Dubai is offering numerous reasons for investors to consider entering the Dubai real estate sector. One in particular is the high return on investment as the market continues to grow. The city’s population increases each year thus, there will be a high demand for every type of property. Since the commencement of Expo 2020, developers are offering various off plan properties Dubai and ready properties with unique styles and concepts.
Off plan properties Dubai typically means purchasing a property during the construction of the building process. It’s usually purchased at a discounted rate to the actual value of the completed project, which makes it attractive to property investors.
Well, Here we are going to discuss the difference between Off Plan Properties Dubai and Ready properties along with their pros and cons, so you can make an informed decision. However, First explore the actual difference between both.
Off plan property: An off plan property is a piece of land before any structure has been constructed upon it. Pre-constructions are usually marketed to real estate developers and to early investors so that the purchaser can secure much better in terms of finance.
Ready Property: A ready property Refers to a house or property that is ready for an immediate occupancy. A property in this condition must be ready and must meet all requirements by the city and governing municipality.
Now if you want to weigh your investment and want to know which one suits you the best, let’s get into the pros and cons of ready and off plan properties Dubai so it will be easy to decide where to put your money.
Off Plan properties Dubai
Advantages:
- Since you don’t have to make the complete payment at once, there is a reduced burden on your finances as compared to on-plan properties that require immediate payments.
- The price of off plan properties Dubai is usually lower than the ready ones thus saving you heaps of money.
- Most developers offer multiple incentives to off-plan property buyers.
- Banks and financial institutions also tend to offer attractive financing plans for an off-plan property purchase.
- It is simply a ‘buy now and pay later’ model.
- It gives handsome returns on the investment.
Disadvantages:
- You do not have control on the property till you have it.
- You also get no profits till the property is built.
- Off plan properties Dubai projects can get delayed for various reasons.
Ready Property
Advantages:
- You have complete control on your property from the time of purchase.
- You can lease your property immediately and start earning the rental income.
- For any reason, if you want to sell the property, you can sell it any time.
Disadvantages:
- The complete price needs to be paid at once because most on-plan properties do not offer flexible payment plans.
- Ready properties are costlier than off plan properties Dubai since the property is fully built and ready to move into.
- Since the property is already built, there is a no or limited scope for internal modifications.
- Before selling the property, you have to spend some money on remodeling in order to suit the needs of the buyer.
Now you know that there are many factors that must be considered before going for off plan properties Dubai or a ready property. Both Off plan properties Dubai and ready ones offer benefits for different types of investors. Therefore, it is important to understand your investment purpose, what you need in return and the type of property you are looking for. It is also recommended to talk to an investment or property advisor who specializes in real estate to help you make a decision that matches with your future financial goals.