The DLD declares purchasing activity in 150 countries shows the Dubai real estate market remains very attractive to international investors.
- A total of AED 135 billion was spent on Dubai real estate in 2015
- Capital came from 150 countries, with the UAE, Saudi Arabia and India purchasing high volumes of real estate
- Yields in Dubai are currently much higher than other international markets such as London and Hong Kong
- Appetite for Dubai property investment remains high among global investors.
The latest figures from the Dubai Land Department (DLD) show 55,928 investors from 150 nationalities invested a total of AED 135 billion on Dubai real estate throughout 2015.
Once again demand for Dubai property was strongest among local Emiratis, who invested AED 20.6 billion. This was half of the total amount of money invested from the Gulf Co-operation Council.
Investors from Saudi Arabia spent AED 9 billion, while those in Kuwait invested AED 3 billion. There was also significant capital coming from Qatar, Oman and Bahrain.
Looking beyond the Middle East, it was investors from India, the UK and Pakistan who spent the most money on the asset last year. Indians accounted for AED 20 billion worth of transactions, British buyers spent AED 10 billion, while AED 8 billion came from Pakistani investment.
Sultan Butti Bin Merjen, Director-General of the DLD, explained the fact investors from 150 nationalities purchased property in Dubai is strong verification of the current performance and future growth potential of the market.
He stated: “Dubai enjoys an extremely high degree of acceptance from international investors because of its attributes and return on investment.
“We are reassured with the size of investments from UAE citizens, in addition to the enormous demand from the GCC which provides the market with a strong shield from seasonal fluctuations.”
Currently investors are finding value in Dubai’s rental market, where yields can be between 7% and 9%, much higher than many of the world’s other major real estate markets.