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Dubai real estate investment guide

Dubai real estate investment guide aims to educate potential investors on real estate investments, in general. Moreover, to explain when is the best time to invest in Dubai real estate and what are the key points which every investor should take into consideration?

Dubai real estate investment, at the moment, can be considered as the right time. Whether you are an end-user or investor – Dubai real estate investments have always been one of the most profitable ways of gaining ROI and securing your life.

In our Dubai real estate investment guide, we have collected and highlighted key points that should be taken into consideration while choosing a property to invest in.

 

Main benefits of Dubai real estate investment 

Why should you invest in Dubai and not other markets? The answer is quite simple – Dubai offers a number of benefits to its investors. Dubai real estate investment guide covers the main points on real estate investments and needed expenses.

Dubai is one of the fastest-growing cities, in the world. In less than 50 years it became one of the most developed and promising cities in terms of technologies, economy, and future benefits. With governmental support, it became easier to invest in Dubai real estate market. Dubai real estate investors are having an opportunity to obtain 3-, 5-, or 10-years UAE residency. Dubai real estate has one of the highest ROI, comparing to other big cities.

Overall, governmental support, new initiatives, and development of the city made the real estate market a tidbit.

 

Local investors with Expats

Local real estate investors 

Local investors or Emirati can purchase property in any area in Dubai. There are no limitations of leasehold or freehold areas for them.

Expat real estate investors 

Expats can only buy Dubai property in designated communities which are called freehold areas. Expats may lease a property for up to 99 years in a leasehold, but the ownership of the property will revert back to the landlord at the end of the lease period.

The general laws for real estate transaction in Dubai are the same for locals and expats however, locals are allowed to buy real estate in leasehold areas as well.

 

Purpose of your investments 

Before investing in real estate, you have to decide on what is the purpose of the investment? There are two types of real estate buyers: end-users and investors.

End users are the ones who would like to purchase the unit and live in it. Investors, on the other side, are chasing a different goal. They are looking for a return on investments and not aiming to keep the house for themselves.

As the purpose of the investment may wary you have to look for a different type of property. The location will differ, as well, as one of the key points when it comes to ROI is the location of the project.

Off-plan projects have higher ROI comparing to ready units. Value of the property increases closer to its completion. That is why property buyers prefer to invest in an off-plan project and re-sell it or rent out, later on. It is one of the best and fastest ways to generate a high return on investments.

 

Do your research 

Before choosing a property to invest in – make your research on Dubai real estate current situation, developers and coming trends. The future forecast will play a significant role in your final decision. It will help in deciding on the property type you should go for in order to gain a high return on investments.

Choosing the right developer will bring you peace of mind in terms of the finishing and overall quality of the property. It is something you can not compromise on as real estate investment is a long-term asset and should be thought through carefully.

 

How to choose the desired area? 

Depending on your investment goal, whether you are end-user or investor – choose the right location of your future property. Dubai real estate market is expanding. Downtown is developed and the majority of projects are completed. Those which are still under construction will have a high price and relatively lower return on investments. As prices and rent in Dubai downtown and nearby areas are high people will take a second thought on such investment and consider outskirts or a bit further area from Dubai downtown as a better option. As an investor who aims for high ROI take into consideration such areas as Silicon Oasis, Internet City or Motor City.

Research on future trends, population, and economy of the city is a must. As an example, a few years ago people used to invest in big apartments and villas as many families were coming to Dubai. Nevertheless, this trend has changed. In the past few years, Dubai residents started leaning more towards smaller apartments. The main reasons are increased in single expats and higher cost of living. Due to this change Dubai real estate developers are concentrating more on small units such as studios and 1BR. It will attract more buyers and guarantee project investment.

If you are planning to invest in Dubai real estate now and aiming for a high return on investments – consider investments in an off-plan studio or 1BR apartments.

 

Additional charges 

Invest in Dubai real estate and pay only AED 700,000. Such types of advertisement you can see every day. Those investors who are not familiar with the real estate market may think that this is the only cost they have to cover in order to get the desired apartment. Nevertheless, it is not the case, when it comes to real estate investments.

Agent’s Commission 

Property purchase, whether it is done with the developer or real estate agency, involves a real estate broker. Real estate broker’s commission comprises of 2% from the total property value.

Dubai Land Department 

Registration fees by Dubai land Department (DLD) for issuing Title Deed comprises of 4% from the total property value. This payment has to be made in the form of Manager’s check.

Registration Trustee Fee 

Additional payment should be done in order to transfer property ownership from one owner to another. This fee depends totally on the purchase price. In case the purchase price is less than AED 500,000 the trustee fee will be AED 2,000. Nonetheless, if the purchase price is more than AED 500,000 the trustee is AED 4,000.

 

Market trends 

Knowledge is the key. The right knowledge is real power. By having all needed updates and details on the current real estate market situation and future forecasts you will be armed with the right knowledge. It will help you to make the right decision on future investment. Everything takes time. Real estate investment requires responsible and thought through decision.

 

If you are planning to invest in Dubai real estate market but haven’t decided on what type of the unit or location to choose – contact one of our property consultants, at Universal Prime Real Estate. we will be happy to assist you and answer any question.

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Which real estate project should you invest in?

Real estate projects are one of the most popular and profitable types of investments, in Dubai. If you are an end-user, would like to settle in Dubai – there are plenty of real estate projects in the market for you to consider. Depending on the location and preferences you can have a studio in Silicon Oasis or a luxurious villa in Dubai South.

On the other hand, real estate investors who are looking for high ROI are even in a better situation. Due to the development of the city and upcoming Expo 2020, Dubai has vast variety of off-plan projects. Depending on the location of the real estate project, ROI can differ from 6% to 10%. So what real estate project should investors invest in?

