Latest news with #offplan
The National
30-05-2025
- Business
- The National
UAE Property: ‘Do I need a real estate agent when buying off-plan?'
Question: I've been considering buying an off-plan unit for some time but have been put off by some pushy real estate agents. Do I need an estate agent when buying off-plan? VK, Sharjah Answer: The straight answer is no, you do not require the services of an estate agent when buying off-plan. However, I would urge you to consider all the factors listed below before doing so. Going directly to a developer may seem like the best option when buying an off-plan unit, by thinking they may reduce the quoted price as there is no commission to be paid to a real estate broker. This is often not the case as many developers have their own sales teams and they still pay their teams commission, so it is very unlikely you will get a better deal than if you went through an agent. Another point of note is that developers need brokers and they have built up years of business relationships nurturing these contacts. Often going through a reputable broker gets you a better deal or some sweeteners perhaps. Getting hold of a preferred unit at the launch is also very challenging. Going through an agency can help you secure your unit of choice due to the sheer number of units a broker sells for the developer, therefore potential favours may be factored in. The broker thrive on building relationships with their clients, so going through an agent to buy an off-plan unit will ensure your best interests are managed and exceeded, as any company would want your repeated business, too. You can go directly to a developer to buy an off-plan unit but going through an estate agent to do so could get you a better deal and help to support your purchase in the long run. Q: I have rented a property since last year and wish to renew my lease for another year when my contract ends in October. However, the landlord hasn't said anything directly to me about what he wants to do but is skirting around the edges of wanting to evict me citing 'personal reasons'. Are there specific notice periods that landlords must give tenants in Dubai before eviction for reasons other than non-payment of rent? PS, Dubai A: The first thing to note is that a tenancy contract automatically renews under the same terms and conditions as before (unless otherwise agreed). If a landlord wishes to get a tenant out, he can do so for only four reasons. One would be if he needs to sell the property. Another would be for reasons of moving in himself, or his next of kin of first-degree. The third reason would be for major refurbishment that would otherwise prevent a tenant from having quiet enjoyment of the property due to the work being carried out and lastly, for a reason of demolition. For these last two reasons, the landlord would need written approval from the concerned authorities. For the reason of moving in, the landlord would not be able to re-let the property for a period of two years after eviction. You could get compensation if the landlord violates this last part. For these four reasons, the landlord must inform you about eviction through notary public or registered mail and give you at least 12 months' notice to vacate. This is the only way you would be asked to leave. There are no other shortcuts for the landlord. Remember that these are not related to non-payment of rent. In this case, there are different notice periods that must be adhered to.
Gulf Business
23-05-2025
- Business
- Gulf Business
Returns, risks, regulations: Driven Properties' Hadi Hamra on Dubai's off-plan property market
Image: Supplied Image: SuppliedDubai's off-plan real estate market continues to capture investor interest with its blend of flexibility, affordability, and high returns. As the city attracts a growing number of high-net-worth individuals and launches lifestyle-driven developments, the off-plan sector has emerged as a key pillar of growth within the emirate's property landscape. In this interview, Hadi Hamra, managing partner of Driven Properties, shares insights into the factors fuellling the market's momentum, the evolving regulatory environment, investor strategies, and how the company is setting itself apart in this competitive space. What are the key factors sustaining the popular momentum of off-plan property investments in Dubai? Off-plan property investments in Dubai continue to thrive, and there are a few key reasons for that. One of the biggest draws is the attractive payment plans, often interest-free, which make it easier for people to invest without relying on traditional mortgage approvals. This flexibility opens the door for many