The first reason in the list of top five better reasons to buy property in Dubai is capital appreciation, as proved by data given in 'The Hub Report 2015' by an international real estate consultancy Knight Frank.
Having compared housing prices in major cities around the world over the last five years, Knight Frank experts revealed that Dubai outperforms other world centers such as London, New York, Singapore and Hong Kong, in terms of property capital value growth. Emirate's premium property prices increased by 59% during the latter period, while in London prices saw an uplift of just 52%, in New York prices raised by 47%, and in Hong Kong prices increased by 31% during the same period.
Besides, and this is the second reason to invest in Dubai real estate, the emirate remains one of the safest world’s locations, with ultimately convenient geographical position, providing easy access from and to anywhere in the world, and with strong economic prospects.
“Wealthy continue to be attracted to Dubai due to the fact that it remains one of the safest locations in the world, with excellent connectivity, strong economic prospects, a low tax regime, and strong lifestyle factors,” Khawar Khan, Research Manager at Knight Frank Middle East, in a press statement.
Knight Frank report also says that, according to IMF forecasts, the UAE economy will outperform the likes of other developed countries such as Britain, the United States and Germany in 2015-2020. Thus, economics is the third powerful reason to seriously consider Dubai as your second home.
The fourth reason for buying property in Dubai is rental income. Rents can provide up to 7.5% of yields; and Dubai will soon outperform other world centers in terms of this kind of profits. Besides, rental income in Dubai is not taxed, as in many other countries, which gives landlords additional benefits.
“Moreover the emirate has established itself as a safe, family-friendly and low tax environment – which combined with its connectivity to other global centres – has been attracting the world’s growing population of high-net-worth individuals. Naturally then, demand for luxury residential property has been gathering momentum,” the report said. Thus, this is another good reason to consider Dubai as an investment destination.