Importance of the location of the real estate project 

When it comes to real estate projects and real estate investments, return on investments is the main thing.  It determines what project investors will invest in. Dubai has certain locations which can promise high ROI for real estate investors. If you are aiming for 7%-10% ROI take into consideration the following locations: JVC, JLT, MBR City, International City, Dubai Silicon Oasis or Dubai Sports City. The main reason for these locations to offer high ROI is that they are still developing. Investors used to prefer downtown and The Palm, few years back. Nevertheless, in the last years, the market trend has changed. Dubai real estate investors started considering smaller units. Studios and 1BR apartments bring higher ROI, compared to big apartments and villas.

Real estate project developer 

Quality and overall ROI can depend on the real estate project developer, as well. Well-recognized developer with good reputation tends to attract more investors. Trust builds brand and brand sells better. As an outcome, by investing in a real estate project of a well-known developer you are securing yourself in a few ways. Overall ROI of the real estate project is high, and the finishing of the project is outstanding.

What real estate projects should you consider as a good investment? 

When it comes to real estate projects and ROI, there are few developers which any real estate investor should consider. Emaar Properties (semi-governmental developer) is one of the biggest real estate developers in UAE. By investing in one of their projects, such as Expo Golf Villas, Creek Edge or Sirdhana, you will be assured to receive an apartment with outstanding finishing and with high ROI.

Ellington Properties is a new developer in a Dubai market which managed to attract many investors in a very short period of time. One of the main unique selling points is design on units. Ellington uses the help of professional, well-known designers while working on each project. Every single detail is taken into consideration, from the greenery and landscape to the unit design and furniture color. If you are looking for a stylish apartment with the exceptional design – Belgravia, Wilton Terrace or Eaton Place are one of the top projects you should consider.

If you are looking for exceptional, unique projects like 1JBR – one of the residential buildings with its own private beach – you should consider Dubai Properties. This is a semi-governmental developer with a list of top real estate projects. Looking for quality, uniqueness, and reliability – invest in Dubai Property projects.

 

Dubai is a representation of what can be called the Perfect Environment for Investments. Whether you are end-user or investor – investment in Dubai real estate is always the right and profitable decision.

Contact property advisors of Universal Prime Real Estate and let’s invest together.

 

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Dubai investor visa and needed documents

Dubai investor visa became one of the most discussed topics due to newly implemented rules and regulations. In order to attract more investors to the city, the government has implemented a 5-, 10-years Dubai investor visa. It will ease investor life and bring more opportunities when it comes to business set up and real estate investment. Dubai investor visa is another step towards improving the life of Dubai expats. But who can obtain Dubai investor visa and what are the different types of it?

 

Who can obtain Dubai investor visa? 

There are certain limitations when it comes to Dubai investor visa. There are two main categories of people who can be eligible for Dubai investor visas such as investors in Dubai real estate or entrepreneurs, business owners. Even though being an investors or entrepreneur does not guarantee Dubai investor visa. In order to be eligible for the visa, your investment in Dubai real estate should be AED 1 million or above. When it comes to business owners – the cost of the business project should be equal or more than AED 500,000. Depending on the amount of the investment, an investor can be qualified for 3-, 5-, or 10-years Dubai investor visa. So, what requirements should be met in order to be eligible for an investor visa?

 

Types of Dubai investor visa for real estate investors 

Depending on the type of your activity (real estate investor or entrepreneur) you can obtain 3-, 5-, or even 10-years investor visa. What requirements should be met if you are a real estate investor?

 

3 years Dubai investor visa 

In order to be eligible for 3 years investor visa, your total investment should be AED 1 million or above in one property out of maximum 3. An investor is eligible for property visa against Dubai property as long as the purchase value is AED 1 million or above and an investor has paid off 50% mortgage. If the property is financed, an investor should be mentioned as the owner of that property as if the bank is mentioned as the owner – visa application can be rejected.

 

Acceptable Properties for Dubai Property Visa:

  • Apartment;
  • Services Apartment;
  • Villa/ Townhouse;
  • Hotel Apartment;
  • Hotel Room;
  • Office;
  • Warehouse.

Note: The property should be in a freehold area. If you have purchased (leased) property in a leasehold area, you are not the rightful owner of that property. Your title deed, in this case, will specify for how many years you have leased the property

 

Not Acceptable Properties for Dubai Property Visa:

  • Leasehold Property
  • Off-Plan Property
  • Disputed Property

 

5 years Dubai investor visa 

If your total real estate investment is 5 million and above, you can obtain 5 years Dubai investor visa. One of the main advantages of this visa is that it is an open visa. It means that investor does not have a minimum time limit for which he must remain in the UAE to keep the visa active.

 

10 years Dubai investor visa 

This type of visa requires an investment of AED 10 million and above. Investors in public investments through a deposit, an established company, business partnership – as long as non-real estate investments are not less than 60% of the total investment. The new visa is an open one. There is no minimum time limit for which the investor must remain in the UAE to keep the visa active.

 

Types of Dubai investor visa for entrepreneurs 

An entrepreneurs or business owners are eligible for 5 years Dubai investor visa. There are two categories of entrepreneurs who can get 5 years visa.

  • Those having a previous project with a minimum of AED 500,000, or having the approval of an accredited business incubator in the country.
  • Entrepreneurs will be granted a 5-year visa with a possibility for upgrading to an investor visa provided they meet the requirements. Main benefits of the entrepreneurial visa cover entrepreneurs, partners, 3 executive directors, spouse, and children. The entrepreneur is allowed entry into the country for 6 months, multiple-entry visa period, with renewal for another 6 months. New visa is an open one which means there is no need to enter the country every 6 months in order to keep it valid.

An additional advantage of the entrepreneur’s visa is that it can be upgraded into real estate investor visa, only if needed requirements are met by the investor.

