Rising up from the Arabian desert, Dubai’s impressive skyline is something quite remarkable, punctuated by the towering Burj Khalifa – the tallest man-made structure in the world – and soaring residential skyscrapers. Home to the largest artificial islands in the world, the city is awash with luxury shopping malls, high-end supercars and is frequented by the wealthy – and is a bona fide playground of the rich and famous that is only growing in popularity in 2023.
One of the seven Emirates of the UAE, and incidentally, one of the richest destinations in the world, its wealth a result of firstly the pearl industry, which was its main source of income for nearly 200 years from the 1770s until the 1930s – and later, oil – although today, the majority of its GDP comes not from this, but from the production of goods, provision of services, and quite significantly, tourism.
Over recent years, Dubai has become an increasingly popular destination amongst affluent property developers and investors, the latter in part due to the fact that Dubai real estate comes without the added burden of annual property tax, capital gains and rental revenue taxes and value added taxes. This, of course, holds huge appeal for those eager to make sizable investments in the city or boost their financial portfolio, and means there are some substantial returns to be made.
But not all investors are looking to purchase high-end properties to rent, and with free trade and zero income tax making Dubai also a popular hub for business, many are seeking to relocate to this opulent region of the UAE permanently themselves.
The gateway to the east, Dubai is well connected to almost everywhere in the world, with a vast schedule of international flights coming in and out of the city, and is a regular stopover spot for jet-setting business travellers flying in to make big money deals – which has made it easier than ever before for expats eager to stay put in the city to do so without disrupting their professional endeavours.
And now, with a host of breath-taking luxury property developments springing up in some of Dubai’s most highly sought-after locations, there’s never been a better time to invest in a slice of prime real estate.
Increasingly, we’re seeing investors plump for off-plan luxury apartments and homes – something that has been made more accessible than ever before thanks to the introduction of CGI and virtual reality, which allow potential buyers to take virtual tours and get a realistic picture of what their finished property could look like – as well as being given the opportunity to have significant input into the end result to ensure that it suits their tastes.
Here are three of the biggest reasons to consider seeking out a luxury off-plan apartment for sale in Dubai in 2023 if you’re keen to elevate your investment portfolio to all new heights.
Lower prices and superior payment options
One of the major benefits of purchasing an off-plan property in Dubai is, of course, the fact that prices are often lower than those of finished properties, and combined with flexible payment options, it makes them all the more appealing to investors. Property developers tend to be more competitive on both factors when it comes to selling off-development luxury apartments and homes, even if they are near to completion and almost ready to move into – giving investors a significant advantage.
Higher capital gains
The value of an off-plan home increases during the construction process – which means those who invest in a slice of luxury real estate early on stand to make some substantial gains without having to do anything at all. Whether you plan to live in your property or rent it out, this is an easy way to boost the value of your portfolio – and the option to sell your off-plan property at or before completion means it can also be a quick way to turn an easy profit – and even more so if purchasing property in an underdeveloped area that is being regenerated, as value can soar dramatically as the project progresses.
Excellent rental yield
Unsurprisingly, property rental yields in Dubai are high, and with an ever-increasing influx of expatriates, combined with a surge in the number of UAE residents relocating to the city for work purposes, the demand remains high. With this in mind, buy-to-let investors can stand to make some excellent gains and build a generous income stream through renting luxury Dubai properties bought off-plan.
