An off plan property Dubai, often known as an under construction property, is one that has not yet had a structure built on it. It’s frequently sold to investors and end-users before or during development, and it’s usually paid for with such conditions. Off plan properties in Dubai are widely and easily available, and you can select between inexpensive and luxurious properties. In addition, the city has a slew of off-plan developments strategically placed across the city.
A property that has not yet had a structure built on it is known as an off-plan property. Pre-constructions are typically advertised as developments to real estate developers and early adopters in order for the buyer to obtain more advantageous financing terms from their lenders.
Off Plan Property Dubai Benefits
Here are some benefits associated with off plan property Dubai.
While purchasing an off plan property may not appear to be the most apparent option, with adequate study and smart investing, off-the-plan properties can yield higher returns than completed apartments.
Purchasing a home off the plan Dubai is a cost-effective investment option for people wishing to purchase their first house. We give you our market expertise as one of the UAE’s most established real estate brokerages to assist you in finding the appropriate property for your lifestyle.
When an off-plan property is handed over, its market value skyrockets. As the off-plan development takes shape and the surrounding neighborhoods improve in terms of transportation, amenities, and retail infrastructure, the property’s value rises.
Off-plan development payment plans are tied to construction, which means you don’t have to pay the complete cost up front, but rather in smaller installments. Many off-plan projects in Dubai feature a low booking cost of 5 to 10%, and in some circumstances, the DLD fee is also waived totally or partially, giving the buyer further savings. Buyers can pay for years after receiving possession of a property in projects with long-term post-handover payments; this is not possible with ready properties unless you’re buying on a mortgage with loan interest.
Many off-plan designs allow for minor to considerable customization, such as choosing colors, flooring, or kitchen layouts based on your preferences.
Off Plan Properties Dubai Disadvantages
Everything has two sides, and buying off-plan Dubai houses is no exception. While having heaps of advantages and benefits, off plan property Dubai has some drawbacks as well.
- Because the home is still under construction, buyers cannot move in or rent it out right away.
- There is no immediate return on investment since the property is still under construction and cannot be rented.
- Delays, cancellations, and poor quality are all dangers.
- Market swings could occur in any direction.
Things to Consider while Purchasing Off Plan Property Dubai
Both off-the-plan and ready-to-move properties have advantages; as a buyer, you must consider the time period for possession, the availability of cash, and your preferred location. Investigate the developer’s track record and the quality of their completed projects. Before making a purchase, make sure the builder follows RERA requirements.
Is Purchasing Off Plan Property Dubai Safe?
Purchasing an off plan property Dubai is 100% risk-free. The Dubai Real Estate Regulatory Authority has put in place a set of rules to protect buyers from any delays or project cancellations. Buyer installments are only deposited in regulated accounts, which developers can access as building milestones are met.
Verdict
Dubai is a haven for people wishing to spend their hard-earned money in the real estate market, with a rising economy, stable political infrastructure, and excellent returns on property investment. Off-plan property investing, in particular, is quite popular among buyers in the region. The Dubai real estate market has attracted a lot of interest from potential local and foreign buyers since freehold homes were available to expats in 2002. In 2017, Dubai off-plan property sales reached a nine-year high, with over 25,000 units sold. More launches and announcements from the real estate sector appear to be on the way.