Built properties worldwide hold greater value as they offer the confidence of acquiring a completed unit in hand. However, Dubai has set the trend for off-plan properties by making them an easier way to acquire property in a short span of time.
Here are a few compelling reasons to buy off-plan properties in the city of Dubai.
1. Looking for long-term investments with large profits? Then, go in for off-plan Dubai property. Why? Because such units offer you the chance to buy a unit at a low price and gain maximum returns when you sell it later, without having to bear any costs associated with actual home ownership.
2. Low risk: When you purchase off-plan properties that offer an on-completion payment scheme, most of the risk falls on the developer. This drives developers to complete the project diligently and on time, mitigating risk for you as an investor.
3. Legal protection: The Emirates have solid plans to turn the city into a world-class and sustainable city through mega infrastructure projects such as the expansion of the airport in time for the huge Expo 2020. As the number of visitors, investors and residents increase, demand for buying real estate will also rise. The government has introduced numerous laws to ensure legal compliance when it comes to off-plan property investment. For instance, some of the protections offered under Law 8 of 2007, which will require developers to register their off-plan projects with Dubai Land Department and Real Estate Regulatory Agency (RERA) prior to promoting or selling. In addition, construction progress must reach at least 20 percent completion prior to commencing promotions.
4. Increased ROI: Sell your off-plan Dubai property prior to project completion, cash in on capital growth and avoid the costs of actually owning the property. Moreover, there is also the advantage of a fixed or locked in price, which enables you to enjoy appreciation of the total value of the property while making the payment in stages until the project is completed. To top it all, many developers are waiving off the 4 percent registration fee to buyers and rolling out monthly payment schemes such as “capital guarantee” and “money back”.
5. No rush to move in? Are you an employed individual or a businessman/businesswoman who wants to invest intelligently and purchase property at a price lower than the market price of similar ready units? If so, grab an off-plan Dubai apartment/villa. On the other hand, if you are looking to derive instant returns from your investment, view a property and envision your future living within it, then ready units are what you should be looking at.
6. Have the cash to put away for a long-term investment? Then, buy off-plan properties. However, if you have a short-term outlook and are looking for quick returns, then go in for ready properties that offer fast profits through rental yields and capital gains.
7. Off-plan properties are usually offered at lower prices, and their payment plans are more attractive than those of ready properties. This way, you enable yourself to pick up off plan property in Dubai at a significant discount and secure financing from lenders.