All Topics / Overseas Deals / Why invest in Dubai…

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  • Profile photo of dubaipropdubaiprop
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    @dubaiprop
    Join Date: 2008
    Post Count: 2

    Why invest in Dubai…

    • Dubai, without any doubt, is considered to be one of the safest cities in the world.
    • The least corrupt city in the region.
    • Safe and protective environment for families and women.
    • One of the lowest crime rates in the world.
    • Strategically located at the crossroads of three continents: Europe – Asia and Africa
    • Highest international standards for business, tourism and lifestyle.
    • Freedom from bureaucracy, freedom of living and freedom of speech.
    • State of the art infrastructure and world-class business environment.
    • No corporate and income taxes.
    • No foreign exchange controls, trade barriers or quotas.
    • No restrictions on capital repatriation.
    • Dubai is No. 1 business city in GCC countries, having strong investor incentive and protection and proud of having the fastest growing economy in the world.
    • The land of more than 180 nationalities and cultures, being a multilingual and multicultural city.
    • The fastest growing city in the region and one of the highest growth rates in the world for the last decade.
    • Presently, Dubai is developing the most spectacular building experiment on the planet, striving to break all world’s records in terms of: the tallest, the biggest, the largest…
    • After March 2007, when Law No. 7 legalized freehold ownership of land and property to expatriates in designates areas, Dubai became the No. 1 destination for investors from all over the world.
    • It is a tourism and high-class lifestyle paradise…

    Check out more Dubai Properties

    Profile photo of TerrywTerryw
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    @terryw
    Join Date: 2001
    Post Count: 16,213

    Hi

    Is it possible for foreign non residents to get finance to purchase in Dubai?

    Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
    http://structuring.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://Terryw.com.au/

    Profile photo of dubaipropdubaiprop
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    @dubaiprop
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    Yes if you have a job or a business in Dubai.

    For more details please fill in this online form

    Profile photo of MysteryMystery
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    @mystery
    Join Date: 2006
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    Geez, they are bargain priced …… lol

    I used the currency converter on the cheapest property I found on your site and it is $753,000 AUD for a 2 room or 2 bedroom I presume. Way over my risk factor ……. good luck

    Profile photo of FizzypoppFizzypopp
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    @fizzypopp
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    You can get finance from several sources. We work with developers who have some 10 or so banks in hand. Some will lend to non -nationals without Dubai status and without having a job there. There are also a growing number of 'Globally' known banks for want of a better word that will lend to a very wide range of nationalities.

    Not every country is catered for and applications must be submitted just as if you were buying investment property in your local country.

    We work with 10 developers and have all the details about finance.

    Paul

    Profile photo of FizzypoppFizzypopp
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    Mystery wrote:
    Geez, they are bargain priced …… lol

    I used the currency converter on the cheapest property I found on your site and it is $753,000 AUD for a 2 room or 2 bedroom I presume. Way over my risk factor ……. good luck

    Generally in Dubai you can enter the market for about $300,000 AUS or even less if you find units that have come back on the market. Some developers offer their agents stock units that are not on general release.

    In Ajman which is about a 20 minute drive North East you can enter the market for half this amount easily – and with reputable developers which are global concerns.

    The best time is to get in at the pre-launch level. We have just had one that started with a 7% discount on street prices.

    Note – commercial real estate has gone from around 1400 AED per Sq ft some 9 months ago to 2600 AED – 3600 AED with no trouble at all. And with sq ft prices still half of what you would pay in New York and a Quarter of that in London UK you might get an idea of the potential.

    Abu Dhabi is expensive but a market where property goes like hotcakes. One developer released 12 buildings today. 8 were sold out before they reached pre-launch status.

    Crazy perhaps – we still look at sq ft prices and it is below what you would find in comparabel cities like London UK, New York, Tokyo and Hong Kong. Lest not forget this is going to be a very large finanacial centre – perhaps the main one as the middle east seems to be propping up many financial markets as of now. Look at City Bank in the US – makes you wonder!

    Profile photo of investhutinvesthut
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    @investhut
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    Hi All,

    Nothing againt Dubai, but could not resist as I just came back from there.. I was born and lived in dubai before I came to Sydney. I have most family there.

    few things to consider which only an insider can tell u….

