Are you looking for the best returns of investment? Research
Here in UAE, there are a lot of options that you can choose from when it comes to the right investment. But if you’re looking for a strong return of investment, the UAE real estate offers the best. Compared to the global average, returns of investments for apartments for rent in UAE remain higher. Rental yields for Abu Dhabi and Dubai offer more than double compared to major cities in the world like New York, London, and Paris, according to industry analysts.
During the second half of 2018, International City in Dubai improved its gross returns from 9.2 per cent to 10.1 per cent due to the growing demand caused by those migrating from other emirates. Other notable areas in Dubai which offer rental returns between 8 and 9 per cent are Dubai Sports City, Al Quoz, Town Square, Dubai Silicon Oasis, Jumeirah Village Triangle, Green Community, Dubai Investment Park, and Al Barsha. 4.5 per cent returns are in Downtown, followed by Al Sufouh, Mirdiff, Old Town, and Culture Village. According to the data, even the lowest ranked areas of Dubai offer higher returns than the average 2 to 3 per cent rental returns offered by major Western cities.
When it comes to townhouse and villas for rent in Dubai, Town Square has the highest rental return at 7.2 per cent, followed by Jumeirah Village Circle, Reem (Mira), Mudon, and The Springs. Rental returns between 2.3 per cent and 3.4 per cent per annum are for the villas in Palm Jumeriah, MBR City, and Emirates Hills.
Since more developers are becoming flexible in terms of payment by offering post-handover payment plans and other flexible options, landlords will be highly-attracted to invest on a property and get it rented. As the real estate market continues to mature, we could expect this trend to keep going on for the years to come.