Five reasons why you should invest in Dubai real estate
![Five reasons why you should invest in Dubai real estate](https://ggfx-handh3.s3.eu-west-2.amazonaws.com/i/hh_Dubai_Investment_blog_image_1_dc062c60cd.jpg)
If you haven’t yet considered Dubai for property investment, the emirate is booming and the market data is pretty persuasive.
Across the world the name Dubai conjures up luxury cars, deserts, beaches, record breaking attractions, and super tall buildings (the world’s tallest tower Burj Khalifa is pretty hard to miss). It’s a holiday hot spot for sure.
But it’s also a city ripe with investment opportunity. The glittering metropolis is thriving economically and socially, and has ambitious plans for the coming decades thanks to its visionary leadership.
Here are a few reasons why this booming sunshine city should be at the top of your investment list.
An ever-growing city
From ambitious expansion plans to a thriving economy that grew over 6% in 2022, the landscape for Dubai property investors is looking brighter than ever. Over the next five to ten years, the city is forecasting ongoing growth and an increasing population – great news for those looking to invest in the property market.
Incentives for investors
Dubai is well known for attracting global investors with continuous incentives such as Golden Visas for property investment, easy processes for overseas buyers, convenient payment plans, and flexibility in banks' lending criteria. Continued government backing for opening businesses and tight real estate regulations make it even more appealing for investment.
Soaring numbers
Residential properties in Dubai offer superior rental yields (about 7 per cent) and even higher returns for short term leasing. This is significantly higher than cities like London and New York, which see around 2.5 to 3 per cent. Combined with rising demand and a strong potential for long term capital growth, it’s the perfect environment for property investment.
Taxes? Not a problem...
This is perhaps one of the most appealing aspects of Dubai and the UAE in general. There is zero tax on personal income, capital gains, and wealth – and only 5% Value Added Tax (VAT). Starting January 2023, the 30 per cent tax has also been removed from all alcohol purchases in Dubai. As an investor, not having taxes will definitely make a difference in your revenue.
A safe environment
With a very low crime rate, Dubai is often ranked as one of the safest cities in the world to live. Over 200 international schools, an industry leading medical system, stunning real estate projects, and year-round sunshine are just some of the aspects that make it so appealing for home hunters and travellers (Dubai saw a whopping 23M visitors in 2022 alone).
You don't have to live in Dubai to invest here, but having such a fantastic environment and lifestyle options will help boost your investments regardless of where you're based.
These are just some of the many reasons why Dubai is one of the hottest cities for property investment. Interested in knowing more? Read our Dubai Real Estate Investment Guide for 2023 to get market insights, interesting projections, and professional advice from our team of property specialists.
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