Property in Dubai as a Long-term Investment: A few Guidelines

Property market in Dubai shares features of any other international property market. These include (and are not limited to):

• Fluctuation of property prices

• Popular locations for buying property

• Coming up of new property developments

Yet there are regional factors that make Dubai property market stand out. Following are a few guidelines on buying property in Dubai:

• Dubai property sector is constantly coming up with new developments. Check out all of these before investing.

• It is a known fact that property prices in general have been on the rise in Dubai. At the same time, one must not forget that with a plethora of properties, one can easily find what suits one’s pocket.

• Dubai government has limited foreign ownership to a few areas in the emirate. So in case you are a foreign national contemplating to buy property in Dubai, be aware of all available options through a reliable property agent.

• Striking a good bargain is not so easy in this booming property market. But if you know the market thoroughly, you’ll be able to find investments with a good profit margin. So do not be hasty in taking the final plunge.

• Get conversant with the Dubai escrow law. It has indeed made life easier for the buyers, sellers and developers of Dubai property.

• It is also a good idea to rent out your Dubai property. Survey current rental scenario to maximize your chances of making profit.

• There is a vast pool of properties in Dubai that have not been tapped properly due to lack of advertising. Consequently, these are a good value for money. Jumeirah Lake Towers, Business Bay and Festival City still have affordable property units.

• There are areas in Dubai property that have still not reached their full potential. Invest some time beforehand to understand the state of the market and grab these.

• Off-plan sale/ purchase is a regular practice in Dubai property market. Off-plan property units offer good business potential as the prices are usually lower than those of completed projects in the same community. Be well aware of the nitty-gritties of such a transaction however.

• Buying property in state of the art projects like the Palm and the World might look a costly option at the moment but one must bear in mind that in the long run this is a profitable investment.