The Dubai real estate market is famous not only for skyscrapers and luxury apartments but also for magnificent villas. They are very popular among renters, investors, and people looking for a new home. Next, we’ll take a closer look at why they are so popular and how they can benefit investors.
Contents:
- Average cost of villas in Dubai
- Return on investment in Dubai villas
- Advantages of buying a villa in Dubai
- Catalog of villas in Dubai
Average cost of villas in Dubai
Prices for villas can vary greatly depending on the location in a particular area. The closer the property is to the tourist attractions, recreation and central areas of the city, the higher the cost per square meter will be. The price will also be affected by the number of bedrooms, extra rooms, and available amenities. The more premises, the higher the property costs, but the level of comfort will also be higher. The average price of a villa with the required number of amenities and 2-3 bedrooms is approximately $500,000.
The presence of additional amenities can significantly increase the value of the property. The reason is not only a higher level of comfort but also, as a rule, an increase in the area of the house and the surrounding area. Additional amenities include the following:
- Maid’s room
- Guest rooms
- Indoor pool
- Personal gym
- Garage for several cars
- Personal garden and terrace
- Attic
Return on Investment in Dubai villas
Compared to 2022, prices for villas have increased by 12%, while prices for apartments have risen only by 9%. In several particularly prestigious areas of the city, the price increase was more than 30%. In 2023, prices for luxury villas are projected to increase by another 13%. Depending on the area, the ROI for such facilities can range from 4% to 6%. Renting villas is very popular among tourists who want to relax in luxurious conditions. Young professionals also show interest in villas, but they give greater preference to long-term rentals of apartments and studios. In both options, they give the greatest preference to properties near business districts of the city.
The majority of transactions are concluded exclusively by individuals seeking permanent housing. Therefore, the possibility of a future resale of the villa will also be a good way to return the invested funds and generate income.