who might otherwise not qualify for a mortgage for various reasons. Another factor is the potential for higher returns, especially when you invest in the early stages of a project. Buyers who secure properties in the initial phases often see their investments grow significantly in the long-term. But it's not just about the numbers. Dubai's off-plan market is evolving with new communities that offer more than just luxury. We're seeing more family-oriented spaces with creative layouts, larger children's play areas, and unique amenities such as lagoons. These developments cater to the lifestyle aspirations of modern families, making them great investments and truly desirable places to live. It's this combination of practicality and innovation that continues to drive the momentum. What are the potential risks and rewards associated with investing in off-plan properties compared to ready properties? The opportunity for higher returns is substantial, particularly when you invest during the initial phases of a project, before the property has appreciated in value. With flexible payment plans and the growth of well-designed, newer communities that appeal to a wide range of buyers, off-plan properties can be a strong investment choice. Off-plan property also offers the opportunity to purchase real estate at a fraction of the price, compared to ready properties. This price difference can range from 15 – 30 per cent, depending on the location and developer. That said, there are some things to keep in mind. While most projects are delivered on time, there is always the chance of delays, which can impact the completion date. Also, some may find themselves in a tough spot if the market shifts or the project doesn't perform as anticipated, especially if they've only planned for the down payment. How has the regulatory environment in Dubai evolved to protect off-plan property investors? The regulatory environment in Dubai has significantly evolved to better protect off-plan investors, particularly since the introduction of freehold ownership in 2002. Over the years, regulations have become increasingly precise, which has not only strengthened the market but also increased transparency, giving buyers more confidence. These enhancements have helped filter out developers who may not be financially capable of delivering on their promises, which ultimately benefits the overall market. For instance, back in 2003, there were no escrow accounts, which created a greater risk for buyers. Fast forward to the period between 2012 and 2016, and investors were required to pay a minimum of 5 per cent upfront. Today, that figure has risen to 20per cent, providing added security to both the buyer and the developer. There have also been significant regulatory advancements regarding real estate agencies, ensuring that fake accounts and listings are removed from the market. While there's still room for improvement, Dubai's real estate regulations are widely regarded as the best in the region. What impact does the influx of high-net-worth individuals have on the demand for off-plan properties in Dubai? Since the post-Covid period, the influx of high-net-worth individuals has had a significant impact on the demand for off-plan properties in Dubai. The emirate is now home to over 81,200 resident millionaires, including 237 centi-millionaires and 20 billionaires. With a continued shortage of high-end projects, the demand for off-plan properties remains strong, especially given this influx. These investors are not only looking for luxury but also seeking opportunities that offer long-term value and potential returns. They have driven demand for upscale off-plan developments, and as long as supply remains limited in this segment, they will likely continue to play a key role in propelling the market forward. For the time being, high-net-worth individuals will undoubtedly keep driving the demand for these properties. Can you comment on Driven Properties' current performance in Dubai's off-plan property market? How is the company being a differentiator? Last year, 60 per cent of our sales were off-plan, compared to 40 per cent in ready properties. We continue to work with established developers like EMAAR, Dubai Holding and DAMAC and we also carefully select exclusive projects from private developers after conducting thorough due diligence. This approach ensures that we offer only the best opportunities to our clients, keeping us ahead of the curve and allowing us to position ourselves as leaders in the industry. Our agents have access to one of the largest portfolios on the market, thanks to projects we take on as a master Tell us more about Driven