{"id":55809,"date":"2023-05-25T11:40:13","date_gmt":"2023-05-25T07:40:13","guid":{"rendered":"https:\/\/blog.dubaicityguide.com\/site\/?p=55809"},"modified":"2023-05-25T11:40:13","modified_gmt":"2023-05-25T07:40:13","slug":"dubais-off-plan-real-estate-sector-sustains-the-overall-uae-property-market-2","status":"publish","type":"post","link":"https:\/\/blog.dubaicityguide.com\/site\/dubais-off-plan-real-estate-sector-sustains-the-overall-uae-property-market-2\/","title":{"rendered":"Dubai’s Off-Plan Real Estate Sector Sustains The Overall UAE Property Market"},"content":{"rendered":"

Last month, sales in Dubai\u2019s real estate industry decreased for the first time in 2023 as the country saw a 33% dip in transactions in April 2023 when compared to December 2022. The secondary market witnessed a 2.4% decline in sales but according to\u00a0Z\u0101<\/u>ZEN Properties<\/a>, a leading sustainable property developer in the UAE, the off-plan sector\u2019s 42.5% year-over-year (YOY) spike in sales transactions in April is sustaining the growth of Dubai\u2019s property market.<\/p>\n

Investors prefer buying off-plan properties versus ready real estate projects as return on investment (ROI) for such developments can reach up to 10%, depending on location, quality of build, and the selection of amenities. With the UAE\u2019s economic stability, especially compared to other countries worldwide, overseas investors have increasingly turned towards Dubai as a secure method of capitalizing on investments across all industries, and even more so in the real estate sector. Hence, many rationalize the slowdown in sales transactions in April as a temporary trend that was the byproduct of factors such as Ramadan, shortened working hours, and the holiday season.<\/p>\n

Demand for apartments has been exceptionally high as the UAE\u2019s lack of property taxes and rental income taxes has been known to make ROI more profitable than other countries and this is attributed to stable demand from the local population and tourists. Moreover, it has seen developers increasingly build units that address modern needs. In line with this agenda, green developments are also seeing greater interest in recent years. This trend is expected to remain a staple for the foreseeable future with initiatives like Dubai 2040 Urban Masterplan and UAE Net Zero 2050 requiring immediate change for future prosperity.<\/p>\n

A recent survey of more than 1,000 respondents shows that 61% of people living in the UAE believe climate change is real and that they cite human activity as the leading cause. Furthermore, 35% of participants think technological solutions must be adopted; 61% are ready to pay more for everyday products made from recycled materials and 63% of people showed a willingness to pay a little more for properties that emit fewer carbon emissions (CO2).<\/p>\n

With 2023 being declared the Year of Sustainability, and Conference of Parties 28 (COP28) fast approaching, property developers will increasingly play a crucial role in the UAE\u2019s ability to achieve global and regional green targets. This will continue to be the case as the country\u2019s first-place world ranking for talent attractiveness is an additional factor that will aid the Dubai 2040 objective of doubling the emirates\u2019 population to around six million people over the next 17 years; sustainable housing infrastructure will be required to accommodate this influx of residents.<\/p>\n

Madhav Dhar, the co-founder and COO of Z\u0101ZEN Properties<\/strong>, stated: \u201cThe UAE is moving at an accelerated pace compared to other countries around the world and this is correlated to various factors including the country\u2019s diverse population of more than 40 different nationalities. Dubai\u2019s unique economy is only being bolstered by initiatives such as D33, alongside a new segment of home-seekers who are open to staying in the emirate long-term and fostering the well-being of the UAE\u2019s real estate health. Additionally, as we inch nearer to a more sustainable future for the world, an increased focus on green integration will be seen in off-plan projects from developers in the country and region alike. All these aspects, paired with other incentives, such as tax advantages and a growing number of Golden Visa issuances, will help sustain the market\u2019s overall real estate growth, particularly in the face of slower performing months.\u201d<\/p>\n

Despite a slowdown in sales transactions in April 2023, the UAE\u2019s property sector has consistently flourished with a renewed strength in recent years. Industry analysis cites that this momentum is set to continue, at least for now, a sentiment that Z\u0101ZEN Properties is seeing with its current project,\u00a0Z\u0101ZEN Gardens<\/a> in Al Furjan. As the first and only LEED-Gold residential development in Dubai, 95% of units have already been sold since sales launched and only 10 available units remain. Z\u0101ZEN Gardens will be a key contributor to achieving the UAE\u2019s environmental objectives as approximately 470 metric tonnes of CO2 will be reduced annually upon the building\u2019s scheduled handover in April 2024. Residents of the community will enjoy modern, spacious units that are complemented by premium amenities and Well-Being integration such as Feng Shui. Similarly, Z\u0101ZEN Gardens\u2019 convenient location near the Gardens Metro Station and the UAE\u2019s upward real estate trajectory will enable investors to see a strong ROI.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Last month, sales in Dubai\u2019s real estate industry decreased for the first time in 2023 as the country saw a 33% dip in transactions in April 2023 when compared to December 2022. The secondary market witnessed a 2.4% decline in sales but according to\u00a0Z\u0101ZEN Properties, a leading sustainable property developer in the UAE, the off-plan […]<\/p>\n","protected":false},"author":1,"featured_media":55810,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-55809","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/blog.dubaicityguide.com\/site\/wp-json\/wp\/v2\/posts\/55809","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blog.dubaicityguide.com\/site\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.dubaicityguide.com\/site\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.dubaicityguide.com\/site\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.dubaicityguide.com\/site\/wp-json\/wp\/v2\/comments?post=55809"}],"version-history":[{"count":1,"href":"https:\/\/blog.dubaicityguide.com\/site\/wp-json\/wp\/v2\/posts\/55809\/revisions"}],"predecessor-version":[{"id":55811,"href":"https:\/\/blog.dubaicityguide.com\/site\/wp-json\/wp\/v2\/posts\/55809\/revisions\/55811"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.dubaicityguide.com\/site\/wp-json\/wp\/v2\/media\/55810"}],"wp:attachment":[{"href":"https:\/\/blog.dubaicityguide.com\/site\/wp-json\/wp\/v2\/media?parent=55809"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.dubaicityguide.com\/site\/wp-json\/wp\/v2\/categories?post=55809"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.dubaicityguide.com\/site\/wp-json\/wp\/v2\/tags?post=55809"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}