Dubai has long been a fan favourite for investors seeking overseas property deals. While Dubai did feel some of the effects from the fallout of the global recession in 2007/2008, the Dubai property market is very much back and at the forefront of investors’ minds.
Here are some of the reasons for investors to consider buying into the Dubai property market:
Dubai will host Expo 2020
The next World Expo is already scheduled and planning is well underway for Dubai to host the event in October 2020. More than 25 million visitors from around 180 countries are expected to attend the event and this has boosted the construction sector. Savvy investors are buying up property near the venue, knowing that for a period of 6 months’ millions of visitors will need somewhere to rent. With rental income already high, the market is about to be taken one notch higher.
Dubai cares about happiness
In 2016, the government created the Ministry of Happiness. The role of the ministry is to improve the happiness of residents living in Dubai. Many governments focus on economic growth, though social wellbeing is equally important for long term prosperity.
Dubai offers a great ROI
With the city’s population increasing year on year, we are seeing signs of a more mature property market. With investors more educated, we are seeing investors buy up property and help bridge the gap from the increased demand for rental property. Equally as important is the food security, since 90% of food is imported into the region, hydroponics is being billed as the solution
Tourism is a big contributor
The economy of Dubai is booming, thanks to the tourism industry. Dubai is billed as the ultimate luxury destination and new hotels and property projects have been forged thanks to the tourism industry.
Extremely low levels of crime
Dubai has a reputation for being safe and with many nationalities in Dubai it is a melting pot of talent that want to get on in life. For expats considering living in Dubai, one of the major attractions is that safety is well and truly in the bag.
Dubai is at the forefront of technological design and human advancement. We have seen incredible feats of engineering over the years, with one very exciting project to look forward to. Hyperloop One is preparing to launch the world’s first Hyperloop system.
The goal is to provide transportation from Dubai to Abu Dhabi in just 12 minutes. The current duration is 90 minutes in the car.
No yearly taxes
Dubai’s property market is tax-free. When buying a property in Dubai you will not pay any tax and most importantly you will not have to pay additional taxes in the future.
Non-resident property owners are not subject to income tax on any gains made from renting or selling on their property. This puts Dubai at the top of the list for international property investors, since the margins are practically zero versus buying and selling a property in other markets with say a 10% tax.
Population is increasing
With the population increasing each year we are seeing more and more projects launch.
This is very much about keeping up with the demand, landowners are releasing land for development as and when the market is willing to pay their price. The population is expected to double in size from 2016 to 2030.
FJP Investment is a team of investment specialists sourcing a wide range of investment opportunities both in the UK and overseas. Learn more about the Pegasus Agriculture Investment, headquartered in Dubai.