    1) its not democracy, its sheikdom… rules can change anytime… and as the ruling family sees fit.
    2) for same job, that an arab national does, a white person does or any other nationality. everyone gets paid differently..
    3) currently everything is over developed….. but little or no infrastructure in place to support it… yes the train lines are coming,,, but it needs more of everything..
    4) there are many many buildings which are sold basically to black money of the world… and most towers in dubai marina, palm jumeirah etc.. are mostly empty…
    5) the extreme weather, which everyone knows but living in 50 degrees is not easy..

    please consider both good n bad points. n i recomment do visit the place…… n decide for urself.

    InvestHut

    Profile photo of seckers_uaeseckers_uae
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    @seckers_uae
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    AH Finally a sensible response!

    Investhut speaks the truth! I have lived here myself for 6 years now and have only invested back home in AUS. All of his points are still valid (and true). Be VERY CAREFUL when doing business in the Land of Sand. No offence but Mr dubaiprop sounds very "salesman like".  I have some friends and work colleagues who have been severly "burnt" investing here, I also have some colleagues who have done extremely well they have timed the market correctly, it's all very risky and corrupt.

    I can confirm indeed that:

    1) its not democracy, its sheikdom… rules can change anytime… and as the ruling family sees fit.  – WHICH HAPPENS WEEKLY!
    2) for same job, that an arab national does, a white person does or any other nationality. everyone gets paid differently..  – READ LESS!
    3) currently everything is over developed….. but little or no infrastructure in place to support it… yes the train lines are coming,,, but it needs more of everything…  – EXCEPT WE NEED LESS CARS!
    4) there are many many buildings which are sold basically to black money of the world… and most towers in dubai marina, palm jumeirah etc.. are mostly empty…  – READ THE MONEY LAUNDERING CAPITAL OF THE MIDDLE EAST!

    Take care and good luck to all. 

    Profile photo of camel_81camel_81
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    @camel_81
    Join Date: 2003
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    some very valid points here and most of them require further education on what can be done in this desert land, even now it still holds many treasures, but if you do wnt to buy in dubai there is a somewhat simple rule, buy first hand property from the developer, so better do the financial homework first, come to dubai and purchase the property.

    and no you dont require to have a job or business in dubai to live, they will give you a residence visa upon purchasing a property, thereafter give the property to century 21/remax/colliers to manage the property.

    its easier to write but its very much possible.

    camel_81

    Profile photo of maxlakhianimaxlakhiani
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    @maxlakhiani
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    I would like to invest in dubai, need some leads.

    Profile photo of meakinmaster60meakinmaster60
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    For those interested in purchasing in Dubai-

    I have just taken the keys to an "off plan" property that I have been waiting for for 3 years.
    My thoughts are, that if you can wait that log, ok. but it was very difficult to deal with the "local way" of doing business.
    Yes- as mentioned they have a lot of infrastructure, but dealing with the devlopers there is another story.

    To cut a long story short- I was told a month ago that the apartment ( located in Dubai Marina) was 100% finished,

     I therefor flew over from France ( where I live), as its too difficult to arrange a "Power of Attorney"  ( docs must be in engish and Arabic, and must be signed by the principal MAN owner in front of a judge in Dubai) sorry ladies( thats the law)

    I then went to the apartment for an inspection of the property with the developer, and guess what….. "it hadn't even been painted yet" and there were on going works in progress.
    this was also with a well known major developer in Dubai.

    The construction work force, is usually from the "poorer" nations, therefor although they can build the 1000's of buildings that are springing up in Dubai at a rapid rate, the "finesse" in craftsman ship and the way of doing this is far behind the "aussie" standards.

    But, If you can pick the right location, have a good plan in place it can be a great investment.

     I still feel it will be one of the most profitable investments I have made yet,
    but you need to be patient and my advice is to go to Dubai and check it out. I have heard many story's of people buying unseen, off plan "cause its the next hotspot" and yes…. they are getting burnt.

    Many of the developers offer a "residancy permit" for the primary "MALE" buyer ( sorry ladies) but having an Aussie passprt, really unless you actually want to live in the hot dessert its not worth the fees and the grueling medical you have to go through( in a small tin shed hospital)
    with and Aussie passport you can stay upto 60days.

