Why Invest in Dubai Real estate market

With an ever-growing population and thousands of foreign workers relocating to Dubai annually to expand their careers in a safe, cosmopolitan, and global trading hub, it is hard to miss why Dubai is a haven for real estate investment.

Following the issuance of the long-awaited foreign property ownership decree in 2002- which allowed non-UAE citizens to own property in Dubai- the city has witnessed a massive construction boom attracting overseas investors into the city’s property market.

Today, Dubai offers many investment opportunities in the housing sector, whether for ready-to-move-in properties or a long-term investment.

Dubai is primarily known for its Rental Yields which allows investors to create a safe and a performing portfolio in physical assets. For a lot of investors it means retirement income and for many also means the wealth they can create for their children and family. In Addition, due to the continuously increasing volume of tourists, the property demand has surged high which allows the investors to create short term rental portfolios meaning 12-14% rental yields yearly.

Investors can also remotely manage their property investments through property management companies or real estate agencies without hassle.

Dubai remains one of the world’s most attractive investment destinations due to its stable economy, strong financial fundamentals, and ability to constantly find new opportunities for growth.

(Source  DLD) Dubai Real Estate had over 84,196 real estate transactions in 2021 worth almost AED 300 billion. The value of these transactions is the highest its ever been in the recorded history of Dubai Real Estate. Compared to 2020, the volume of transactions grew by 66.3 percent and the value of transactions grew by 72%.

Year-on-Year increase in value was 110.19 percent, increase in sales volume was 74.77 percent.

59.6 percent of sales transactions were in the secondary/ready market and 40.4 percent were off-plan.

Key Trends

Sales Value: Off-Plan vs. Ready Properties

Off-Plan Properties

• Sales value increased from AED 47 billion in 2009 to AED 83 billion in 2023, marking a 76% increase over 13 years, or an average yearly increase of 5.8%.

Ready Properties

• Sales value escalated dramatically from AED 4.4 billion to AED 42 billion, indicating an 854% increase over 13 years, or a staggering 65% average annual increase.

Reasons to Invest in Dubai Real Estate

• High Rental Yields (Short term/Long term)
• Regulated Market
• One of the top 5 Tourist Destinations Globally
• Growth oriented Vision of the government
• Safety
• Easy process
• Financing options accessibility
• Residency offers against investment

IF you need more advisory on how to achieve your investment goals, please contact us!