UAE Real Estate Market in 2019
The UAE real estate sector in 2018 has developed due to the new laws, initiatives and laws being passed. During the year of 2019 the real estate sector is characterized by optimism some of the reasons are as follows.
UAE property Outlook in 2019
Due to a large volume of supply the rental prices and sales are expected to decline during 2019. If continued in the same manner the price changes are expected to remain modest and the rate of decline might slow down. However, in long term aspects UAE property will remain positive. Due to the declining property prices the UAE real estate market seems favorable to investors and tenants. This might also lead to an increase in the first time buyers entering the market during 2019.
There are also many flexible payments plans that are introduced in the year 2019 which are appealing to the investors as they can afford the purchasing of various properties. The demand-supply mismatch will make developers innovative in attracting customers. Customers who have resisted to purchase property can now opt for these down payment plans and buy more property. Properties like Dubai Sports City and Al Furjan are offering such payments and rental schemes for tenants and purchasers.
The upcoming expo 2020 is also going to have a positive impact on the Dubai property market. As there will be more tourists, Dubai real estate could benefit from this increase in economic activity.
The new law of the 10 year residency visa in the UAE can bring eligible residents a stronger feeling of permanence in the country and they will invest in property. The DLD had launched the Real Estate Self-Transaction (REST) platform,a part of the Dubai 10x initiative. This platform allows the digital management of all property-related transactions, as well as other services. Due to the various digital platforms there will be higher transparency in the Dubai property market and it will be more investor-friendly and people will purchase more property.
The final major indicator of a positive UAE real estate market forecast for 2019 is the larger number of real estate transactions that were taken place during the last 10 days of the year 2018. Mounting up to 2,081 transactions between 17 to 30 December and was worth AED19B. This trend is expected to follow during 2019, as said by the Director General of DLD. It makes the UAE property market more attractive and sets a higher confidence level between investors for the real estate sector.
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