 

Needed documents for entrepreneurs or business investors 

  • Passport copy (color)
  • One photograph (white background)
  • Memorandum of Association Copy (for LLC)
  • Trade License Copy
  • Partners List (in case of the partnership of LLC)
  • Service Agent Contract Copy
  • Partnership Contract Copy
  • Original Emirates ID of Partner / PRO
  • Immigration Establishment Card Copy

Document required for Medical

  • Typed Application for Medical Check-Up
  • Copies of Passport
  • Copies of Visa
  • 2 Photographs (white background)

Documents required for Visa Stamping

  • One photograph (white background)
  • Typed form for Emirates ID
  • Original Visa
  • Original Medical Certificate
  • Passport
  • Immigration Establishment Card
  • LLC Agreement (for LLC)
  • License (Commercial License, Professional License, etc.)
  • Partners List Copy

 

Needed documents for real estate investors 

Documents Required for 6 Months Dubai Property Visa

  • Original Title Deed
  • Original Passport
  • Conduct Certificate from Dubai Police
  • NOC from Developer
  • Current Visa Copy
  • 1 Passport Size Photo (white background)

NOTE: The above documents have to be submitted in General Directorate of Residency and Foreign Affairs Dubai.

Documents Required for 3 Years of Dubai Property Visa

  • Original Title Deed
  • Original Passport
  • Good Conduct Certificate from Dubai Police
  • Current Visa Copy
  • 1 Passport Size Photo (white background)

Whether you are an investor or entrepreneur, you can obtain Dubai long-term investor visa of 3-, 5- or 10 years, depending on your total investment.

For more information contact our specialist at info@universalprime.ae or 04 277 8034.

 

 

 

 

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Dubai real estate investment for end users and investors

Real estate investment is relevant, at the moment, like never before. Taking into consideration that Dubai real estate market is going through the stage of stabilization. Even though prices went down on all real estate segments (off-plan properties, ready units, and rentals) the situation will improve by the end of 2020. The main boosts are Expo 2020 and governmental newly implemented rules and regulations.

Whether you are considering real estate investment from the investor’s point of view (off-plan or ready unit) or as an end-user, Dubai real estate investment is the best decision you can make, at the moment. Let’s take a look at the latest stats and figures.

 

Dubai real estate market. Current situation 

Dubai was ranked as the 3rd most affordable city when it comes to the real estate investment in prime homes, according to the latest research. According to the Worlds Cities, Prime Residential Index Dubai is one of the most affordable cities for purchasing prime residential property. Dubai real estate investors see this city as the best opportunity in getting a good return on investments and as an additional source of income. That is the main reason real estate investors invest now, in Dubai real estate, and keep their property for as long as they can. The market stabilizes when the prices will go up. It will be the best time in obtaining the desired return on investments.

 

Why should you consider Dubai real estate investment?

It is the best time to acknowledge Dubai real estate investment. Dubai real estate developers have numerous attractive offers.  You can get from 2-3 years payment plan to 3-5 years post-handover payment plan. For example, if a developer offers 5 years post-handover payment plan the buyer pays 40% till handover. Remaining 60% can be paid as an installment for up to 5 years. This type of payment plan will benefit both, investors and developers. Post-handover payment plan will increase a buyer’s return on investment accordingly.

Important points to be considered by those who want to invest in Dubai real estate. Dubai government has implemented new rules and regulations such as a gold card for investors, 5, -10 years investor’s visa, and 100% free ownership. The main goal of these regulations is to create a favorable atmosphere for those who are looking for real estate investments. Whether you are end-user or an investor – Dubai real estate investment, done now, will only benefit you in the near future.

 

When is the right time to invest in Dubai real estate?

If you are looking for a property to invest in, as an end-user, it is one of the best times. Dubai real estate market has a huge variety of different real estate projects which can satisfy any type of investors. Whether you are looking for an apartment, villa, affordable or luxury unit – Dubai real estate market has everything you need.

 

Dubai real estate investment for end-users. 

Prices of Dubai real estate is still declining. Nevertheless, we can hear more often than it is cheaper to own an apartment in Dubai, rather than rent it. It is extremely relevant for those people and families who made or planning to make Dubai their second home. Numerous offers and easy payment plans made it possible for people to invest. Even those from the middle class got an opportunity to own an apartment in Dubai. Easy payment plans allow them to pay off the full price during a certain number of years (depending on the developer’s offer).

Possibility in owning an apartment, high quality of life, and security make Dubai one of the most attractive destinations for real estate investors, whether you are an investor or end-user.

 

If you are looking for Dubai real estate investments – contact property consultants from Universal Prime Real Estate. Call us at 04 277 8024 or drop us an email at info@universalprime.ae.

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What is Dubai Expo?

What is Dubai Expo? This question is in the mind of many people. There are more questions than answers due to the lack of information and a big stir created by the government. One thing is sure that Dubai Expo will bring lots of benefits to the country and city. It will boost Dubai economy, improve Dubai real estate market, businesses and leisure. As it is expected that more than 25 million people will visit the city (during Dubai Expo 2020) more jobs will be created. In order for all these positive effects take place, Dubai government is improving the economy and infrastructure of the city.

Before jumping into Dubai Expo 2020 let’s take a look at first Expos. How Expo exhibition evolved throughout the years and what does it stands for, now.

 

History of Expo 

The World Expo is an event when people from different countries used to gather in one place and showcase their products and craftsmanship. The main goal was to share information and culture of their hometown. The first exhibition of this kind took place in Persia, in the XVth century. By the end of the XVIIIth, century exhibitions started taking different shapes. It was organized similar to the bazaar, where products only displayed but not sold.

 

First World Expo

The World Expo represents the cultural heritage of each nation. It reflects an understanding of industry, science, technology, culture. At the same time, the World Expo showcases the history of people and an evaluation of the civilization they created.

First recognized World Expo took place in London, in 1851. It was called “Great Exhibition of the Works of Industry of all nations”. 10 countries were invited to participate in this event, which attracted more than 6.3 million visitors.

First Expo exhibition “Great Exhibition of the Works of Industry of all nations” in London (1851).

