I hope you have had a relaxing week. This week we have been discussing with clients the incredible yield that is achievable by choosing a short-term let model in Dubai.
As a sun-filled city with a wealth of attractions such as the Burj Khalifa, Palm Jumeirah and Ras al Khor Wildlife Sanctuary to name but a few, Dubai is an ideal city to choose for holiday lets, with many developments including swimming pools, children’s play areas, tennis courts and other five-star hotel-style amenities to attract tourists.
If you are interested in exploring short-term let investments in Dubai, reply to this article today.
Now, let’s take a look at all the headlines that caught our attention this week. I always try to summarise the links to save you from having to click through.
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Property Headlines This Week
- Indian Buyers Flood Dubai Market in Anticipation of Tax Hike – Ahead of a substantial tax increase on outward remittances from India, set to begin on July 1, 2023, Indian investors have rapidly boosted their investments in Dubai’s real estate market. They made up 20% of all real estate transactions in Dubai in Q1, 2023, investing close to $2 billion. The rise in Indian investments is primarily due to a pending tax increase from 5% to 20%, excluding education and medical purposes. This tax hike has prompted investors from all segments to expedite their investments in Dubai’s property market.
- Pre-Construction Real Estate Sector Boosts UAE Property Market – Despite a 33% drop in transactions last month, the UAE’s real estate industry remains robust due to a 42.5% YoY surge in off-plan sector sales in April. These pre-construction properties are attractive to investors, offering up to a 10% ROI, and are supporting the market amidst a wider slowdown attributed to factors such as Ramadan and shortened working hours. The UAE’s economic stability also draws overseas investors. Furthermore, a growing trend for green developments has seen a rise in demand for properties with lower carbon emissions.
Dubai Penthouse Sells for Record-Breaking Dhs420 Million – A new record for the most expensive penthouse sold in Dubai has been set at Dhs420 million ($114 million) within the Marsa Al Arab project, breaking the previous record of Dhs410 million ($112 million) for the Bulgari lighthouse on Jumeirah Bay Island in February 2023. The sale of the Marsa Al Arab Penthouse, which spans 24,628 square feet and features a private pool and 360-degree ocean views, underscores Dubai’s robust luxury real estate market. The Marsa Al Arab Hotel, where the penthouse is located, offers proximity to a newly built superyacht marina, accentuating the luxury experience.
That is all we have for you this week. If you have any comments or questions on this week’s news summary then please feel free to send us an email at [email protected] – if not, see you next week.