Bullet-Point Property: Dubai No. 69
A few developers in Dubai spend millions of dollars promoting their projects to investors here in the UAE and internationally, and a few years ago, the sales message was all about low price per square foot but now it's about low entry prices.
"Quoting a total price rather than price per square foot is a mere marketing strategy targeting first-time home buyers with one figure, giving a clearer picture on affordability without the need to have to calculate the size multiplied by the priceper square foot. Savvy investors, however, look beyond the total price or price per square foot. They look for great locations, reasonable unit size, practical layouts, decent quality, fair payment plans, affordable down payments, easy mortgage payments, well-connected infrastructure, good amenities/facilities, the developer's track record, and, of course, the potential total returns on the investment," informs Haider Tuaima, head of real estate research at ValuStrat.
This weeks property discussions have included:-
- The developer of Jewelz claims a return on investment (ROI) of over 15%,and now we know how they hope to achieve that figure. They have a six-yearinterest-free payment plan whereby the end user or investor pays 46% between now and handover in March 2020 and the balance of 54% over four and a half years (54 x 1% per month) with the majority owed to be coveredvia the rental proceeds. Studios available from AED 483k (£95k), one bedfrom AED 803k (£158k) and two beds from AED 1.078m (212k) – this payment plan is the main attraction and will be popular with first-time buyers hoping to escape the rentals market
- The Grand Residences launched last week, and the pricing was lower than I expected for these super-luxury homes, located on the water's edge near to the heart of the Creek Island in Dubai Creek Harbour. This will be the tallest and most impressive residential building amongst its neighbours so definitely worth taking a look at the one beds starting at AED 1.2m (GB£235k), two beds at AED 1.6m (GB£315K), three beds at AED 3.6m (GB£709k) and we even have a four bed on the 61st floor at AED 6.27m (GB£1.2m) see The Grand At Dubai Creek Harbour Brochure
- Town Square is about to release a new cluster of townhouses within this increasingly popular community. The publicity for this launch has been on overdrive, and I have lost count of the number of agents emails and calls received promoting the Naseem Townhouses by Nshama The starting pricesof AED 1,228,888 (GB£250k) warrants an overwhelming demand from investors and end users for these popular and affordable homes.
- My preference for homes in Town Square continues to be the apartments in Rawda where one beds start at under AED 700k (GB£137k) and the tw0 beds at AED 930k (GBP£183k)
- Have you seen the architectural gem set on the Eastern Crescent of the Palm Jumeirah? It is a collection of just 46 apartments and four penthouses designed by the 2017 Pritzker Prize Laureates.
- We have a couple of one bedroom apartments and a two-bed apartment in Belgravia 1, JVC. They are rented at the moment and yielding over 7% net per year. Read all about the building here and do let me know if you want more information on availability and prices
You can view some of our sales and rental listings here
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Have a great weekend