contrary, leasehold areas are those where the authorities have not permitted full ownership and properties in those areas must be leased for a tenure ranging between 10 – 99 years. Some of the famous leasehold areas are Deera, Discovery Garden and Jumeirah.
Reason Of Investment
An investor or buyer must be very sure of why they are making an investment in any specific property. A reputable real estate agent should be taken into loop to provide all necessary guidelines of whether any specific area is worth investment or not. Different areas for investment in Dubai are ranked on the basis of amenities, return on investment, proximity to commercial centers and many others. However, if the buyer is looking for a place to settle in, the factors are increased with medical care, gyms, recreational activity centers and clubs.
Dubai real estate market proposes a great potential for investors and long-term residents. The investment opportunities are also expected to grow after events like Expo 2020 along with huge developments in hospitality, commercial and recreational real estate areas.