UAE real estate offers one of the best returns
Abu Dhabi and Dubai offer one of the best rental returns as both the emirates are ranked among the world’s top-10 cities where investments in property can get handsome gains.
According to real estate consultancy CBRE, properties in Abu Dhabi can get investors higher average returns than Hong Kong, London, Singapore, Los Angeles, Jeddah, Dublin and other cities.
Latest data disclosed that New York offers highest average monthly return of $2,844 (Dh10,437) to investors followed by $2,807 in Abu Dhabi, $2,777 in Hong Kong, 2,399 in Jeddah and $2,389 in London.
While the other five cities for highest rentals returns include Los Angeles ($2,312), Dublin ($2,226), Riyadh ($2,199), Dubai ($2,044) and Singapore ($1,935).
Importantly, none of the two emirates made it to the list of top-10 cities with highest value locations but both Dubai and Abu Dhabi are ranked second and ninth in terms of highest average rental returns.
As per CBRE estimates, average property price in Dubai and Abu Dhabi are $408,065 and $404,926, respectively, much lower than most of the top global financial centres.
Since property prices have been consistently declining in Dubai and Abu Dhabi over the last few years, investment in the two emirates’ real estate markets makes a very strong proposition.
A recent report by Knight Frank had said that prime residential property in Dubai is more economical than New York, London, Hong Kong, Paris, Geneva, Tokyo and Mumbai, among others.