The Dubai freehold real estate market has already made a lot of money for those who got in early and invested wisely, but what about now? Is there still the potential here to get rich? Or has the boat well and truly sailed? The good news is that money is being made, and can still be made here! The only problem is that it now requires a little more expertise and knowledge. But this is where we intend to help you out!
Firstly, when looking through the many property sections in the papers, look out for % premium listed with every property. It will probably be a rather large number! Some property in Dubai has now achieved a seven fold return on the original price. Therefore the premium will give you an idea of how many times the property has changes hands, and how much the price currently stands at above the original purchase price. You of course want to look for properties with the lower premiums, as they will have the larger growth potential.
And to side step the whole problem of premiums and high prices you could look to investment in new developments not yet built. This off plan property direct from the developers offers a great investment opportunity, but new developments appearing on the market are becoming less frequent. And if current construction delays are anything to go by, it could be a long while before these properties are complete. However the beauty of investing here is that in some cases you need only have paid 10% of the properties price before being able to sell it on. So with only having paid a fraction of the properties worth, you are able to sell it on at a profit! This really does give the potential to make a large amount of money without even having to invest that large an amount of capital.
And then consider Dubai property is only at the beginning of its plan to become the world's premium tourist destination and regional business hub. With Business Bay, The Burj Dubai and Dubailand, Dubai looks set to continue its extraordinary growth. Others have speculated that the market should have seen a downturn by now, but the Dubai market is unique in a number of regards, and therefore looks set to defy the doom mongers for a while yet.
Therefore if you invest wisely, you really have the opportunity to make a good deal of money here. Now it's over to you.
Very intriguing Mark. Somewhat daunting... but intriguing. I will spend a bit of time looking around your different links later on today. Would love contributions from you when my new blogging site is launched (through the RealEstateTomato.com). Site will be called BuckingtheRealEstateTrend.com - - will keep you posted. Thank you.