As the world worries about oil prices and regional conflicts, the stability seen in Dubai and the United Arab Emirates and its diversified economy continues to attract investment. This continued vision for diversification of the U.A.E.’s economy, and strong population and tourism growth continues to place Dubai as the principle hub of commerce in the MENA region.
In 2016, with increased stability in the real estate markets, many see an opportunity to move their capital into real estate. In particular into there are now more emerging areas of the city which are receiving healthy rental yields and capital growth.
At the end of 2015, the Dubai Land Department (DLD) reported it had recorded 33,907 real estate transactions worth Dh186.34 billion (USD50.73 billion) during the first nine months of 2015.
The report confirms that the real estate sector in Dubai is heading towards sustainable growth. This can be ascertained from the continual increases from one quarter to the next, which have been a feature of the market over the last two years, said Sultan Butti bin Mejren, director-general of DLD.
Such numbers reassures investors, and maintains market momentum and its ability to pump new investments, especially with projects that help Dubai to prepare for Expo 2020. As the market is now enjoying sustainable growth, we will see rewarding increases in the sales and rental prices, which means ensuring the satisfaction of all the players in the market,” he added.
Bayut.com CEO Haider Ali Khan said the price stabilisation in Dubai, coupled with steady or rising rents, has made the emirate’s real estate a better-than-ever proposition for buyto-rent investors.
Rents from small and medium-sized apartments average USD 22 per sq. m. per month, while large apartments rent for a little less, at USD 21 per sq. m. per month.