Chicago Expo

Chicago Expo left a significant impact on the World Expo, in general. This Expo was held when the USA was recovering from the Great Depression (the 1930s). The city was celebrating 100th anniversary since its foundation. Chicago Expo differs among others as this is the first Expo which was given a theme – “Century of progress”. What is more, this Expo started a new trend. Large corporations were allowed to build their pavilions in the Expo Site, a practice welcomed by both entrepreneurs and visitors.

Oriental Village. Chicago World’S Fair 1933.

Brussels Expo 

Brussels Expo (1958) took place after World War II. It was a difficult time for people as they were recovering after the consequences of the war. These events reflected in the theme of the Expo which was “A world view – A new humanism”. It symbolizes shift from technology-centered ideas to humanism.

Brussel’s Expo 1958.

The transition of the World Expo

In the XXI century, comparing to XXth Expo experienced drastic changes. It became more human and nature-oriented. From concentrating on the city’s development and infrastructure, Expo began to pay attention to global issues. Since then, World Expo has been viewed as a bridge, improving relationships and resolving contradictions.

 

What is Dubai Expo 2020? 

Dubai Expo 2020 is the first Expo which will be held in the Middle East, Africa and South Asia. It is expected to be one of the most important events in exposition history. Upcoming Dubai Expo 2020 will open on October 20th. It will last for 6 months, till April 10th, 2021. The theme of Dubai Expo is “Connecting Minds, Creating the Future” with subthemes Sustainability, Mobility, and Opportunity.

The perfect location has been chosen for Dubai Expo 2020. It is located between Dubai and Abu Dhabi, in Dubai South area. Dubai South is close to Al Maktoum International Airport. New Dubai metro route 2020 will be able to take passengers from Dubai Expo 2020 site to any part of the town.

Dubai Expo 2020.

What to expect from Dubai Expo 2020?

As His Highness Sheikh Mohammed promised that Dubai will “astonish the world,” in 2020. And there are no doubts every single visitor will be amazed by this exhibition. Al Wasl Plaza will be the heart of Dubai Expo 2020. Important events such as opening and closing of the exhibition will be held there. The dome will be 65 meters tall and filled with fountains, waterfalls, parks and palm-lined courtyards. It is planned to have 3 different pavilions Sustainability, Mobility, and Opportunity. All pavilions will have its own unique design. Each participating country will have its own pavilion, as well.

Dubai Expo 2020 site. Al Wasl Plaza.

Legacy of Dubai Expo 2020

Dubai Expo 2020 is expected to boost Dubai economy and bring it to a totally different level. The government of Dubai explains it as following: “We hope to stimulate the development of a knowledge economy here in Dubai, anchored to the Expo site itself, which will continue, after the event, to be a destination that attracts visitors, students and companies and is home to a combination of organizations including strategic industries, specialized technology companies, social entities and education facilities.” More than 80% of the site is planned to be reused or repurposed in the legacy phase.

Dubai South is a master-planned community which will eventually play a major role in Dubai’s future economy. Dubai South, as it develops, will have various districts including residential, commercial, logistics, aviation, humanitarian, exhibitions, and an international airport. The Dubai Expo 2020 site will be located within Dubai South.

The Government of Dubai projects that by 2030, 35% of Dubai’s GDP will be contributed by Dubai South. In addition, it is being projected by 450,000 jobs will be created in the area over the next 10 years and will be home to 1 million residents. Fundamental demand drivers for Dubai South are trade, aviation, and logistics.

Dubai Expo 2020 is more than just an exhibition. It will build a new city in Dubai South that is planned to stay there and work as a catalyst for many other plans. A conference and exhibition center will be a key building in the Expo master plan and will become a major event venue to be operated by Dubai World Trade Centre.

 

The organizers of Expo in the XXIst century wish to review the process of how people are using wisdom and technology to reconnect themselves with nature, from which they have been moving away. The Expo is still full of life and will play an important role in promoting world peace and development.

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Dubai investment opportunities

Dubai investment opportunities characterized by its abundance of choices. Whether you want to invest in real estate, eCommerce, advertisement, stock market – Dubai has opportunities for all of your business ideas.

Thanks to its geographical location, modern infrastructure, continuous governmental support of the city and business-friendly environment Dubai build its name as business and investment hub. As it was mentioned, government always supports any type of business growth and initiative by launching new rules and regulations. These new implementations opened up lots of new Dubai investment opportunities for businessmen and investors from all over the world. Recently, Dubai government has implemented 100% foreign ownership, residency visa (for investors), and golden card. With all mentioned above Dubai, investment opportunities have grown more.

 

Why should you invest in Dubai?

So why should you consider one of the Dubai investment opportunities? Generally speaking, Dubai can be considered as one of the best places to establish your business or to explore different Dubai investment opportunities. Among the main reasons, on why you should invest in Dubai, are:

  • No property tax;
  • One of the safest cities in the world;
  • Growing economy;
  • Governmental support of the local and international business;
  • RERA, DLD (in relates to Dubai real estate market);
  • Expo 2020;
  • 5-, 10- years investors visa;
  • 100% foreign ownership;
  • Gold card permanent residency system;
  • One of the fastest-growing cities, in the world;
  • Stable currency.

Investment in Dubai will only benefit an investor and bring profit in the near future.

 

What to consider as Dubai investment opportunity? 

Depending on your budget, the end goal and knowledge, you can choose among different Dubai investment opportunities. The key point here is to know exactly what you want to get as an end result.

 

Invest in your own business 

With the introduction of a new 100% ownership rule, Dubai became more open and appealing for international businessmen, when it comes to business set up. According to previous rules and regulations, specific areas, in Dubai, can offer ownership, without getting a local partner. Dubai Free Zones are among those areas where an investor can be the only owner of the business.  According to the new rule, a total of 122 economic activities across 13 sectors are eligible for up to 100% foreign ownership such as renewable energy, space, agriculture, and manufacturing industry. The decision provides investors with an opportunity to acquire various shares in a number of economic activities including the production of solar panels, power transformers, green technology, and hybrid power plants. Setting up a new business in Dubai opens up new opportunities for international businessmen.

