Property investment is a traditional tested-and-true financial scheme which allows buyers to use real estate purchases as a means of generating profit out of the original market value. As decades passed on, more innovative investment instruments provide more alternatives to generate wealth without having physical assets to hold on to.
Nevertheless, property investment continues to remain in the industry, as houses and residential interests continue to grow throughout the last decade. In Dubai, increasing numbers of real estate developments has been providing more opportunities for local and foreign investors to start sourcing for early projects which will provide substantial returns in the near future.
Dubai, as it is also called the Land of Opportunities, is known for its investment potentials in the real estate industry. However, the best real estate investments usually come in the form of off-plan purchases of projects. Off-plan projects by Dubai Properties are amongst the most lucrative, as their upcoming development plans revolve around commercial and residential suites closely enveloped by abundance of amenities and facilities.
Notable residential community projects under their names are the Villanova Dubailand, Serena Dubai Properties and Mudon Dubai communities. Investing in off-plan developments usually results in easier financial loans from bank lenders, which helps promote these upcoming development projects to the general market.
By investing early on an off-plan project, a buyer is looking at purchasing discounts which will provide more profitable gains upon nearing completion. This ensures more profitable capital gains for smart-minded investors who understand the local industry very well. Furthermore, buying off-plan may also be the only way of acquiring an upcoming unit as newer development projects are usually sold off, nearing their completion dates. This is particularly true for off-plan projects by Dubai Properties as shared prior.
Another contributing factor of buying an off-plan project is that the period of development helps in gaining capital growth of the property itself, especially around areas of community focus. Knowledge of the local economy is always a helpful attribute towards making fruitful investment decisions.
This is especially true during the initial development of Madinat Jumeirah Living by Dubai Holdings. In its off-plan stages, Madinat Jumeirah Living was open for initial purchase to both domestic and foreign markets at a certain price level. Fast forward to 2019, it is now an exclusive residential hub overlooking Dubai’s tallest hotel, the Burj Al-Arab!
Investment decisions rely on factors pertaining to the local economy, general market, price dependencies and potential capital growth. Property investments require sound judgement on these elements prior to investing money wholeheartedly. However, investing early into its development cycle also plays a major role in identifying the worth of your potential investment in the long-run.