One of the benefits of heading a short-term lettings company in Dubai is being able to view the real estate market from multiple angles. We deal with international clients as well as UAE residents. We have clients who invest on a large scale and clients who buy for personal use.
We have guests who come as tourists, and those who use short-term accommodation before they settle down. Since launching in 2017, the most interesting change has been the development of new areas - and the demand for these areas from guests.
This idea that Dubai is only about the Marina, the Palm or Downtown is fading. One great example is Meydan. With multiple projects on the horizon, an upcoming mall, entertainment complexes and more, Meydan will be another big destination for residents and guests.
A new breed of investors
The real estate market is also developing in the type of client Dubai is attracting. We have seen an influx of international guests coming for the first time and considering the city as a place to invest in. There is a growing global middle-class with money to spend who view Dubai as an interesting investment opportunity.
Of course, favorable mortgage rates, payment plans and new visas have been instrumental for this growth. Dubai is changing in people’s minds as a place they can imagine retiring in.
Last year was a big test for Dubai. Tourism was nonexistent for months; many lost jobs and left Dubai. Businesses closed and property prices dropped across the board. However, from around the fourth quarter of 2020, we saw a rebound as Dubai became one of the ‘safest’ places to visit. It still is, with one of the highest vaccination records globally.
As with any crisis, there is opportunity. We could see this over the last six months - new investors coming and buying, people moving to Dubai and new businesses opening. There is also real optimism about the Expo - at the very least, it is another opportunity for Dubai to shine and highlight its development plans.
Any more slowdown from now on can only be due to outside factors. The Dubai real estate market is back in action.