 

Start property management company

Taking into consideration the number of real estate projects, increasing population of the city, and its growth, it is wise to consider opening property management company. Many Dubai real estate investors are international investors They invest in Dubai real estate from an investor’s point of view, not as an end-user. That creates demand for property management companies as real estate units have to be rented out and properly managed on behalf of the owner. Now, when people are investing actively in Dubai real estate market, is the time to establish a property management company. Consider it as one of the Dubai investment opportunities.

 

Dubai real estate as one of Dubai investment opportunities 

One of the most profitable sectors to be considered as one of the Dubai investment opportunities in real estate. Even though Dubai real estate market is not in its best condition, at the moment, NOW is the time to invest. Prices on Dubai real estate dropped down giving more opportunities for local and international investors to benefit from it. It became easier to own an apartment, rather than rent it. With new payment plans and offers from developers, investment in Dubai real estate became more affordable and profitable, in a long run. Some areas offer 7%-10% ROI to its investors. Choose Dubai real estate as one of your investment opportunities and you won’t regret this decision. Real estate is one of the safest and most profitable investments. Take into consideration the latest governmental implementations, stable economy and city growth, which provides additional security to your investments.

Considering real estate investment, what locations should you take a look at?

 

Invest in Business Bay 

Business Bay can be considered as one of the main Dubai investment opportunities. It is the business hub of Dubai. Due to the huge concentration of different companies, agencies it can rightfully claim to be Manhattan of the emirate. This area will always be in demand, whether it is rent or purchase as a result of its location and high consolidation of people.

Invest in Motor City 

Motor City is quite popular among expats. Due to the high concentration of more affordable apartments, this area started developing rapidly. If you are looking for a place away from Dubai busy streets, consider investing in Motor City.

Invest in Jumeirah Village Circle (JVC) 

Jumeirah Village Circle (JVC) has a good location when it comes to nearby areas and easy accessibility. It is also a short drive from the Expo 2020 pavilion and Dubai’s major business attractions. In the first 3 quarters of 2015, it was ranked the 2nd highest for move-in rates in Dubai. It is just 20-minutes away from the Al Maktoum International Airport. Another advantage is that rent will grow in the coming 24-36 months as the market improves. In terms of yield, properties offer between 15%–20% more space comparing to The Springs, and around 15%–20% cheaper to purchase.

Marina, as another Dubai investment opportunity 

Up until now, Dubai Marina is one of the most popular areas when it comes to investment in apartments because it is located near business offices in Dubai Media City and Dubai Internet City. It serves as an attraction to many businesspeople, who prefer to be near their workplace and in a prestigious neighborhood that provides plentiful community amenities and the famous Dubai Marina Walk.

Dubai investment opportunity – Al Barsha Heights (TECOM) 

Al Barsha Heights situates close to Media City with multinational and Fortune 500 companies, which include BBC World, Microsoft, HP, CNN, Reuters, CNBC, Vodafone and more. It has numerous residential buildings suitable for anyone seeking to invest in Dubai. It is a top choice for visitors, because it is set in the heart of ‘New Dubai’ and considered a business hub. The perfect location makes it easily accessible from any other area in Dubai. Constant development gives endless opportunities for investment.

Dubai has a wide range of investment opportunities, especially when it comes to the real estate market and related services. Recently implemented rules and regulations are support Dubai real estate investors and encourage them to consider Dubai as an investment opportunity. If you want to know more on how you can invest your money with a high return on investments – contact Universal Prime Real Estate for more details, at 04 425 3935.

 

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Dubai apartment for investment

Dubai apartment for investment should be chosen wisely. Investment in real estate does not bring fast results or profit. It is a long-term project which has to be planned and executed properly for maximum return on investments. Before considering any kind of a real estate investment you should get knowledgeable about the current situation of Dubai real estate market.

Getting ready for the upcoming Expo 2020, numerous Dubai real estate developers started launching projects. As it is expected that more than 30 million people will be visiting Dubai during the period of Expo 2020 (October 2020 – April 2021), majority of developers planned to hand over their projects before the end of 2021. Due to high projected supply and lower demand, Dubai real estate market faced price decline. Nevertheless, Dubai real estate market will pick up in the next 1-2 years. That is why it is important to invest in Dubai apartment, now.

 

Dubai apartment for investment and best location

It is not that difficult to find suitable Dubai apartment for investment. Everything depends on your end goal (end user or investor) and the location itself. If you want to go for Dubai apartment for investment as an end user, you should consider such locations as downtown and Jumeirah. Nevertheless, if your end goal is to gain profit as an investor, you should check Discovery Gardens, JVC, Motor City, etc.

 

Dubai Marina 

Dubai Marina is a home for many European expats. One of the main reasons are relatively new area, water canal, and breathtaking towers. Up until now, Dubai Marina is one of the most popular areas when it comes to investment in apartments because it is located near business offices in Dubai Media City and Dubai Internet City. It serves as an attraction to many businesspeople, who prefer to be near their workplace and in a prestigious neighborhood that provides plentiful community amenities and the famous Dubai Marina Walk.

 

Business Bay 

Did you know that Business Bay has the second name? Being a well-known business hub, it is set to become the Manhattan of the emirate. Located in Dubai downtown, it attracts lots of investors due to numerous offices. This area will always be in demand, whether it is rent or purchase.

 

Al Barsha Heights 

Al Barsha Heights situates close to Media City which hosts multinational and Fortune 500 companies, which include BBC World, Microsoft, HP, CNN, Reuters, CNBC, Vodafone and more. It has numerous residential buildings suitable for anyone seeking to invest in Dubai. It is a top choice for visitors, because it is set in the heart of ‘New Dubai’ and considered a business hub. The perfect location makes it easily accessible from any other area in Dubai. Constant development gives endless opportunities for investment.

