10 Reasons Why Indians Should Buy Property in Dubai
For decades, Indian investors have appreciated the value that the real estate market of Dubai brings. This is why they continue to be among its top foreign investors. But what is it about Dubai’s real estate market that charms global investors to its shores, including Indians? Why is it a premium real estate destination? What makes Indians buy properties in Dubai? We take a deeper look into the most prominent reasons for all these answers in this all-inclusive guide.
Indian Community in Dubai
Dubai is a multicultural land. It is one of the most diverse cities in the world and has rightfully become the go-to cosmopolitan city of the Middle East. It has a global appeal which has resulted in the formation of a thriving Indian community in the city. As such, you will find places of worship, educational systems, and festive celebrations catered to the Indian community rampant in the city.
Indian investors have keenly recognized the value that the real estate of Dubai brings, and that is why you will find a significant Indian population in the city. Indians are among the largest ethnic communities in the city and their influences can be seen in the food and culture as well. Indians buying properties in Dubai have also expanded the community. And as you go through this article, you will learn that these investments are based on well-informed decisions.
10 Reasons Why Indians Should Invest in Dubai Real Estate
The real estate sector of Dubai has endless possibilities, making it a go-to option for not only Emiratis but also foreign investors. Each year, more and more investors from across the globe are tapping into its potential. A real estate investment has to be a bona fide one because this is something that you are not engaging in daily. As such, reviewing the real estate market of the city you are investing in is vital.
Dubai has emerged as a premium real estate destination because it fulfills all the criteria that make for an optimal investment option. For Indians, this market is a goldmine and you will be remised to not consider it if you are planning to invest in a foreign location. And here’s why.
Growing Real Estate Market
From a pragmatic standpoint, the real estate market of Dubai is one of the strongest ones globally. The city has defied all the odds to turn itself from a fishing village to a thriving metropolis, and its opulence is reflected in its luxury residential and commercial properties. Not only in the Middle East, it is a top choice worldwide among businesses and entrepreneurs to start their businesses, which has catalyzed the growth of the real estate market in the city.
Investing in Dubai’s properties opens the gateways for profitable avenues for Indians. Not to mention, the diversity in the localities of choice in the city ranging from Downtown Dubai, Business Bay, Palm Jumeirah, Al Furjan, Dubai South, and International City, among others, gives wide options for people to choose a family and work-friendly environment. It is also home to some of the most reputed property developers in the world who are responsible for ceaselessly developing magnificent apartments, townhouses, penthouses, villas, and commercial properties across the city.
Economic Stability
Dubai is more than what meets the eye. Yes, the beautification of the city through meticulously planned aesthetics is a bonus, but the real charm of the city lies in its stable economy. The city is home to some of the biggest conglomerations and business brands in the world. The synthesis of varied industries has contributed to the strengthening of the city’s economy which makes investing in it reliable and profitable.
Be it construction or hospitality, renewable energy or pharmaceuticals, e-commerce or manufacturing, every sector has played and continues to do so in bolstering the economy of Dubai. At a time when most global economies are suffering from major fluctuations and notorious volatility, the stable economy of Dubai serves as a safe haven. The durability and resilient nature of the economy is a major reason why your real estate investment in the city gets coated by long-term security.
Excellent ROI/High Rental Yields
If you are specifically looking forward to investing in the real estate market of Dubai for rental income, we have some great news for you. Dubai has unparalleled rental yields and the Return on Investment (ROI) here is through the roof, making sure you have a steady source of income. This heightens the opportunities for long-term financial benefits and wealth generation as this serves as the perfect retirement plan.
Furthermore, it also can act as a fundraiser for starting a new business venture, financing your child’s education, or securing your healthcare. Due to the immense employment opportunities in the city, there is always an inflow of settlements that are on the lookout for rental properties. And if you smartly invest in the best areas of Dubai, then you are securing your future with a tight-knit income that will bode you well for generations to come.
Strategic Location
Geography has also played its part in increasing the value of Dubai as a potential investment platform. The strategic advantage it has due to its positioning at the crossroads of Asia, Africa, and Europe makes it a top candidate for trade and commerce across these three continents. Not to forget, it serves as the gateway to the Middle East as well. Being at the center of the west and the east, it is the ideal location for business expansion.
Travel convenience and ease of business networking give it ample advantages for multinational collaborations. It has some of the hustling seaports and busiest airports in the world, which speaks volumes about its relevance with the global market. It is the perfect hub for business exchange and economic dynamism, which makes investing in this city smart and aligns seamlessly with those having a long vision for success.
Tax Benefits
One of the most interesting facts about Dubai is that back in 1894, it was one of the pioneers in taxation policies when it granted full taxation exemption to all foreign traders. This was just the seeds of relaxed taxation policies, the fruits of which can be seen even today. Foreign investors often have to critically adjudge their investments with the taxes they have to bear. The largely tax-free environment of Dubai, therefore, is a welcome relief for foreign investors.
There are no income taxes in Dubai and any rental income that you gain from the properties in Dubai is also not going to get taxed. Additionally, there are no capital gains taxes in the city. This means there are multiple avenues for you to save your hard-earned money as you don’t have to burn a hole in your pocket by paying countless taxes. The increased chances for liquidity for investors make this city a top choice for real estate investments.
