Dubai is one of the most progressive cities in the world with a multi-ethnic population. Due to its loyal foreign economic and tax policy and consistently high quality of life, it is an attractive investment platform for wealthy foreigners. But, like any other purchase, such an investment has both disadvantages and advantages. Below we will tell you in detail about each of them.
Benefits of Buying Property in Dubai:
Often, when choosing investment assets, the key factors are their cost, reliability, and return on investment. These criteria are relevant when evaluating securities or bank deposits.
But for buying real estate in Dubai , this approach is clearly not enough. When investing in apartments, you need to assess not only the local real estate market but also the quality of life, economic indicators of the state. Talking about the advantages of Dubai, one cannot fail to mention the high business activity, attractive warm climate, and transport accessibility.
Before diving into the details, it’s important to grasp the fundamentals of real estate. Real estate refers to land, including any structures or natural resources on it. It encompasses residential, commercial, and industrial properties. The value of real estate is influenced by factors such as location, condition, and market demand.
Climate and tourist Attraction:
The city is located on the shores of the Persian Gulf. The city has over 345 sunny days a year and is one of the hottest in the world. The average air temperature in summer is +40 degrees C, in winter – +23. The seawater temperature rarely drops below +25. In addition, severe storms in the Persian Gulf are extremely rare. The constant summer, sandy beaches, and well-developed tourist infrastructure make it an ideal year-round resort.
Easy Transport Accessibility:
Dubai is a developed modern city with an abundance of both domestic and international transport. From the local airport, you can easily get to anywhere in the world. Moreover, the Dubai airport is located within the city limits, due to which the transfer to the final destination can take no more than half an hour. Dubai and Moscow are in the same time zone, which greatly simplifies the flight process for Russians and eliminates the need for further adaptation during long journeys. Note that today direct flights to Dubai are possible not only from Moscow but also from other large cities such as Samara and Yekaterinburg.
For comparison, to get to Antigua and Barbuda you have to survive a flight from 16.5 to 32 hours with 1-2 transfers. The city airport cooperates with such airlines as Emirates Airlines, Flydubai, Aeroflot, Transaero, S7, and others. Emirates Airlines and Aeroflot operate two regular flights daily on the Moscow – Dubai route.
High Quality Of Life in Dubai:
Despite the fact that Dubai is located on the edge of the desert, it belongs to a highly developed ultra-modern metropolitan area with all the ensuing advantages. The city is filled with shopping areas, business centers, restaurants, etc. In 2020, the world exhibition Expo-2020 will be held, which is predicted to attract more than 25 million tourists.
The entertainment infrastructure, as well as the hotel and restaurant business, works to its maximum potential. Another striking advantage is transportation. In Dubai, you can find both the usual buses or taxis and unmanned metro cars.
The roads themselves deserve special attention. Special attention is paid to the quality of the roadbed and the convenience of transport interchanges. This is not surprising, because in Dubai there are more than 1 million cars per 2 million inhabitants.
According to the results of the Worldwide Quality of Living Survey, conducted by the British company Mercer Human Resource, the city is ranked 75th in terms of quality of life among 221 world cities.
In terms of infrastructure development, it took 35th place in the ranking. For comparison, New York is ranked 49th and 35th, respectively. According to the version of the Legatum Institute, an independent London expert council, the UAE was recognized as the most comfortable Arab country to live in. Also, the state was included in the TOP-50 rating of the best countries in the world.
High International Business Activity
The city has an extremely advantageous geographical location. Namely, it is located at the intersection of sea and air trade routes between Asia, Africa, and Europe. And given the fact that the city is not only a popular resort but also a metropolis with a developed transport network, this makes Dubai an ideal place for international transactions of any scale.
Both the current Dubai International Airport and the new Sheikh Maktoum Airport are located within the city. Upon final commissioning, it will become the largest in the world.
According to Airport Councill International, the city’s international airport ranks 4th in the world in terms of international passenger traffic and 6th in terms of international cargo traffic.
Dubai International Airport is among the ten largest, but it is the only one to boast double-digit growth rates over the past two years. It serves over 130 airlines flying to 220 destinations, which is
In most cases, bank checks are used for this. Using fake checks is a criminal offense under local law. Such measures allow you to minimize the risk of non-receipt of payment.
Disadvantages or Difficulties You Can Face When Buying property in Dubai:
Before making a deal, you have to consider all the pros and cons. For example, when planning to buy a Dubai apartments, you need to understand that in addition to the cost of housing, you will have to pay for agency and representation services, and then keep the apartment in good condition all year round. And this is not to mention the fact that in order to conclude property transactions, a foreigner must have an appropriate visa. Let’s consider all these points in more detail.
Visa Regime:
As mentioned above, in order to live in Dubai, foreign citizens need to obtain an appropriate visa, but it is not available to everyone. Such a document can be obtained by: homeowners worth at least 1 million dirhams (if the value of the real estate is less than the specified amount, then the presence of housing cannot be a sufficient basis for assigning a residence), founders of companies whose authorized capital is at least $ 5,500, employees of local companies, students studying within the UAE. The law also provides for obtaining a family visa from relatives who are citizens or residents of the UAE.
Local Cultural features:
Dubai is one of the most foreign-friendly cities in the world. Many cultures and nationalities coexist here. But despite all this, the UAE is officially a Muslim state. This fact imposes noticeable restrictions on behavior in public places.
Property Maintenance:
All homeowners in the emirat:es are required to cover the costs of its maintenance. Payment amounts can be set by the management company or the Owners Association (if formed). The payment includes the costs of cleaning common areas, building security, garbage collection, maintenance of infrastructure elements (parking, swimming pool, gym, etc.). Depending on the location and class of apartments, average utility costs can be $ 20- $ 80 per sq. M.
Difficulties In Obtaining a Loan:
Due to the global financial crisis, which to a greater or lesser extent has affected almost all countries, UAE banks are extremely reluctant to issue mortgage loans to non-residents. Today, mortgage loans are issued mainly to public sector employees, employees of large companies with a good business reputation.
