How to Manage the Property Cycle of Dubai as an Investor

1. How to Manage the Property Cycle of Dubai as an Investor The property related vocabulary is eminent in Dubai. Given the widespread analysis regarding the current real estate market, the significant phase’s needs thoughts. The property market happens in phases or cycles which is regular in its existence like clock. They are measured in demographic, sentimental and economic changes which affect supply and demand in the market. Because of this, the worth of the property increases due to strong growth or they might even stabilize or decline in some stages of the cycles. It’s the duty of an investor to identify the phase at which the market would be secure to make the purchase in the right location at the right value. Picture Courtesy: www.arabianbusiness.com The first phase starts with predicting the sequence, among the peaks, beginning from downturn phase, followed by depression and then on recovery and later upswing. The decline after the peak is featured because of low interest from buyers, the decline in sales, rents, and prices at this point shows that the market is cautious.

2. The depression phase has steady investor interest as well as down in prices, sale amounts of flats and stable rent which is normally the buyer’s market. The recovery has an equal market and sees growing inquiries. The increase in sales and rents as well as return price growth. The last stage is termed as the seller’s market. In this, there is an increase in the interest, sales are quick, rents are high and there prevails strong price growth to return to the peak at the start of the rotation. Generally, there are other elements managing the cycle structure like the universal & local positioning of the economies, geo political atmosphere, and emotions of the investor. Dubai has a property market which stands out especially because of its large expat density and buyers looking for ROI are dominant. The DLD reports that around 21,574 investors have purchased properties worth Dh 132 billion in the first six months this year. Picture Courtesy: baytnaproperties.com If timing is the key factor for property investment in Dubai, then it is wise to choose the second stage, after finding the perfect property and bargain the price thereby attempting to minimize the risk of the further downfall for a short term. For the buyers, it is the timing which matters, and for the sellers, it’s the time. Precisely, it’s deciding on the duration of the investment and the time to exit it reaping the most benefits. It is crucial for the sellers to monitor the property cycle expecting the prices growing and rents reaching the high point.

3. Get Connected on Social Media: Facebook: https://www.facebook.com/AllegoriaProp Twitter: https://twitter.com/AllegoriaProp Instagram: https://www.instagram.com/allegoriaproperties/