Properties' current off-plan property projects and their key features. We're proud to offer a diverse range of off-plan projects at Driven Properties, each catering to a unique lifestyle and buyer preference. One of the most exclusive developments in our portfolio is Mews Mansions, located in Meydan. With just 10 luxury mansions, it offers an intimate, high-end living experience, combining modern elegance with panoramic views of both Meydan and the Downtown Dubai skyline. In the heart of Downtown Dubai, we're also offering Fairmont Residences Solara Tower. This project blends urban sophistication with Japanese-inspired tranquility, featuring one to four-bedroom apartments and spacious five-bedroom duplex penthouses. Each unit is designed to maximise natural light and offers sweeping views of Burj Khalifa and the Downtown district, all complemented by Fairmont's iconic hospitality. Along Sheikh Zayed Road, Marriott Residences in Al Barsha brings another level of refinement with two and three-bedroom apartments and duplexes. Residents benefit from custom-designed interiors and the exceptional service standards synonymous with the Marriott name. For those seeking a more contemporary and community-focused setting, Arista One in Jumeirah Garden City offers one and two-bedroom apartments in a lively neighborhood. With amenities such as a rooftop pool, a modern gym, and direct access to parks and sports courts, it is designed for residents who want to stay active and connected within the city. In Jumeirah Village Circle, Helvetia Residences caters to those looking for a peaceful, family-friendly environment. These homes range from studios to three-bedroom apartments and feature open-plan layouts, floor-to-ceiling windows, and high-quality finishes that embrace both comfort and style. We are also proud to have Canal Front Residences, a waterfront community that was initially offered off-plan and is now move-in ready, in our portfolio. Located in one of Dubai's most desirable areas, it provides a luxurious lifestyle with breathtaking canal views and top-tier amenities. Each of these projects speaks to our commitment to offering properties that combine quality, innovation, and lifestyle in equal measure. What strategies do you employ to mitigate risks for off-plan property investors? We take a comprehensive approach to mitigating risks for our off-plan property investors. First and foremost, we conduct thorough due diligence on each project before presenting it to our agents and clients. This ensures that only the most reputable and viable developments make it into One of the key reasons we focus on working with well-established developers or taking on exclusive projects is to minimise risk. These projects are typically more reliable and have a proven track record, giving investors confidence in their investment. Our meticulous attention to detail and focus on quality help ensure that every off-plan property we offer meets the highest standards and is a secure investment. What advice would you give to first-time investors considering off-plan property in Dubai? For first-time investors considering off-plan property in Dubai, my advice would be to start with a few key principles. First and foremost, make sure you can comfortably afford the investment, including the down payment and any associated costs. This will help avoid unnecessary stress down the road. Next, always prioritise prime locations. Location is key to the long-term value of any property, and in Dubai, you'll want to focus on areas that are in high demand or show potential for future growth. Equally important is choosing a reputable developer. Do your due diligence to ensure they have a strong track record of delivering projects on time and to a high standard. You should also ensure that all legal aspects are covered, including proper registration of the property and the use of an escrow account to safeguard your investment. How does Driven Properties ensure the timely delivery and quality of its off-plan projects? We take a careful approach to ensure that the off-plan projects we showcase are delivered to the highest standards. We start by doing thorough due diligence on the developer to make sure we're working with reliable partners who have a proven track record. While delays can sometimes happen in construction, we've never had a project handed over later than promised. This is partly because of the strong regulations in Dubai, which keep developers accountable and ensure projects are closely monitored. By focusing on quality and working with reputable developers, we give our investors the confidence that their investment will be safe and delivered as expected.