 

Dubai Sports City 

Dubai Sports City was launched in 2003 as Dubai’s sports center, hosting academies in golf, cricket, hockey, football, swimming, and rugby to name a few. Close to Dubai’s major roads, and only 15 minutes away from the much-anticipated Expo 2020 pavilion. It is a recommended choice for investors as millions of visitors are expected to arrive in Dubai for the Expo 2020.

Due to recent market conditions prices on properties went down for both off-plan and secondary markets. As developers started concentrating on more affordable units for end users and investors (studio, 1-,2-bedroom) people started moving from big apartments into smaller ones. Owning became easier than renting. Dubai Sports City is still a young area which is developing rapidly. Due to its popularity and growth, it is one of the most attractive areas when it comes to investments.

 

Jumeirah Village Circle (JVC)

Considered as one of the fastest growing locations in Dubai, the Jumeirah Village Circle (JVC) has a good location when it comes to nearby areas and easy accessibility. It is also a short drive from the Expo 2020 pavilion and Dubai’s major business attractions. In the first three quarters of 2015, it was ranked the 2nd highest for move-in rates in Dubai. It is just 20-minutes away from the Al Maktoum International Airport. According to Bureau International des Expositions, Expo 2020 will be attracting millions of visitors. JVC’s central location is expected to increase demand for hotel rooms during Expo 2020 which will boost investment in Dubai. Another advantage is that rent will grow in the coming 24-36 months as the market improves. In terms of yield, properties offer between 15%–20% more space comparing to The Springs, and around 15%–20% cheaper to purchase.

 

Dubai apartment for investment and the best ROI 

When it comes to Dubai apartment for investment, ROI is the major deal maker. Each Dubai area has a different ROI. Depending on what you are looking for and what is the end goal you can choose a suitable location.

According to the research, conducted by Bayut, there are 10 locations in Dubai which can be considered as a profitable investment option, for Dubai apartment investors. According to the obtained results, we can shortlist the following areas:

  1. Dubai Marina – 6.4%
  2. Downtown Dubai – 5.4%
  3. International City – 9.7%
  4. JVC – 6.7%
  5. Palm Jumeirah – 5.3%
  6. JLT – 7.7%
  7. Dubai Silicon Oasis – 7.6%
  8. Dubai Sports City – 7.9%
  9. JBR – 6.3%
  10. Business Bay – 6.4%

Dubai Marina and Dubai Downtown still hold their position strong as one of the most attractive places to invest in. Taking into consideration current market trends International City, Dubai Sports City, Dubai Silicon Oasis and Motor City are among top preferences when it comes to real estate investments.

International City, on the other side, is the 3rd-most searched area for apartment sales in Dubai. Prices for studios stays the same, comparing to 2018. Nevertheless, for those who want to invest with more profit, 2BR apartments in International City is the answer. Prices have risen by 1.4%, increasing from AED 690,000 to AED 700,000 in the first quarter of 2019. A similar trend has also been noticed in other affordable areas like Dubai Sports City, where 2BR units have seen prices jump by 3%.

While property prices in Dubai have decreased over the last quarter, the changes have been modest. Dubai apartment for investment stays the most profitable asset, comparing to villas and townhouses. Current Dubai real estates market conditions such as price decline, oversupply and people’s shift towards new Dubai areas remain investment even more profitable. Taking into consideration Expo 2020 and the expected a rush of tenants Dubai apartment stays a hunk of burning.

Invest in Dubai apartments with Universal Prime Real Estate. Contact one of our property advisors for more information on which location to choose for future investments.

 

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Investment in Dubai property market

Investment in Dubai property market can be considered as one of the most profitable investments, in UAE. But what exactly makes it so special and worth considering? Investment in Dubai property market became more attractive due to the decline in property price.

 

Market Cycle 

Among one of the reasons is that Dubai property market is going through a 7-year cycle. Like every market, Dubai property market has to go through booming, recession and slump phases. It was booming few years back. Now is the time for the slump. This business cycle is typical for every industry which brings lots of improvements, as a result.

 

Oversupply 

The second reason for Dubai property market to decline is property oversupply. Due to the upcoming Expo 2020, Dubai developers started launching numerous real estate projects. It led to Dubai property price to drop for both off-plan and secondary markets. In order to stabilize the situation and slow down price decline, numerous measurements took place from the developer’s and government’s sides. Developers slowed down development in order not to oversupply the market and keep prices relatively stable. Government, from their side, implemented rules and regulations which benefit Dubai property market investors such as 5-, 10-years residency visa and 100% foreign ownership. All these changes worked positively for Dubai property market. It led to slowing down price decline and attracting more investors to the city.

 

Dubai real estate market trends 

For a very long period of time, Dubai was popular for its luxury apartments and villas, attracting thousands of investors from all over the world. Nevertheless, starting from 2016 Dubai property market’s trends have shifted. Due to constant population growth, mainly through labor flows, the citizenry of Dubai increases each year. Majority of these people are middle-class workers whose main objective is to earn money. The vast majority of them are single, couples or young families. A new strategy towards affordable housing was implemented, in order to keep people in the country and to ease their life.

 

Dubai property market strategy 

Dubai property market is shifting towards the mid-market segment and smaller units. This is where the real demand is picking up. Developers started focusing more on smaller and affordable units, specifically to satisfy the needs of a middle class. Three-bedroom apartments and villas were substituted by more affordable studios and 1-, 2-bedroom apartments. Proportionately, it led to an increase in ROI. While investing in a smaller apartment investor will get higher ROI, comparing to investment in bigger apartments or villas. This factor is the key when it comes to investment in Dubai property market.

 

Which property to choose to invest in? 

