Investing in off-plan properties in Dubai has gained popularity in recent years amongst both local and international investors. The two crucial reasons for this rise in investment in Dubai’s off-plan properties are the attractive benefits the developers offer and the hike in Dubai’s real estate market. A property that is still under its construction phase while the buyer chooses to make the purchase for the property is known as an off-plan property.
In Dubai, off-plan properties are available across a wide range of prices in a variety of properties, ranging from ultra-luxury apartments and villas to affordable houses by reputed developers.
Dubai’s growing, from being a top emerging market for FDI in the Middle East to the vision of doubling the size of the economy in the next decade. Hence creating a perfect time for investors to invest in Dubai’s real estate market and be a part of this booming economy. And this is precisely why it is crucial to have a thorough understanding of off-plan properties.
What are off-plan properties in Dubai?
Off-plan properties are projects that are in the process of being constructed (construction phase) and investors can buy them during the construction phase. The Investors who choose to invest in off-plan properties in Dubai have the option to go through the floor plans, artistic impressions or visual tours before investing in the property. And once the construction for the property is completed the investor can take possession of the property or lease it out.
Advantages of selecting off-plan properties in Dubai for investment
Listed below are the advantages of selecting an off-plan property,
Potential for Higher Returns
Investing in off-plan properties can be a smarter move for those looking for higher returns on their investment. There are multiple reasons to off-plan properties having the potential for higher returns like lower prices, capital appreciation, rental income, and much more.
Option of Customising
Usually, the deals for off-plan properties are done on the floor plan and visual aids making customisation ab easy option. The buyers get the flexibility to customize the property’s design and layout, allowing them to create their own living space that meets their requirements. The customisation option depends on the developer.
Flexible Payment Plans
Most developers offer flexible payment options when it comes to off-plan property in Dubai. Usually, a downpayment at the time of purchase followed by multiple instalments and payment at the completion of the project is the pattern for the payment of off-plan properties.
Modern Amenities
With the world advancing at a rapid speed, there are new updates in every sector every day. And the same is real estate and amenities. These new projects offer modern amenities that are top-notch like swimming pools, gyms, landscaped gardens and much more. With an intention to help residents unwind.
Reduced Maintenance Cost
While an off-plan property comes with modern amenities that are installed recently. This results in reduced maintenance costs as these properties are less likely to require expensive repairs and upgrades in the immediate future.
Early Access
Investing in off-plan properties in Dubai can provide investors with early access to exclusive properties that are yet to be released to the market, providing an advantage over other buyers.
Capital Appreciation
Dubai’s real estate market has shown consistent growth in recent years, and investing in off-plan properties can provide an opportunity for investors to capitalize on this growth potential.
Now that what is an off-plan property and the advantages of choosing an off-plan property are clear. Here are answers to a few commonly asked questions on off-plan properties in Dubai.
How to buy an off-plan property in Dubai?
To buy an off-plan property in Dubai you need to do the research and finalise the property that suits your budget and other requirements. Sign the reservation agreement followed by making the down payment and the required instalment. Later you need to sign the sales and purchase agreement get the property registered and take possession. Or you can contact Silver Oak Properties to guide you through the process.
Can foreigners buy off-plan property in Dubai?
Yes, foreigners and nonresidents of the UAE can buy property in Dubai as Dubai’s property market is open to all.
Can I sell my off-plan property before completion?
Yes, it is possible to sell the off-plan property before the completion, but you should meticulously go through the agreement before the purchase and figure out the developer’s policies regarding selling an off-plan property before the completion and the fines related to same.
What happens if the developer is corrupted?
RERA has implemented various measures to ensure that off-plan projects are completed by the developers. RERA (Real Estate Regulatory Agency) is a regulatory body introduce to regulate the smooth functioning of the real estate sector. One of these measures requires the developer to have full ownership of the land that is associated with the project.
Finally, investing in off-plan properties in Dubai can be an excellent opportunity for investors looking to own a property in the city. However, it is crucial to weigh the pros and cons carefully before investing. Investors should also work with reputable developers, consult with property experts and lawyers, and conduct thorough research to make informed decisions. With the right strategy, off-plan properties can provide high returns on investment and be a source of pride and joy for homeowners.
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