Telegraph
19-05-2025
- Business
- Telegraph
Angela Rayner's housing blitz in doubt as new-build sales plunge
Angela Rayner's housebuilding revolution has been thrown into further doubt after the number of people buying off-plan properties slumped to its lowest level in more than a decade. Research by estate agency Hamptons found that only 31pc of new homes sold in England and Wales were bought before completion last year, compared to 49pc in 2016, as buyers shunned new-builds in favour of existing properties. Labour has pledged to build 1.5 million homes by 2029 in the hope of getting more people on to the housing ladder, but experts warned the reluctance to buy new-builds could impact developer output. Purchasing off-plan typically involves buyers visiting a show home or sales suite and reserving a plot based on marketing materials and floor plans. Rico Wojtulewicz, spokesman for trade body the National Federation of Housebuilders, said: 'Some projects need to be bought off-plan to be funded in their entirety, so a drop in demand has created issues. There is also a drop in sales generally, which isn't helping.' Mr Wojtulewicz said lower off-plan sales will 'absolutely' hurt the viability of Labour's housebuilding pledge. 'It makes it more difficult to make a site viable and to deliver it quickly. When a developer goes to buy a new site in the future, they'll be a lot more cautious about the size of the site. 'They'll probably look to buy a smaller site to reduce the risk of slow sales.' David Fell, of Hamptons, said off-plan sales were at their lowest since 2012. He said: 'Nationally, fewer new homes finding a buyer before they're built has hit housebuilders hard. It is unlikely that the level of off-plan sales being agreed is sufficient for the Government to get close to its 300,000 homes a year target, given that housebuilders rely on this forward funding to progress on site.' The findings come after a study by the Competition and Markets Authority (CMA) published last year found a rise in the number of homeowners reporting issues with new-builds. It also said a 'substantial minority experienced particularly serious problems such as collapsing staircases and ceilings'. Separate data from conveyancing solicitor, Bird and Co, found the number of new-builds sold as a percentage of UK home purchases has fallen for a third year running. In 2024, it stood at 10pc, down from 11pc the year before and over 14pc in 2021. The reluctance to buy off-plan comes two years after the Government called time on its flagship Help To Buy scheme. Most regions have seen between 10pc and 20pc falls in the share of new houses and flats sold off-plan since 2016. As well as a drop-off in demand from would-be homeowners, there has also been a decline in landlords eyeing up off-plan plots. Hamptons said landlords have shied away from locking in purchases ahead of completion due to the expectation that prices may not be higher by the time they're complete. The average UK house price has remained relatively steady in the past year, climbing just 1.6pc according to Zoopla's latest figures. Matthew Pennycook, the housing minister, admitted last year that delivering the manifesto pledge of building 300,000 homes a year is 'more difficult than expected', but remained 'convinced' it is achievable. Ms Rayner, the Housing Secretary, has overhauled the National Planning Policy Framework to increase local authority housing targets and build on the green belt. But, as it stands, Labour is falling shy of its target, with the UK's construction output sliding for a fourth consecutive month in April, according to the S&P Global UK construction purchasing managers index (PMI). Last year just 184,390 homes were completed, and construction began on only 132,460. A Ministry of Housing, Communities and Local Government spokesman said: 'Despite inheriting the worst housing crisis in living memory, the Government is taking action to deliver 1.5 million homes through our plan for change. 'Our overhaul of the planning system, including the updated National Planning Policy Framework, will drive UK housebuilding to its highest level in over 40 years and grow the economy by £6.8bn. 'Alongside this our landmark pro-growth Planning and Infrastructure Bill could also boost the economy up to £7.5bn over the next decade so that we can get Britain building.'
Arabian Business
17-05-2025
- Business
- Arabian Business
Off-plan real estate sales in Dubai have already reached $24.5bn this year as high returns and easy finance lure investors
Off-plan Dubai real estate sales have already reached AED90bn ($24.5bn) so far this year, according to W Capital data. The findings, based on data from the Dubai Land Department, indicated that the Dubai real estate market witnessed 40,500 off-plan property transactions between January and May 15, 2025. The AED90bn ($24.5bn) total, making 38 per cent of total market sales. Off-plan real estate in Dubai Ready-built properties, which recorded AED147.4bn ($40.1bn), accounted for 62 per cent of sales during the same period. According to the data, off-plan transactions included 36,359 residential units and 4,141 buildings. W Capital CEO Walid Al Zarooni said: 'Dubai's off-plan real estate market is witnessing significant growth in 2025, making it a preferred destination for local and international investors,' He stated that off-plan properties in Dubai have become a preferred investment choice for many investors, thanks to a number of factors that enhance their attractiveness in the real estate market. He noted that among the most prominent of these factors are competitive prices, as off-plan properties are offered at prices ranging from 5 per cent to 15 per cent lower than ready properties, offering attractive opportunities to obtain residential units at reasonable prices. He also pointed out that developers offer flexible payment plans that help investors easily finance their purchases, including the options of paying only 50 per cent upon delivery. Al Zarooni said: 'Off-plan properties in Dubai also boast high rental returns of up to 7 per cent, making them an attractive option for those seeking a steady and stable return on their investments'. As for the future of the market, Al Zarooni expects demand for this type of property to continue rising in the coming years, due to Dubai's population growth and the increased need for new housing units. He also noted that significant government investments in infrastructure projects play a vital role in supporting this trend, especially as the emirate seeks to reach a population of 5.8m by 2040. This will directly contribute to boosting real estate market activity and increasing investment in new residential projects. He added: 'Modern real estate legislations and the effective regulatory role of government agencies were among the most prominent factors that contributed to establishing a stable and secure investment environment'. He confirmed that laws that guarantee investors' rights, in addition to strict regulations for licensing off-plan projects, have increased confidence and transparency in the market, making investment more attractive and less risky. Al Zarooni said that the improvement in real estate financing services has significantly contributed to increasing demand for new real estate projects, especially with some banks offering financing plans specifically for off-plan properties.
