As of late, affluent investors particularly from the US, among other nations, have been anteing up to invest massive amounts into Dubai’s property sector, which also continues to be a front runner for hot investments flowing in from other European nations.
US investors have been eyeing high-profile residential and commercial Dubai properties for a while now, and according to a recent publication by the Dubai Land Development, about 75% investments are flowing in from foreign investors.
US Investors Have a Lot Riding on Dubai Property
Dubai is rapidly emerging as an investment hotspot for foreigners belonging to not just the US but Middle Eastern, European and even African regions as well. Many investors who have a lot riding on Dubai properties regard it as a business and investor-friendly commercial hub where there’s no tax to worry about and the fast-moving lifestyle appeals to just about any high net worth individual you could imagine.
In the first quarter of 2015 alone, the UAE real estate market exceeded $3 billion, according to a report by the Dubai Land Department. The average listing price for Dubai luxury properties is currently close to $6 million – 8% of which are listed in the uber-prime range of over $10 million.
Luxury Residential Property + Tourism = Investment Haven
At the moment, US investors are most interested in villas for sale in Dubai including other hot properties in the residential and commercial luxury market. The awareness and appeal of it all is steadily growing as the number of American firms investing in Dubai’s infrastructure continues to grow. It’s interesting to observe how Dubai is often mentioned as a wealth hub in the same conversation as New York or London, when it comes to investments.
A new trend that’s gaining momentum in the luxury residential property sector is investing in areas that lean heavily on tourism. Dubai certainly ticks this box, especially as it prepares to host the World Expo in 2020 – tourism has been projected to hit an all time high, with an estimated 25 million visitors it will be drawing in during it’s six-month run.
Investing in the Smart City
The way this current investment trend is moving, the quality of living is only going to rise and mark Dubai’s place on the globe as a “smart city”. With time, residents can experience and enjoy much higher levels of connectivity and completely uninterrupted access to government services.
From a property investment perspective, this means more investors getting in line to handpick Dubai as a luxury property investment hub, and investors from the US in particular seem to be among the first ones getting in line.
Planning to Invest? Here’s Why You Absolutely Should
So why is Dubai such a lucrative investment hub? After all, if this is your first time getting your toes wet in a major investment, why should Dubai be on that list? Consider these:
- Dubai is completely tax-free; there’s no income or capital gain tax whatsoever
- The tourism industry continues to grow to a lucrative level, inviting all calibres of tenants
- The weather is moderate all year around; ideal if you also want to live in Dubai
- Very low crime rate; safe city to live and work
- Investing in properties and apartments for rent in Dubai will see you enjoying a good chunk of rental income along with a favourable equity increase in a short span of time
- 5-year turn around in the booming property market is a very good ROI
Make all your investments and transactions easy as cake and completely hassle-free. Get in touch with our agents at ezEstate to have all investments options clearly laid out in front of you and make the process a breeze from start to finish.