From my many years of experience in the real estate sector, the one question I am asked most often is “What is the best time to invest in property?”
The real estate sector worldwide witnesses expected cyclical changes as a result of its direct link to overall economic performance; thus, the prudence that investors practice when investing their hard-earned money in property is justifiable.
Compared to other global cities, Dubai has continuously surprised and out-performed when it comes to its real estate sector with consistently robust growth prospects. Despite the strong projections of increased supply, demand for real estate in Dubai will continue to thrive, which is why the right time to invest in property in the Emirate is now.
There are many economic fundamentals that support this. The first is the long-term growth prospects of the economy. Already outperforming many cities globally with an impressive 3 – 3.5 percent GDP growth, Dubai is positioned to leverage the benefits from Expo 2020 — expected to welcome more than 25 million visitors to the city next year.
Further, the economy’s core sectors are performing exceptionally. Tourism continues to grow, with over 4.75 million visitors arriving in just the first three months of the year — a growth of 2 percent over the same period last year — according to the Department of Tourism & Commerce Marketing. Similarly, retail, hospitality, aviation, logistics, and digital enterprises are thriving.
With continued growth in population and the city’s growing reputation as a business and leisure hub, Dubai serves as a safe haven for international investors, reflected in the increase in the number of international investors in Dubai’s real estate sector.
According to Dubai Land Department, the total value of real estate transactions in the city increased 33 percent to AED 24 billion from January to May, compared to the same period last year.
Driving investor confidence is also the strong regulatory environment in the city. Most recently, Dubai Land Department announced that real estate developers are obliged to pay rents to customers should the construction of their residential property be delayed.
With adequate regulations in place to protect customer interests, investing in property now is a shrewd decision that will bring long-term returns. Additionally, being part of a high-growth economic environment makes investing in Dubai an ideal choice.