Khaleej Times
09-05-2025
- Business
- Khaleej Times
Why off-plan properties are thriving in Dubai: Don't miss the May Expo
Learn why off-plan sales lead Dubai's property market. Join the real estate event from May 16–18 to connect with developers and explore new launches Off-plan properties in Dubai made up 60% of transactions in 2024, which helped generate a 35.5% increase in property deals. From January to April, 2025, Dubai recorded a total sales transaction value of AED 159.69 billion, with all real estate transactions (including mortgages and gifts) totalling Dh216.3 billion, marking a 29.19% increase compared to Q1 2024. Off-plan were a significant driver, showing that investors have confidence in the city's long-term growth possibilities. The upcoming real estate event in Dubai, held from May 16-18, 2025, will bring attention to this exciting industry, providing an excellent opportunity to learn about new projects. It's a chance to dive into the market, connect with experts, and discover investment prospects. Why off-plan properties are in demand? Off-plan projects are becoming more and more popular because they are affordable and may generate profit in the future. Buyers can get a property with down payments as little as 10-20%, stretched out over several years. One more reason is the chance of a big increase in value, especially in areas that are growing quickly. In 2024, the Dubai Land Department reported 226,000 transactions with a total value of Dh761 billion, with off-plan sales being the most popular. Driven by a rising population (over 169,000 in 2024) and low unemployment, predictions for 2025 indicate a 5% yearly price increase and 7% rental yields, according to market analyses. Market Resilience and Growth Dubai's real estate industry is strong, despite global economic challenges including shifting oil prices and trade tensions. In 2024, the UAE saw Dh886 billion in real estate sales, with an anticipated 50% surge in property supply by 2026. Furthermore, government initiatives like Dubai Vision 2030, greater freehold areas, and long-term visas make the market even more attractive. By the end of 2025, more than 65,000 additional residential units are expected to be built, and infrastructure projects like the Dubai Metro Blue Line, set to be operational by 2029, will make it easier for residents to get around. The Expo: A showcase of top developers The upcoming property expo is an excellent chance to learn about off-plan properties and gain industry insights. Dubai's real estate event, hosted by Metropolitan Premium Properties, will provide a valuable platform for engagement. Taking place at Bluewaters Forum on Bluewaters Island, it will bring together over 20 developers, including Nakheel, DAMAC, Beyond, EMAAR, Sobha Realty, Binghatti, and more. Attendees can explore the latest off-plan developments, some featuring special offers exclusive to the event. For investors, it's an opportunity to see firsthand the projects driving Dubai's growth, while homebuyers can explore options that meet their needs. For stakeholders following price appreciation, yield stability, or inventory distribution, this is a helpful opportunity to evaluate how market fundamentals are aligning with policy objectives and economic data. Given the market's expected ongoing growth, this event is an important interaction for anyone wanting to get involved in Dubai's real estate scene.
