As the New Year approaches, the off-plan real estate sector is looking more and more promising. While it is true that off-plan sales was generally flat in 2019, the future seems to be brighter at the turn of a new decade. Continue reading to gather more information before you buy a property for sale in Dubai.
Before the end of 2019, the off-plan segment is seeing a comeback. Not only that, but most experts predict that the good numbers are going to continue and even increase within 2020.
There are at least three factors contributing to the success of off-plan projects.
The first factor is the decision of the UAE Central bank to remove the 70-year age limit for the last mortgage repayment. This decision is believed to let more customers apply for a loan and meet mortgage requirements easier.
The second factor is the removal of the 20 percent cap on real estate lending for banks. This regulation has been too restrictive to the point that a lot of eligible loans have been turned down due to the 20 percent cap. With its abolition, the Central Bank can now choose to impose restrictions on a case by case basis.
The third factor is the upcoming Expo 2020. It is among the biggest commercial and industrial events where millions of people gather in Dubai to showcase their products and services. The Expo 2020 is seen to stimulate the UAE’s economic growth and boost commerce in the region at the same time.
All these factors, when combined, create an economic environment that is conducive to the thriving of the off-plan industry. It sets the stage that makes off-plan projects more attractive to many investors. Thus, it is no surprise if we see more and more people who want to buy apartment in Dubai or any type of property in the near future.
In addition to the factors already mentioned, developers offer a wide range of deals, flexible payment plans, promos, and discounts for people to consider off-plan. Generally speaking, the biggest advantage of off-plan projects is that they are cheaper and have historically higher return of investment compared to other real estate products.
As of today, there are various off-plan projects that are heating up in terms of sales. These include beachfront communities such as Emaar Beachfront, Palm Jumeirah, and Jumeirah Beach Residences. A strong indication that off-plan projects are doing well is La Vie, which has already sold all units available.
Moreover, looking at the townhouse communities in Dubai, you will quickly see noticeable growth. Off-plan projects in the townhouse sector are seeing an increased number of sales in the last quarter of 2019. Villas for sale are also not far behind, showing some robust sales since the middle of the year. Among these projects are found in Dubailand and Dubai Hills Estate. Dubailand has quite some projects to look at including affordable townhouses in Rukan Lofts starting at AED 575,000 ($156,539).
With the off-plan segment poised to take on higher sales volume, you might wonder how you can better take advantage of this trend. Thankfully, you can talk to one of the best real estate agents of Rocky Real Estate.
We have a solid background, knowledge, and experience to help you explore the UAE’s real estate market and give you buying property advice. Discuss to usyour needs, preference, and budget today. See for yourself how Rocky Real Estate can make a huge difference in your investment portfolio.