    Insurance over there is a new things also due to the middle eastern ways, so please check about that. if you think your developer has insurance…. "she'll be right/ I 'm sure they do  attitude" you might just want to check with the developer and get it in writing.

    i only came back form Dubai a few days ago and would be more than happy to share some advice etc,

    I have a great agent that works over there for me, with a reputable, and western company.

    but I think the 21% ROI that I am to recieve in cash, paid twice a year into any bank account I want is a good thing to go through the hassel with.

    Dubai is great!! it really is,

    hope this helps,

    J

    Profile photo of meakinmaster60meakinmaster60
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    Sorry-
    Just reading through some of your posts,

    They won't  just give you a visa.
    You have to fill lots of paperwork, go for a very uncomfortable medical, you must come back to the UAE a few times every year to keep it valid, and you need to pay a few 000's AED every year for it.

    Like I mentioned in my big post, please do your ground work, asses every option and the investment will be amazing.

    and expect delays……. lol oh it was so much fun! haha

    J

    Profile photo of bardonbardon
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    @bardon
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    a post from another forum on Dubai property investment

    Ok, I live in Dubai and have done for 3 years. Here is my take, for what it is worth.

    Dubai is a bubble, plain and simple. That you could have made money in the last 5 years is not in question. That there might still be profits to be made is also a real possibility. Like any bubble, the expansion can go on far longer than anyone thinks. It did in the US. It did in the UK. The fundamentals are the same. Cheap money, far too much cheap money. Dubai has IRs of negative 10%. That does not bode well for sustainability.

    The problem is that from a business point of view, the inflation is killing Dubai's business – well, anything other than oil or construction. Tourism will suffer through higher prices, and expensive air fares. Anyone trying to do media or software development and believed the sheikhs could offer 'a stable low inflation environment' knows that Dubai promises can be broken.

    I am also fascinated by some people's convictions that the Dubai government can somehow prop up property prices and 'won't let it crash'. There was a very similar sentiment about the local stock market a couple of years ago. But crash the prices did. Spectacularly. Bail outs from the UAE or Dubai governments? Nope. Nada. Caveat emptor. Buyer beware.

    Dubai may have a big disneyworld soon in the shape of Dubailand. It is sunny for much of the year and there are still even a couple of beaches you can get to that have not been taken up with some sheikh's villa or a 5 star hotel.

    But who wants to live long term in a country where you cannot view news about the UAE on the internet, unless it is good news, because they censor the internet? Who wants to live in a place where you cannot have a drink without getting a license and going to a poncy 5-star hotel instead of a decent honest bar? Where you cannot hug your girlfriend in public? Where inflation is 20%? Where the roads are populated by drivers whose skills vary between Mr Magoo and a suicide bomber?

    I am looking for a nice 4-bed house with a pool to retire to with a mrs and maybe some little georges in a couple of years when I sell my company. Do I…

    a. spend close to a million quid to live in a third world country, nestled between some of the most fanatical and dangerous countries/populations in the world, where the government can change the rules overnight without any consultation and where you will always be a second class citizen as a foreigner and where any growth is purely inflationary such that real growth is possibly already negative (unless you believe the govt inflation figures of less than 10%, which no one does)

    b. spend 200k GBP for a spanking big house in florida, down the road from the actual disneyworld and not some pale islamic compliant approximation, with fantastic beaches, where english is spoken, you have rights and a proper legal system to protect your interests, and are not in the middle of the future battlefields of ww3 and you are free to say the president is an idiot with the full force of the law and the constitution to protect you?

    No one from a free country who has lived in the UAE for more than a couple of years sees it as anything more than a way to make some money and run. No one sees themselves here in 5 years time, let alone 10.

    Is there money to be made from property in Dubai? Sure, the bubble might run yet. But anyone who thinks long term Dubai has anything to offer that is better than developed western countries is dreaming. The inflation will kill it as a business prospect long before it gets there.

    The people talking down the prospects of a crash are using the same tired lines they used in the US, UK, Spain and Ireland…"no, this place **really** is different from those others". Cheap money = bubble = inflation = crash.

