More Dubai tenants looking to trade up, says broker

Fidu Properties, the Chinese company operating in the UAE, says it is bullish about the growth potential of the real estate sector in Dubai
More Dubai tenants looking to trade up, says broker
Rents and property prices have been falling for months with reports suggesting values 13 percent lower than a year ago.
By Sam Bridge
Mon 20 May 2019 03:08 PM

Fidu Properties, the Chinese real estate company operating in the UAE, has claimed more tenants are looking to buy a Dubai property as developers increasingly offer lucrative options to investors and end-users.

The company, which said it is bullish about the growth potential of the real estate sector in Dubai and has announced expansion plans in the emirate and the country over the next three years, said it is currently a buyer's market.

It said developers are offering heavy incentives to attract property buyers with convenient long-term payment plans for a ready property being offered to home buyers.

Nazish Khan, chief operating officer of Fidu Properties, said: “It is a buyer’s market out there in Dubai – something which is a far cry from the past. The fact is more and more tenants are taking advantage of the current market situation to relocate from an apartment to a larger apartment, or newer communities with better amenities.”

He added: “Similarly, the current market condition in Dubai is offering an opportunity to every tenant to consider buying instead of renting. Developers are recognising this trend to entice tenants into investing in the properties and in turn offering them payment plans that are convenient and hassle-free.”

Fidu Properties said in a statement that the buyer's market may "not last longer, as tenants and investors are fast lapping up the opportunities".

“While the landlords of more established communities are cutting down on the prices to compete with the emerging new developments, the demand will soon catch up with supply and landlords will start to see greater returns on their investments very swiftly,” Khan said.

He added that landlords are concurrently upgrading their properties to make it stand out from other identical units and offering furnishing and all-inclusive pricing to make it lucrative for the buyers.

Rents and property prices have been falling for months with reports suggesting values 13 percent lower than a year ago.

Fidu last year announced targeting investments worth AED5 billion in the UAE in the coming three years, with nearly 450 branches across GCC and Asian subcontinent.

Fidu, which opened its regional office in Dubai, said it aims to create around 3,000 jobs in the region.

For all the latest business news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.

Subscribe to our Newsletter

Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.