JobXDubai

International buyers are the backbone of Dubai’s property market, drawn by its strategic location, tax-free status, and inviting investment climate.

Investors from Australia, the UK, Europe, North America, Turkey, and Iran will lead the Dubai property market’s next growth cycle, attracted by higher returns than any major markets, a tax-free environment, rising taxes in those markets, and a challenging environment in those countries.

Industry insiders say that in addition to these nationalities, investors from other traditional markets such as India, Pakistan, and the Middle East will also continue to be major contributors to the fourth growth cycle of Dubai’s highly promising real estate market.

The Next Growth Cycle

The emirate’s real estate market has seen three cycles – the pre-global financial crisis of 2009, 2014, and post-Covid. Many industry executives believe the third cycle is nearing its end after reaching a peak in 2023-24. Hence, the fourth cycle will begin soon after as the inflow of foreign funds will further increase in the next cycle.

Attracting Global Investors

Guillaume Giroux, CEO of Elysee Vendome Real Estate, said Dubai is about to finish its third property cycle, with a new one coming up soon, and the next cycle is expected to attract buyers from different countries.

Mouna Muller, client manager at Betterhomes, said as Dubai’s third property cycle draws to a close, the fourth cycle is anticipated to be fuelled by a diverse range of investors.

A Shift in Investor Nationalities

Industry players suggest that the influx of Russian investors has slowed down, and they will be replaced by Chinese investors, who will be a major player in the local property market.

Ramjee Iyer said the recent data has shown that British investors have overtaken Indians this year as they flock to the UAE for Golden Visas, tax-free benefits, high rental yields, and the emirate’s famous luxury lifestyle.

The Future of Dubai’s Property Market

According to Christodoulou, those investors who are increasingly keen to relocate with their families through the Golden Visa and expand their Dubai property portfolios are also buying properties in Dubai.