If you are an investor and interested in getting high ROI, you should consider investing in smaller units. Investments in a studio or 1-bedroom apartment can bring up to 10% – 12% ROI, depending on the location. These are the type of units in demand. Taking into consideration the upcoming Expo 2020 (with more than 30 million visitors) Dubai developers will continue implementing this strategy and focus on more affordable housing.

 

Choose your location 

According to numerous market studies, when it comes to investments, Dubai property market experts highlight 3 main areas:

  • Discovery Gardens;
  • Jumeirah Lake Towers and Dubai Marina;
  • Jumeirah Village Circle.

 

Discovery Gardens 

One of the main advantages is that Discovery Gardens consists of multi-sized apartments. It is possible to get a studio in Discovery Gardens and pay all needed bills for less than USD 100,000. Gross rent of 11%-12% can be achieved with a net rent of 8%. Apartments in such locations will attract expat workers. By trying to save they move as far as possible from Dubai downtown. Apartments will surely be in demand, in Discovery Gardens.

 

Jumeirah Lake Towers and Dubai Marina 

Property prices in Dubai Marina and JLT differ between developers. There is also a great difference in the quality of units. You can find larger apartments but with poor quality and smaller apartment (for the same price) with better finishing. The first step is to find the right building rather than a developer. Some developers and buildings vary in quality and price point. The key here is to go for quality over quantity. Less square footage but to a higher spec may be a better proposition than the reverse.

 

Jumeirah Village Circle 

JVC is a perfect location when larger investments are considered, such as a 3-bedroom apartment. The main reason is that multiple demand points can be covered. People in larger villas or townhouses who want to downsize due to budget constraints will get attracted to this area. Also, people in larger units downsizing as they want to save, and people in smaller units with a growing family. Another advantage is that rent (in this area) will grow in the coming 24-36 months as the market improves. In terms of yield, on average properties in the JVC development offers between 15%–20% more space than those in The Springs and around 15%–20% cheaper to purchase.

Even those looking for a larger living space in Dubai still seek out value for money. This hunt for cheaper living in the heart of the city will drive more and more renters to developments like JVC, Dubai Marina and Discovery Gardens increasing demand and keeping rental yields healthy.

If you are looking for a great investment opportunity, would like to get high ROI – contact one of our property advisors. Universal Prime Real Estate team of experts will have answers to all of your questions.

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Will Dubai real estate market crash?

Dubai real estate market witnessed major developments which include new laws, initiatives and projects announced. While prices on properties are still declining, governmental innovations in terms of visas, investments and business opportunities gave more freedom for investors to consider Dubai real estate market as an investment opportunity.

Over 19,700 units have been delivered year to date. Prominent deliveries include Bluewaters Residences, Damac Heights in Dubai Marina and multiple projects in Nshama Townsquare and Akoya (Damac Hills).

 

Dubai real estate secondary market 

2018 was a good year for Dubai’s secondary real state market. While residential off-plan sales have been low (-32% compared to 2017), there has been a rise in transactional activity in the ready space.

Market correction occurred as property prices have adjusted to the increased supply. This benefits consumers who may have previously aspired to own a property but was priced out, and we’re happy to see long-time UAE residents begin to invest and buy properties as an alternative to renting.

 

Governmental support 

Dubai government aims to attract more investors to growing Dubai real estate market by implementing different strategies which will benefit investors in the long run. Among the main governmental initiatives are:

  • 5-, 10- year visas;
  • 100% foreign ownership;
  • Long-term residency.

Due to the numerous projects launch, some developers delay handover. Dubai government secured investors by implementing new regulation. According to DLD, developers who delayed handover for more than a year must pay investors an equivalent amount of 1-year rent.

A reform-oriented government continues to be the main driver of the Dubai real estate market growth. Local and international investors build more trust in this market and government in general.

 

Residential capital values

Overall residential capital values for existing freehold properties declined 11% annually and are 22% below their 2014 peaks. However, not all areas performed equally.  The highest annual declines of more than 15% came from Business Bay, International City and Jumeirah Islands, locations with less than 6% declines were villas in Palm Jumeirah, Emirates Hills, and Al Furjan.

 

The rental market has become a tenants’ market 

Landlords have moved from accepting only one cheque to accepting up to 12 cheques. Macro-induced crunch on the consumers’ purchasing power had prompted a fight for affordability in both the rental as well as the sales markets. It directly boosts the retail, insurance and banking sector as more people continue to call Dubai their permanent home.

The shift towards domestic end-users rather than investors took place, as well. Developers offer innovative self-funded payment plans directly to their purchasers, outside of the traditional mortgage market.

 

What is the current situation of Dubai real estate market? 

At the moment, the Dubai real estate market is experiencing a decline in prices. The drop in the market of around 25% blamed on the oversupply of high-end luxury developments and falling oil prices.

Despite the decline in property prices in Dubai, several new initiatives were announced to improve the market sentiment and provide tangible returns.

One of the new regulations will see banks provided with more flexibility in terms of lending to real estate investors, which in turn will boost the market.

Developers are also focusing more on affordable units for the middle class, aimed at persuading renters to become buyers. They aim to create a community rather than just a single building. Some developers are following the trend when it comes to creating spaces that people can live, work and entertain themselves within.

 

Market stabilization 

According to Dubai real estate market experts, the market will start stabilizing in 2020 only. It is expected that more than 30 million people will visit Dubai for the Expo 2020. Among these 30 million, 70% will be from outside the UAE. The excessive supply will find its buyers and tenants. Implemented governmental changes only stabilize the Dubai real estate market and give an additional push towards its improvement.

Dubai real estate market is going through cycles, like any other market. Comparing to GCC real estate markets, Dubai is ahead of the curve which means that the worst situation passed. Today’s real estate market is on its way to stabilization.

 

Despite all rumors that Dubai real estate market will crash – it’s improving constantly. Due to governmental immediate initiatives and support the situation didn’t get worse and handled properly. What can we expect in 2019? The prices will be still dropping, but not that rapidly. By 2021 Dubai real estate market will stabilize.

