A couple of decades ago there was no such country as UAE and Dubai was a small village where people used to do fishing. Nowadays Dubai is famous for its world records, luxury, and newly erected buildings. Wherever you go there are skyscrapers and high-class hotels being built. There are magnificent yachts in the gulf and expensive cars on the road. Dubai’s growth rate is astonishing and it would be incorrect to ask whether you should or should not place your money here. The question is where to invest in Dubai?
Certainly there are lots of opportunities for investment in Dubai which quickly became an important trade center. But among the most attractive spheres is real estate, and there is a number of reasons for it. First of all real estate is stable in comparison with stocks and shares. Besides unlike shares, a building’s or an apartment’s value cannot fall to zero, it always has a residential value. Real estate properties’ return may be not so high but it’s regular.
Reasons for Investing In Dubai
Another question is why invest in Dubai? There is a whole list of reasons. Dubai is world’s fastest growing economy. Quality of life is improving, new workplaces are emerging. Besides being one of the world economy’s centers the city attracts hundreds of foreign companies. All that means that the demand for real estate will keep rising.
New constructions – office and residential buildings, hotels – are being erected throughout the city. There are both ultramodern high-class skyscrapers and modest buildings. The key benefit of placing money in the real estate market of Dubai is lower prices in comparison with other large trade hubs. However specialists predict a stable rise in prices which stimulates reselling property.
The fact that in 2020 Dubai is going to hold the World Expo 2020 should also be taken into account. The upcoming event already fueled the region’s economy quite a lot. The number of tourists and business people who visit Dubai annually is rising, and in 2020 during the trade fair the city will have to take in about 25 million of guests. Tourism and hotel business will benefit the most.
Dubai Is a Low Risk Investment
Another advantage of investing in Dubai is comparatively low risk. The real estate market here is regulated by the authorities and law which protect investors’ rights. Besides the UAE is a stable country from both economical and political points of view. So one should not expect surprises. Taxation policy is another attractive factor for investment: rental income is not taxed.
Finally you should pay attention to tourism and hotel sectors of the city. Dubai is a very attractive resort area, and demand for temporary housing is expected to be high. Dubai attracts lots of tourists annually due to its pleasant climate, warm sea, and high-quality service. Tourism makes up a considerable part of Dubai’s GDP. In other words if you are wondering where to invest in Dubai, one of the best possibilities is real estate market.