Why to invest

Property is cheap on an international level

Property is cheap in absolute and relative terms. For example at this moment, an average villa will cost around $1,000 per square metre in comparison to the London Docklands where it would cost $5,000 per square metre. There are very few modern cities in the world where high-standard property is priced so low.

Foreign Ownership

Dubai is in the process of creating an international property market from scratch, with foreign ownership of freehold only introduced last year. Thus buyers are given an exceptionally good deal to encourage them to be pioneers.

Buy - Rent

Any long-term resident can expect to pay out a fortune in rent, and that money would be better invested in a property. In addition, it is presently up to 40% cheaper to buy than to rent, therefore buying a large villa costs the same as renting a small one. The 10% down payment on a new villa is the same as the upfront annual rent payment. Rental yields of up to 10% are achievable in Dubai compared to less than 5% in Central London.

Returns for Investors

Properties are appreciating steadily at the rate of 10% - 15% per annum, (for some developments this is even greater). It is estimated that by 2009, based on current growth, your initial financial investment is expected to at least double.

Tax Free Income

Dubai is a city where a lot of people earn high tax-free salaries and are in a position to support higher house prices. This is a city with a 20-year track record of strong economic growth and will continue to attract foreign and regional inward investment. Most importantly there is no capital gains tax in Dubai.