In this blog post, we'll cover some of the key factors to consider when buying a new home in Dubai.
Before you start looking for a new home in Dubai, it's important to set a budget. Dubai is known for its luxury properties, but there are also more affordable options available. Determine what you can realistically afford and stick to your budget. This budget can aim to buy a home for you to live in or in other common cases seen in Dubai as investments for holiday homes, in this case for example the budget would vary depending on the areas you’d choose to invest in for holiday homes.
Another two common types of budgets to be considered are the ones that are to be deployed in the areas you plan to invest in, if you plan to flip the property. It's important to look into returns depending on property of over 100% returns. It is also not fresh news that Dubai is the most sought after metropolis in the world right now and that has led to a lot of foreign interest in the stunning and forward thinking developments that this city produces. So for those looking into being able to say that “ they own a property in Dubai” , pride assets are what would come to their mind immediately. With new areas being developed at the speed of light, with branded residences and other independent developments, to be able to make the right choice one step to be considered requires you to be one step ahead and we recommend staging your home when calling out renters or investors. It's good to know how to stage your home on a budget as that can help attract a lot of investors.
Dubai is a large city with many different neighborhoods, each with its own distinct personality. Considering what amenities are important to you, such as schools, shopping centers, and public transportation, you can choose a location that is convenient for your needs. For example you may be looking for the best family-friendly communities in Dubai which are in close proximity to nurseries and parks. A community like Jumeirah Village Circle would easily stand out with its rich choice of outdoor facilities for kids, nurseries and more. If you are a newbie in town and just moved for that extra push in your career, then you might be looking for the right areas to invest in as per your salary. The DIFC - Dubai International Financial Center for example is known for white collar professionals as most investment firms and law firms are established there. If you are working at the creative helm you’d perhaps wish to stay close to media city with areas like Dubai Marina for example being a great choice.
When buying a new home in Dubai, it's important to research the developers you’re considering. Look at their track record, previous projects, and reviews from other buyers to ensure that you are working with a reputable and trustworthy developer. Dubai’s famous developers have helped to create the city as the top destination for quality of life, but have you even thought about what it takes to bring what was once a dream to reality? Who are Dubai’s 5 top developers and what is their history of excellence? These are commonly asked questions and we urge our buyers to also look into before investing their money into a new property. Many have come and gone and many have reinvented themselves with the progress of the city. A great example is the overhaul of Damac & Nakheel.
As the city continues to grow and cater to all different tastes and wishlists and many that see the need to be different and bring innovative ways are smaller independent developers. Some of the most sought after projects in Dubai are developed by them and we have created a list of independent developers to keep on the watch list.
Many developers in Dubai offer payment plans for new homes, so be sure to ask about the payment options available to you. Consider the down payment required, the payment schedule, and any interest or fees associated with the payment plan. The process to financing your home in Dubai has changed quite significantly over the years with more regulation to protect both developer and buyers. It is quite impressive to see how financing a home has transformed in Dubai. Whiltest mortgage is often the route many choose, there are several other options such as developers finance and more. Allsopp & Allsopp’s own mortgage division supports clients in every step of the way enabling a smoother process when buying a home. Although, we do recommend brushing up on mortgages by reading through a guide to mortgages in Dubai. This helps you stay ahead in the market and have the know-how on how mortgages work in Dubai.
When viewing a new home in Dubai, pay close attention to the quality of construction. Look for signs of shoddy workmanship or cheap materials, and ask the developer about the construction methods and materials used. Everyone seems to have a specific set of desires when buying a new home such as a property with open-space with natural light amongst other things to consider when investing in a property.
If you already have your first home and are now looking for a second income, holiday homes could be the answer. And if you’re curious on how to turn your investment into a holiday home, the process could be quite crucial, from investing in solid repairs, staging the apartment and maintenance - as you have to make sure you can maximize return of investment and bring those 30% ROIs seen in some areas/properties.
If you’re buying a property in its off-plan stages and it's almost set for handover, make sure to ask the developer about the estimated completion date for your new home, as handover isn’t predicted a year or two years in advance. Delays in construction can be common for new off-plan projects, so it's important to have a realistic timeline for when you can expect to move in. Recently, Dubai’s off-plan market skyrocketed by 58% and that means off-plan projects are popping right left and center in dubai and the building pace is somehow nearly enough to maintain the demand . With so many new off-plan projects on the horizon its important to select the one that the timeline falls within what your requirements are, being those for investment properties or one for you to call it home
Buying a new home in Dubai involves a lot of legal paperwork, so it's important to work with a qualified real estate company like Allsopp & Allsopp to ensure that everything is done correctly. Make sure to understand the legal requirements for buying a home in Dubai and ask any questions you may have. In case you didn’t know, you could also take the assistance of a sales progression manager to help you move through your sale quicker, and we recommend that you consider it!