You may think that we have lost interest in the property in Dubai but you’d be wrong. We’ve just been busy looking at other markets around the world where there is also growing opportunity. But yes, we have neglected Dubai’s real estate landscape but now we’re back on the case.
If you were thinking that the heat had gone out of the market or something, you’d be wrong – and in this article we’ll seek to remind you why buying property in Dubai can make fantastic fiscal sense!
The fact of the matter is Dubai has sunshine for 365 days of the year – give or take the odd freaky day when it rains! And as a result it is a year-round resort and it is a very popular winter sun getaway. This means there is tourism based potential in the emirate which can equal property based potential for those looking at a fly to let investment approach.
There is an awful lot to attract a visitor to Dubai – for example, it is a leading retail centre, (bit of an understatement), and the Dubai Shopping festival is the pinnacle of the shopping extravaganza that Dubai embodies! But it is also a leading sporting hub – you can participate, play or just be a spectator. It’s developing the Dubailand themepark alongside the many feature parks, water parks and other tourism-centric activities and amenities that it already has which make it appeal to a very broad base of visitor thus increasing the underlying level of demand an investor could target and profit from.
Dubai is a business hub par excellence – this means there is massive demand from a high-grade professional tenant for commercial and residential real estate in Dubai. This demand is increasing…
Despite rapidly advancing real estate prices in recent years, a certain maturing of the market and levelling off of property prices has ensured that strong rental yields are the norm for the market. Demand is forcing rental rates to rise faster than house prices in many sectors of the market…this is exceptional news for investors who wanted to enter the market now it is more established but who were afraid they would be entering too late to gain strong rental income.
There is no tax on rental income, nor is there any capital gains tax – this is good news for property purchasers. There is strong demand and an easy sales process making an exit strategy easy and yet viable. And finally, if you do buy property in Dubai you get a residency visa!