    These are fundamental laws of economics. The higher the oil price, the higher the inflation. The only thing that could save Dubai long term is a floating currency and massive interest rate rises to squash inflation. But the guys running it genuinely believe that somehow inflation will all just sort itself out, even though they're pumping up the money supply by 40% per year. The heat must be frying their brains.

    Profile photo of haiderbaighaiderbaig
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    Dubai was not built in a day or week, if it was a bubble then it would have been exploded long time ago when Allied forces Attacked Iraq and UAE was the nearest target and the hub of all logistic.  I am still living Dubai and I am a foreigner, Tourism has not suffered but increased the tourist to this place .  The Current Kingdom is not only managing the economy but has also invested their own billions and trillions to keep the stability of this country and that is the reason business tycoon like Donald Trump and others have invested in Dubai property. Airlines fares has increased all over the world just not in Dubai and that’s was after 9/11. There is no limitation or regulation Free-Hold Purchase, The reason you will find local Sheikh to the most of the prominent property is because they have more money. If you will find more Australians Property Owners in Sydney then foreigners then no  question should be asked about it as its their land. Dubai offers you 99 years Residence Visa and 100% Freehold Ownership. This country has become the Hub of the world and the most liberal place. I am property consultant and have travelled to more than 37 countries in last 7 years. My own family lives in Sweden but I have never faced problem living here.  Dubai business growth is fastest in the world right now and as we all may aware that 70% of UAE Population is Foreigner and rest is Local ppl.  BTW I still unable to use my skills to understand your reasons for hating DUBAI which is mentioned below

    You cannot kiss your “Girl Friend” in the public place(is this a demand or a desire?). “Suicide Bomber”  There has not been a single Suicide Bomber ever in the history of UAE. You just want to say “idiot” to your president (but why do you want too!). Government change policies overnight. No government prime minister can call you personally and ask your permission for change in policy. Dubai policies are stable. Interest is 20%, Interest rate is only 4%

    I strongly belive that you must have had landed in some other country not in dubai..your statement shows you had a bad experiecne and you sounds biased..

    UAE IS AN IDEAL PLACE FOR PROPETY INVESTMENT

    Haider
    Property Consultant
    UAE

    Profile photo of seankseank
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    sounds too dodgy and risky to me – why invest in an unknown, when you can profit in your own country.

    Profile photo of Robert GavinRobert Gavin
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    @robert-gavin
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    Dubai is a fair option but for our company does not offer deals there because:

    1. Finance options not yet mature.
    2. Rental market- prices are too high for those living there and supply far outstrips supply
    3. Immigration is slowing as prices escalate

    I feel there are far better places to invest at the moment such as Eatern Europe and Malaysia.

    Both options have a Real sustainable indigenous population as well.

    Profile photo of Carl.AlexanderCarl.Alexander
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    Overdeveloped…..will take decades to normalise.

    I can think about hundreds of better cities to buy into.

    Profile photo of yarposyarpos
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    @yarpos
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    only spent a brief period there and it felt like an artificial movie set plonked in the middle of desert,  bit like Las Vegas without the fun.   In any case I already invest in Dubai,  I buy petrol.

    Profile photo of erikkoerikko
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    being an "open city", Dubai is also the place wherein business opportunities are abundant. but  if you're thinking to live in Malaysia, finding a Malaysia Property is hard  so you need something like a middlemen to fix this things for you

    Profile photo of ZorzanZorzan
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    I had a colleague go to Dubai and was mixing in the circles that were selling projects.  The construction was roaring ahead in some cases past scheduled milestones for which certifications hadnt been given.  Has anyone considered that? The building has been signed off properly? or construction rushed so quickly by imported workers from Philippines and India to meet time frames?  The other thing is when he asked me to look up some sites eg. a simple VOIP dialing site these sites were blocked "for religious and moral reasons".  Why on earth would you want to live or do business in a country controlled by such censorship.  PS. I have never been to Dubai so I am just basing this out of conversation with my work colleague.   I dont usually comment on a country unless ive specifically been there but it was just that I had someone over there i was corresponding with so others may seek to clarify my comment.

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