Off Plan Property Demand Rising in Dubai
Many aspiring projects are being developed in Dubai and off plan properties are receiving huge demand and attention. The article will deliver an insight of the year 2017 and current off plan property market. Click here to read: Dubai’s Off-plan Properties; A promising investment option.
The Off-plan property market of Dubai
The competitive prices, attractive payment plans, flexible schemes and the diversity of property types available under the off-plan segment have kept the demand escalating. The off plan supply is tremendous and the effect of abundance in supply has changed the scenario from a sellers’ market to a buyer market. The end users and home buyers or be it investors have shifted their preference from other property types to off-plan, the exclusivity in ease of payment plans has lead to the overall increase in demand of off plan properties. The statistics reflect a true image of which off plan property areas are high in demand. Last year the chief locations such as Downtown witnessed 88 percent of sale from off-plan properties, Business Bay (83 per cent), Dubai Silicon Oasis (82 per cent) and Jumeirah Village (78 per cent). There are certain factors which has kept the off-plan property apart from other property types, contemporary urbanised homes with lower price and the appreciation which occurs before handover which offers an impressive ROI has caused significant impact not only for off plan but to other property types. In 2017 the off plan transaction rocketed up to 188 percent. Downtown has transactions worth Dh4.04 billion, Dubai south owned the most number of transactions which was 1151, Down Town 821 and Business Bay 686. Around 73 percent off plan transactions where from residential sales. During the 3rd quarter of 2017 around 29 off-plan development were launched. Some of the most prominent off plan properties were Park Lane Residence in Dubai South, Azizi Riviera in Meydan, Wasl’s Park Gate Residences in Zabeel and Dubai Properties’ Marasi Riverside in Business Bay. The off-plan property market has bought in various speculations on down market scenarios and its aftermath. The latter part of the article will offer basic approaches you can incorporate to not panic rather achieve your expectations smoothly.
How down market can be utilised
Analyse the market and figure out how the other units similar to your property is priced, keep a tab on price variations so you can simply rent your property until the market reaches your desired pricing point. You have to identify whether your buyers are end users or investors, this will help you develop objectives as how to shape your property to meet the specific want of the buyer. Buyers look for value in a property because the value means a lot when reselling. The right pricing play a very fundamental role, your property will not receive much attention because buyers will opt for same type of the property at a much lower price. When there is less people willing to buy your property due the high price your property will end up in the market for longer period. When your property stays in the market for a much longer time than it should be, it will gradually loose its market interest and will decrease your chances of coming across a qualified buyer. Once your property has lost its demand than it had before, you will have to accept and settle for a lesser price. Testing the market with an off track price will have negative results, buyers would avoid any confrontation and overpriced listing will not show up if one is purchasing the property with current market price filters. It is always wise to discuss with a property agent about the demand/supply of the current realty market of Dubai and price the property appropriately, this will not only help one sell their property faster but also help receive a much better price. Lastly enhancing the appeal of the property will receive more demand than a property with no appeal.