With the massive developments taking place in Dubai and a result of the large projects that have been undertaken, Dubai has become one of the greatest hubs for real estate investment, although the real estate market here is fairly new, but it promises tremendous growth. For all the investors, now is the best time to get hold of a piece of gold called Dubai.
With the enterprising vision of Sheikh Mohammed Bin Rashid Al Maktoum, the
prime minister and ruler of Dubai, this United Arab Emirates
is bound to scale new heights. The United Arab
Emirates formed in 1971 is a collection of 7 states, but
unlike its neighbors, Dubai
is not blessed with great oil reserves. Instead Dubai is all set in making itself the newest
and the hottest destination of the major global investors. It is the aim of the
prime minister of Dubai,
to make it the most preferred tourist and business magnet by the end of 2015.
The plan aims that Dubai
undertakes an all-round development that includes economic development, social
equality, justice, security and government excellence.
The real estate market of Dubai
is in its nascent stages, it is merely two years old, but investing in a
developing market has its own advantages, few of them are as follows.
- Prices are quite low, as
compared to the property prices in other developed market and is thus a
great buy.
- Property is a good hedge to
counter the inflation that is emerging in the world economy. In case the
interest rate of debt increases, the extra cost can be passed on as
additional rent and at the same time the value of property also
appreciates.
- Unlike the stock market that
is highly volatile, the rent on property is quite stable, it may fall at
times but it can never be nill.
- In the same way, property
value can never be zero, but you can’t say this in the case of shares.
- Property has the advantage of
both stock and bond, just like a bond it provides a regular rental income
and like a stock it provides capital appreciation.
- The Dubai property is available for global
investors to invest, but this is not true in the case of local stock
exchange.
- This is the best time to
invest in Dubai, as Dubai is in an economic boom. There have
been developments of massive projects such as Dubai land, Palm Island, and
also the Dubai international financial centre is about to be completed. In
such a scenario there is bound to be an increase in the real estate value.
- You can also take loan
against a real estate property. Today real estate is rated as the best
collateral security that is demanded by banks and other financial
institutions.
- Investing in real estate is
also a very effective way of diversification of risk and having a balanced
investment portfolio.
- As real estate investments
are tangible, investors have more control over them, like the timing of
sale purchase etc.
Article Source: http://www.hosnystar444.com/
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