Dubai is certainly a popular location amongst people who are looking to buy investment property – and it’s not hard to see why. It’s a well-known fact that many people have made themselves extremely wealthy by investing in Dubai’s property market, and the good news is that the future for the region is looking good, with tourism expect to grow to record levels over the next five years in the build up to the Dubai EXPO 2020.
Why Should You Buy Investment Property In Dubai?
There are many different reasons why Dubai is a very attractive proposition for property investors. From the healthy performance of the property market, strong rental yields and the opportunity of locally tax-free investment, through to the huge choice of exciting new developments, Dubai is an ideal place for people looking to buy investment property. It was recently reported that Dubai is expected to see $200bn invested in projects over the next decade.
Despite the problems of a few years ago, the property market has performed very well in recent times, with a growth of around 25% in 2013 and continued rises in 2014. There is also a strong demand for rental properties and high rental yields, plus a diverse range of investment options. Indeed an increasingly popular route is investing in hotel accommodation, which has been made attractive by the growing popularity of Dubai as a tourist destination. In addition, another obvious key benefit of the Emirate is Dubai’s tax set-up, which offers investors the opportunity of locally tax-free investment.
In many ways the booming property market is a reflection of the success of Dubai as a whole. It has firmly established itself as one of the world’s leading business centres, with many of the world’s biggest and wealthiest companies now having a strong presence in the city. Indeed Dubai’s reputation as a global business hub has only been enhanced by the news that it has been chosen to host the World EXPO 2020, an event that is expect to pull in 25 million visitors from around the world and is likely to bring a surge in demand for properties.
The Dubai property market has also been fuelled by tourism. Dubai is now one of the most popular destinations for people going on vacation, with MasterCard’s latest Global Destination Cities Index claiming that Dubai could become the world’s top destination for tourists by 2020. The Dubai Department of Tourism and Commerce Marketing (DTCM) has announced that it hopes to attract 20 million tourists a year by that date, which could mean significant growth for the hotel sector. When you also factor in the enviable hotel occupancy rates, it is clear why hotel investment in particular has become a big part of Dubai’s success in recent times.
Investors looking for lucrative opportunities could do a lot worse than choosing to buy investment property in Dubai. Whilst no investment provides complete certainty and it is hard to predict the future, there appears to be every reason to believe that Dubai is a good place to invest.