It is not a secret that whatever success level you achieve in your different types of careers being trading, acting, well employed and salaried, etc.; your wealth management success is not considered solid if not backed with real estate related investment/s. Nevertheless, the needs for Real Estate Investments can differ from one investor to another based on many factors like budget, geographic location, spoken languages, freedom, religious practices, diversified options for living and working, targeted schooling, sought after lifestyle, and many more; but there are basics which create the common ground for the relationship between every property and investor.
In order to be able to clarify these basics we have to differentiate between two types of investors:
1. An End User Investor. “EUI”
2. A wealth management Investor. “WMI”
The first type “EUI” should be acting around the following chronological order:
• Existing Savings “for down payment”.
• Stable income. “Salary, income generating assets, business, etc.”
• Financial planning. “Budget and Financial Capacity”, “Cash Flow Projection”, “Cash injection / Home Loan”.
• Setting a financial backup plan.
• Research and study. “Choosing the location, features and property type that falls within your price range and goes along with your financial planning”.
• Search and selection process.
• Final selection and Completion.
The second type of investors “WMI” are usually acting around the following chronological order:
• Defining the budget for investment and type of this budget “Cash injection / Finance options”.
• Defining the time frame for the capital injections “Cash Flow Projection”.
• Setting a financial backup plan for periodic capital injection.
• Defining the risk ratio and targeted property portfolio.
• Setting the ROI target “Rent + expected Appreciation”.
• Search and selection process.
• ROI Verification process.
• Final selection and completion.
Whether you are “EUI” or “WMI” and you have not done yet any of the aforementioned, it is a must to contact a professional Property Consultant to give you a helping hand.
The homework is done, the budget is set and the target is crystal clear, How to take the right action and crown your hard work?
1. The first step when buying a property in Dubai is to ensure that your finances are in order and you know how you will be purchasing the property and that you are ready immediately to go ahead and grab a good opportunity.
2. The second step is to sign Buyer-Agent agreement with ONE professional property consultant, and draw with him/ her the map of interests and strategies.
3. When looking for a property, it’s all about location. You need to find an area that suits your individual needs, such as essential facilities in the local area, public transport and local schools. If you are purchasing a property in Dubai for investment your property consultant can help you understand what features are important to those renting, to help you yield higher rental rates.
4. When your property consultant understand your requirements and needs from a property in Dubai he will arrange viewings to suit your needs, ensuring that your time isn’t wasted visiting properties in Dubai that are a mismatch to your needs.
5. Then your Property Consultant should prepare a Study Analysis by which he clarifies the logistics and available services of the selected area, the price comparison criteria, and an estimate of the potential growth of this area and the negotiation strategy.
6. The property market in Dubai is fast moving, if you like a property you Welcome to the new world of Dubai Next Article: (Why Dubai – Tourism). “An Interview with a Happy Holiday Seeker”. have to make a decision and place an offer as quickly as possible to avoid disappointment. It is very common to see hot properties in Dubai listed and sold within the day.
7. When your offer is accepted on your new property in Dubai your property consultant shall get started on preparing the paperwork immediately for you. As long as the required documents are prepared and in order this will be a smooth process.
8. Your Property Consultant will then arrange for a No Objection Certificate (NOC) to be signed between the developer, buyer and seller which is to be done at the developer’s office.
9. The final step is the transfer of ownership from seller to buyer and issuance of the title deed. This part of the process is to be completed at the Dubai Land Department Trustee’s office.
Now you should congratulate yourself that you have followed carefully studied steps and selected a perfect place in Dubai. You have proudly changed your financial status from a Spender to Money Maker.
What makes Dubai the most attractive real estate investment destination in the world today? Key advantages for investing in Dubai:
• Peace of mind, living with up to date E- Government.
• The utilization of most advanced technologies is reflected through every life aspect.
• Enjoying the luxury living of award winning and successful celebrities. “Keep your eyes wide open, a celebrity is passing by you every day”.
• Living in the hub of future manufacturing.
• Dubai is the sought after success of every business mind.
• Dubai is the elites’ cozy fantasy and ultimate serenity.
• Dubai is the Future financial stability, And solid security for every money maker.
• Dubai is a fertile soil for innovation and the best existing platform for implementation.
FACTS & FIGURES
• In March 2016, Savills World Research report rated Dubai as the most ‘affordable’ city to purchase a home in compared with to other major international hubs such as London, New York, Hong Kong, Paris,Mumbai, Singapore and Sydney.
• In May 2016, Knight Frank, the UK-based consultancy, said in a statement to Emirates 24/7 that $1 million (Dh3.67 million) could buy 155 square metres of prime property in Dubai compared to only 17 square metres in Monaco, 21 square metres in London, 20 square metres in Hong Kong and 39 square metres in Singapore.
• It is no brainer that, with the above figures in mind, the potential appreciation in property values purchased today in Dubai will be as attractive as these figures.
• Global Property Guide states that the gross rental yields in Dubai are among the highest in the world, with smaller apartments offering rental income starting from 7.21 percent.
In comparison, gross rental yields in Hong Kong stand at 2.82 per cent, India 2.22 percent and Singapore 2.83 percent, while London is between 2.72 percent and 3.20 percent.
• Dubai has reached a new phase of maturity and stability. Thus, sustainable growth is a definite destination as witnessed today by every investor’s compass.
• Dubai Land Department has set solid measures and tactics to control the real estate market and to give the investor rights that do not exist in most of the cities in the world.
• Some Financial institutions in UAE are ready to finance up to 50% of the property for none-residents as well as financing off-plan properties. This is because they recognize that the attractive figures and values of these properties and expected ROIs are unmatched.
• Enough said.
Welcome to the new world of Dubai
Next Article: (Why Dubai – Tourism). “An Interview with a Happy Holiday Seeker”.
You can also find this on Property Time Magazine (April Edition 2017)