UAE is renowned for its investor friendly practices. A real estate investment in its major cities like Dubai will not attract any such Value Added Tax (VAT), rental revenue tax, capital gains tax, income tax or annual property tax. Kavan Choksi, a popular finance expert, points out that this allows investors to dedicate a much greater financial portfolio on buying property and enjoying commendable results. Much like other markets, UAE has also been reeling under the pressure of the global pandemic for the last few years. However, in 2022 it did witness a sharp turnaround with a considerable increase in real estate sales compared to 2021. Therefore, it will be safe to say that realty activities have definitely picked up in many parts of the country.
Kavan Choksibriefly discusses various points that make UAE a good real estate investment destination
Now that the concerns related to the Covid-19 pandemic can be eased across the world, the UAE real estate market is on a path to re-growth. UAE has additionally reduced restrictions that would be beneficial for many sectors, including logistics, tourism, aviation and real estate. UAE is a cosmopolitan nation that is considered to be a hub of investment and business opportunities. As UAE is considered a tax-free investment country, an increasing number of people are choosing to invest in real estate in this nation.
The fact that UAE is considered to be a safe country with low crime rates also contributes to its attractiveness as a real estate hub. The instances of crime and violence is relatively now in major UAE cities, and hence it would be ideal to settle down with the whole family. A lot of people migrate to UAE to explore business and employment opportunities, and set up their home here. With the increase in the number of people migrating to UAE, the demand for proper residential facilities would also increase. People investing in residential real estate in UAE are expected to enjoy commendable returns from it in the long run. UAE is also known for its high standard of living. Large, spacious apartments, beach faces villas, tall skyscrapers and more, are pretty common in this nation, which helps it to attract contemporary urban dwellers desiring to elevate their living standard. The high class infrastructure and good economy of UAE makes it a great place to establish a business, and therefore the demand for commercial properties is also expected to increase in the country.
In the opinion of Kavan Choksi the real estate market of Dubai is the fastest growing realty hub in the Middle East, and shows no indication of slowing down. The UAE government is proactive about regulating market transparency and has a proper set of regulations in place for it. The Dubai Land Department (DLD) especially works towards ensuring optimal transparency for the investors. The Golden Visa relaxations announced by the UAE government offers a range of benefits to people wanting long-term visa to reside, work, invest, or do business in the emirates. The length of this visa is extended from 5 to 10 years.