The start of the year 2017 was a period of equilibrium for the Dubai real estate market. The industry has noticed a few key trends in terms of the investments.The sentiment across the market remains largely positive. Dubai continues to be a mature real estate investment destination in the region with a diverse pool of investors.
Real estate transactions in Dubai jumped to Dh77 billion in about 20,000 deals in the first quarter of 2017, a 45 per cent spike in value compared to the first quarter of 2016, as per the Dubai Land Department.
Due to property laws with greater emphasis on value and income rather than overnight capital gains, Dubai has become a safer place to invest. We see more investors from both traditional and un-traditional markets placing interest and even considering buying a house in Dubai as their second home.
High-end locations are becoming a dream investment area not just for investors but for end-users as well. A large number of buyers displayed interest in buying a house in Dubai Marina for the best waterfront properties, further adding to its charisma. Major attractions remain the priority and favorite among buyers.
Residents who were renting a house now turns to buying a house, and joins the investor profile as properties outside the busy districts are offered at an affordable rate and flexible payment plan. The shift to studio apartments and one bedroom apartments are a key priority for developers, which help address the needs of the growing family market. The housing demand in the coming decades will be from nucleus families with working parents, as opposed to large families.
Apart from office spaces for rent, there is also an increasing demand on office spaces for sale. Apart from being an asset – a solid investment, it saves company expenses and provides more freedom for companies to control the interior design. Office spaces are now created to be purpose-built to suit the needs of modern-day corporate work forces. Most of these are located in Business Bay and along Sheikh Zayed Road. These locations are in the heart of business activities in the emirate.
With the continued growth of tourism, more income generating opportunities evolve in the Real Estate landscape. The concept of “Holiday Homes” is becoming an industry in Dubai and something to watch out for if you have plans in investing.