The flourishing of the Dubai real estate market has started since 2020. As the government managed the situation with the pandemic restrictions quickly and effectively, the demand for stylish real estate only increased. Property in United Arab Emirates for sale attracts more and more foreigners annually. Businessmen prefer to invest their capitals in popular neighborhoods, like Downtown Dubai, Dubai Marina, Palm Jumeirah, etc. It remains to understand how profitable such investments are in the current situation in the real estate market, and which areas of the city are the most attractive investments.
The state of Dubai’s real estate market
Foreigners who have decided to invest in real estate in Dubai have the right to purchase any type of property in a freehold zone. The economy of the country does not depend on oil anymore so the government introduces pleasant conditions for foreign buyers.
Speaking about the development of the real estate market in early years, we can observe the next movements. The biggest jump in housing prices was between 2002 and 2008, when apartments and houses almost quadrupled in price. The global crisis forced them to fall again and the recovery period was only in 2013-2014. It is with this peak that the situation in 2021-2022, when the increase in demand caused a significant rise in property prices. Only for February of this year, apartments have risen in price by 25.5% and villas by 15.5% compared to the same period last year.
Prices on real estate in Dubai
Dubai and other emirates of the UAE are usually associated with richness and luxury. For this reason, most buyers expect to face enormous prices on properties. But the situation is not so straightforward. Apartments and houses for sale may be divided into economy (from $120,000), comfort (from $400,000), and premium (from $1,000,000) segment. So, it is possible to select a housing unit suitable for your budget and desire.
The cost of an apartment or a villa depends on several significant factors, like location, footage, number of amenities, available infrastructure, and many others.
Best neighborhoods for investments in Dubai
Dubai Marina is a small district located near the island of Palm Jumeirah. The area offers residential as well as commercial objects at reasonable prices. The neighborhood provides 6% ROI in average, still the percentage may change due to the furnishing of property and season.
The district is a good place for permanent stay as well. All necessary infrastructures are in near proximity from any residential building.
Business Bay is an internationally known business centre in the Middle East. Regardless of the fact that a huge portion of a territory is built up by commercial and trading development, the residential complexes are available as well. Most residential real estate in the area consists of apartments, but it also offers villa complexes.
The neighborhood provides about 5% ROI and welcomes those who are looking for business opportunities combined with comfortable living conditions.
The iconic neighborhood welcomes foreigners with families as well as young specialists. The area features stylish residences and premium hotels. Besides, the versatility of infrastructure and entertainment venues impresses. Palm Jumeirah studios, apartments and luxury villas are sold and rented out. Many objects offer stunning views of the Persian Gulf.
Return on property in Palm Jumeirah ranges from 4.12 to 5.84% per year, which is highly beneficial as the neighborhood features almost the highest prices on the real estate market.
The neighborhood of MBR City may be described as the city in the city. The territory offers everything you need from huge parks with lavish greenery to international schools and other establishments. Many buildings in MBR City are still under construction, so it can be difficult to move into a finished apartment quickly. Also, there is no subway line to the area, but there are bus routes. The area is close to the main streets of the city: Sheikh Zayed Highway and Al Hail Highway.
MBR City provides about 5% ROI and offers a variety of off-plan objects for foreign investments.
The choice of real estate in Dubai is predetermined by many factors. Location is one of the most important. The official website Emirates.Estate represents a wide selection of liquid properties of high quality. Open the website, look through the variants, compare the prices and select the home of your dream.