What are the future trends and what should we expect? If you want to get more details on the future of Dubai real estate market – contact one of our property advisors. They will be able to provide all the needed details regarding the market situation and investment opportunities.

 

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10 Key reasons to invest in Dubai real estate market with Universal Prime Real Estate

Investments are never easy or speedy decisions to be made. It always requires preparation, relevant information, and market knowledge. Investment in Dubai real estate is a whole new world, for a non-experienced investor. Dubai real estate market offers a vast variety of off-plan projects and ready properties where it gets easy, to get confused. What is the current market situation you may ask? Whether to invest in off-plan or a ready unit? What location or a unit type would be better for a family? What projects can get high ROI? All these questions are dedicated to an experienced property consultant. Why do you need a consultant’s help? The answer is simple – the time is money. Property consultants save your time, especially if you want to invest in Dubai real estate with maximum benefits. If you are planning to invest in Dubai real estate market make Universal Prime Real Estate your guide. Here are reasons why you should seek help from Universal Prime.

 

1.Investor’s background 

Universal Prime Real Estate Brokerage is a real estate consultancy which aims to guide those who would like to invest in Dubai real estate. Whether you are a beginner or an experienced investor, you should always get an expert’s advice at any investment stage. Real estate market in Dubai constantly changes, which makes real estate consultants stay updated on the recent market trends. But why would you trust Universal Prime Real Estate when you plan to invest in Dubai real estate? The main and most important reason is that we come from the investor’s background. The owner of Universal Prime Real Estate once started as an investor by investing in Dubai real estate. Doing it at the right time made him build a portfolio, increase income and launch independent businesses. Investments in real estate can cause great losses if you don’t know how to do it in the right way.

 

2.Market knowledge 

Before preparing a new meal, the chef has to check the exact recipe to know the needed ingredients and procedure to ensure that the end product is perfect. The same rule applies to real estate investments too. Proper market research comes before making any final decision. You want your real estate investment to bring you maximum profit. Make sure that you are aware of all market trends and recent changes. Knowledge is the key. The help of a specialist is a must if you want to make the right investment.

 

3.Consultancy 

What do you need to know to invest in Dubai real estate market? A number of questions should be answered such as: What is the current market situation? What is the economic situation of the country? What developers can you consider as reliable? What are the new projects, etc.? Many investors do their market research in advance, but nothing can substitute an expert’s knowledge who is working in real estate 24/7. Consultation from a real estate expert is worth a lot. An investor will have updated market information, plus priceless experience of previous deals. Consultants will be able to guide an investor throughout the whole process avoiding all possible mistakes. Investment in real estate, with the help of an experienced consultant, will be done faster, easier, and with the maximum profit for the investor. That is why Universal Prime Real Estate issues regular training for consultants and provides them with all needed updated information related to Dubai rules and regulations. The professionalism of our consultants is our power!

 

4.Dedicated team 

Great things in business are never done by one person. They are done by a team of people. At Universal Prime Real Estate, we chose only the best professionals in the field. We strongly believe that having the right people sharing the same company values are the collective key to success. Only by having the same vision and future goals can team progress and move forward.

 

5.Variety of real estate projects

What is the one major difference in investing through a developer and a brokerage? The variety of projects. If you are planning to invest in Dubai real estate through a developer – you will be tied up to a specific project and location. When, by investing through brokerage, an investor can pick and choose any real estate project he thinks will benefit him the most- depending on the price, ROI, location and other preferences.

 

6.Trusted real estate brokerage

Universal Prime Real Estate believes that only hard, consistent work and knowledge share can bring value to the client. Since the very beginning, Universal Prime Real Estate helped a lot of people find their “new” home and invest in Dubai real estate with high returns on investments. We highly value knowledge and believe that quality always prevails over quantity.

 

7.Ease of the investment process 

What does an investment require? Many people who are new to real estate investments may think that once you transferred the money the deal is done. Nevertheless, it requires additional paperwork and documentation. With the help of a professional, investment process will go faster and easier. As real estate consultants, our task is to ease the process and make it a pleasant experience for our clients.

 

8.Extra services 

While working in real estate and dealing with many investors, we expanded our services. Apart from providing consultation on real estate investments and helping clients invest with high ROI we go an extra mile providing other related services. Did you buy a property and now want to rent it out? Universal Prime Real Estate will provide a full property management service. If you bought a new apartment and would like to arrange moving and packing – our team can assist you with it as well. By understanding our clients and their needs, we are trying to speak the same language by arranging the required services for investors. Property management, investment consultancy, legal advisory, and many other services are provided by Universal Prime Real Estate. You name it – we have it. A full spectrum of real estate services is only a call away.

 

9.Future vision 

Receiving benefits from real estate investment always takes time. You should not expect an immediate profit after transferring money for your new apartment. If you are an investor and planning to sell your apartment in order to gain profit be sure that it won’t happen overnight. It is important to know the market, be able to forecast it and understand when the right time is to sell the unit in order to get maximum benefit. All this can be done by professionals who are working in the real estate sector for a long period of time. It allows them to understand the market, know in which way it can change and predict future trends. This information is vital if you want to get the maximum benefit from your real estate investment.

 

10.Exclusivity 

All real estate companies are aware of exclusive offers – when a developer gives exclusive price or a certain number of units with the best view (of a certain project) to a specific real estate company. How does an investor benefit from it? By investing through a brokerage who has exclusive offers of a project, you will get the best price in the market and the best unit with the best view. The most important factor is to have such an agent with an exclusive offer who has exactly what you are looking for, just like Universal Prime Real Estate.

 

Real estate investment is an easy process, as long as you have the right people to guide you. With the help of Universal Prime Real Estate, your investment experience will be easy, fast and informative.

Contact one of our agents at 04 425 3935 or drop us an email at info@universalprime.ae.