Diversify Your Portfolio
When you diversify your portfolio, you invariably mitigate risks and heighten potential returns over time; and investing in the real estate market of Dubai is one of the most feasible ways to diversify your portfolio. This is because you are not only adding a new dimension to your portfolio but you also are dipping your toes into a high-performing global market – a market that is defined by its robust growth and stability amidst the fluctuating uncertainties of numerous economies across the world.
Diversification helps you spread your investments across various assets. As such, even when one fails due to poor performance, you are not vulnerable to a loss altogether. Additionally, it also helps in yielding higher returns and protects you from inflation. You also save yourself from currency fluctuations. This is also a prime reason why so many foreign nationals are constantly investing in Dubai’s properties, including people from the UK, Canada, and Russia, among others.
Infrastructure and Development
The bespoke infrastructure and development of Dubai amplify its appeal to a global audience. From jaw-dropping skyscrapers, high-speed internet, access to state-of-the-art amenities, and an advanced transportation system, especially through the Dubai metro and Dubai Tram, the city has stayed on par with international standards. Dubai’s development is one for the history books, and it is astonishing how it has blended its culture with technological advancements to continue to progress.
The city has continuously strived for excellence in technological advancements and, in recent years, has prioritized sustainability and conservation in its architecture. This bodes well for its relevancy in the future as with time, investors are going to be more cognizant of their carbon footprint. What is even more impressive is that it has addressed sustainability without compromising on the luxury appeal of its properties, making it a win-win situation for Indian investors. With solar-powered buildings and projects such as EXPO 2020, along with a focus on green living, the city is leaving no stone unturned to give back to the environment.
Superior Quality of Life
Dubai is deemed a safe haven for high-net-worth families around the globe for a myriad of reasons. The low crime rate of the city due to strict laws and surveillance makes it a reliable and protective environment. Political stability harbors a peaceful ambiance in the city, which aids in healthy living, making it the perfect place for your family to thrive.
The healthcare and education system in the city is one of the most advanced ones in the world, with the latter catering to a diverse population, as there are Emirati, American, British, Indian, and Pakistani education systems across the city. The food and retail industries in Dubai are powered by some of the most skilled professionals in the world. With majestic views and quick access to modern amenities, it lays the ground for the ultimate urban lifestyle. The city also is the ultimate fashion and shopping destination and the thriving beaches and Souks add to its endless charm.
Safe Investment Environment
The transparent legal framework of the city has led to it becoming a safe investment destination and the government has done its fair share to safeguard the interests and rights of both domestic and foreign investors. The strong performance of the market also speaks about the durability of the market as it remains unaffected by global downturns, making your real estate investment safe and secure.
Additionally, the free trade zones of Dubai offer 100% foreign ownership, making it apt for businesses to excel and succeed, if you want to dive into other businesses. Overall, the favorable business climate and feasible financial options available in the city make investing in it worthwhile.
Tourist Attraction Hub
Last but certainly not least, Dubai is one of the most sought-after tourist destinations in the world with plenty of places to visit for free. The evergreen tourism industry generating from the iconic landmarks, scenic beauty, and rich history of the city serves as a supporting pillar for its real estate market. Attracting Foreign Direct Investment (FDI) to the shores of the city, the tourism sector plays a crucial role in strengthening the real estate market.
With increased demand for vacation homes, rental properties remain high in demand, making your investment profitable and evergreen. The continuous demand for short-term and long-term rentals makes the real estate market of Dubai a global hotspot.
To Conclude
Dubai is a true cosmopolitan city as it is an investor’s paradise. From its strategic location to its relaxed taxation policies, from its scenic beauty to its world-class infrastructure, from its rental yields to its stable economy, it caters to all the interests of Indian investors. If you want to venture into foreign real estate investments, you can’t go wrong with Dubai. So, explore this majestic destination and get the property of your dream here.
FAQs
Frequently Asked Questions about Indians Investing in Dubai
Why is Dubai attractive to investors?
Dubai is an attractive destination for investors for a wide range of reasons, primarily among which are its relaxed taxation policies, high rental yields, strategic location, world-class infrastructure and development, and availability of bespoke amenities, among others, all of which contribute to facilitating the perfect urban lifestyle.
Is it worth owning a property in Dubai?
Yes, it is worth it to own a property in Dubai, irrespective of whether you plan to live in it or put it on rent. The world-class healthcare and education, along with state-of-the-art infrastructure and amenities in the city, give families the perfect chance to thrive. On the other hand, the high demand for properties in the city leads to high rental returns if you plan to put your property on rent.
Which nationality owns the most property in Dubai?
Indians own most properties in Dubai. Amongst others British, Russians, Saudi Arabians, and Canadians consistently rank high among the list of investors in the real estate market of Dubai.
Why rich Indians are moving to Dubai?
Rich Indians are moving to Dubai because it offers a safe haven for high-net-worth families. The low crime rate, stable economy, high ROI, and access to a high-quality life make it the perfect place to settle down. Not to forget, investing in Dubai also helps diversifying portfolios, mitigating risks in the process.
What is the minimum property investment required to get a residency visa?
The minimum property investment required to get a residency visa in Dubai is AED 750,000, which will make you eligible for a 2-year investor visa.
Can I renovate my property in Dubai?
Yes, you can renovate your property in Dubai as long as you are fulfilling the local regulations and obtaining the necessary permits.