Connect with us

Hi, what are you looking for?

Editor’s Pick

Pros and cons of off-plan real estate in Dubai.

Pros and cons of off-plan real estate in Dubai. Buying an apartment under construction in Dubai. Real estate for investment and living in Dubai. Buying housing under construction in the UAE.

Advantages and disadvantages of off-plan real estate

Buying apartments under construction is a common practice in Dubai and one of the most cost-effective ways to make money. Is it worth buying an off-plan house? What are the risks? What are the advantages and disadvantages of buying a house in a project under construction? The source answers these and other questions.

About the profitability of buying housing under construction

Buying an apartment in a residential complex under construction means investing in your future. In the United Arab Emirates and Dubai, in particular, there are many opportunities to earn money, where real estate is one of the most profitable destinations. Off-plan apartments have an advantage – guaranteed payback.

The newer the project is, the lower the prices for apartments are. After the construction is completed, the investor receives ready-to-live housing that can be rented out or resold at a higher price.

Why are investments in off-plan housing profitable?

The cost at the construction stage is lower than the price of the finished property;
A great range of housing from different developers in popular areas of Dubai;
High demand for buying and renting housing;
Quick return on initial investment;
High profitability – depending on the type and characteristics of the property, the income profit can reach 12-15% per year.

Advantages of off-plan real estate

Buyers of apartments in the project under construction announce the following advantages:

Quick deals – within two weeks;
Direct contact with the developer;
Individual payment plan;
Protection of the buyer’s interests, support from the state at all stages of the transaction;
Minimal risks;
Payback of the purchase immediately or after several years;
No income taxes;
Online purchase.

Disadvantages of off-plan property

It is important to emphasize that the Arab real estate sector is under protection. The law strictly regulates all transactions for the purchase and sale of housing in the UAE. All developers with their projects and realtors must be accredited and licensed. No specialist has the right to work in this field without it. Thus, the risk of being deceived by sellers is small here.

Possible disadvantages of buying housing under construction include:

Reduction of real estate prices after completion of construction and commissioning of the project. The market price for ready-made housing may be equal to or lower than that paid by the investor at the construction stage;
Freezing or canceling a project. Such an event in Dubai is out of the ordinary. Under unexpected circumstances, the project is transferred to another developer and then is completed, but investors have to wait for the keys a little longer.

Buying a property in Dubai

Interested in real estate in Dubai Marina or another popular area of Dubai? You can find your option in the catalog on Ax Capital. Moreover, there are more choices from the leading developers of the UAE on the website!

Read more:
Pros and cons of off-plan real estate in Dubai.

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!



Linesmen fix electric posts in Tondo, Manila. — PHILIPPINE STAR/ RUSSELL PALMA PRESIDENT Ferdinand R. Marcos, Jr. is hoping the Court of Appeals (CA)...


Finance Secretary Benjamin E. Diokno answers questions from the media during a press briefing at the New Executive Building, Malacañan Palace, July 6. —...


SUBSIDIES extended to government-owned and -controlled corporations (GOCCs) surged to P39.981 billion in October, the Bureau of the Treasury (BTr) said. Budgetary support to...


Manila rose six spots to 55th place out of 75 ranked centers in the sixth edition of the Smart Centers Index (SCI) by Long...


By Arjay L. Balinbin, Senior Reporter METRO Pacific Tollways Corp. (MPTC) said its unit NLEX Corp. expects to award the Candaba Third Viaduct project,...


1 of 3 ARMANI’s diffusion line, Armani Exchange, is trading in its old store look for a new one. During a short introduction to...

You May Also Like


BW FILE PHOTO GROSS BORROWINGS by the National Government reached P2.6 trillion as of end-September as it continued to raise funds to respond to...


KARASOLAR.COM TENA, Ecuador — Ecuador’s rainforest Achuar people say their ancestors long dreamed of a “fire canoe” or “electric fish” that would let them...


REUTERS By Luz Wendy T. Noble, Reporter The country’s foreign exchange buffers slightly increased as of end-October as the value of the central bank’s...


COVID-19 has had a significant impact on the mental health of Filipinos across different groups all over the archipelago. From frontline workers, parents balancing...

Disclaimer: Respect, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2022 Respect Investment. All Rights Reserved.