Buying property in Damac Hills and other well-developed areas of Dubai is an excellent decision as an investor as well as for the end user. Before closing a deal, the buyer needs to make many decisions regarding the location, configuration and appearance of the residential property he is interested in.
The most important choice is the choice of the type of property. As a rule, buyers choose between villas and apartments. To make the right decision and conclude a successful deal, you need to analyze many factors. What criteria must be taken into account – we will analyze below.
The most sought after real estate in Dubai
Most people prefer to purchase one-bedroom apartments. This facts can be easily explained – most expats – young couples and single people do not need flats with several bedrooms or luzury villas.
As for the location, traditionally the most popular and profitable are the central areas of the city:
- Meydan;
- Business Bay;
- Dubai Creek Harbour;
- Dubai Marina;
- Bluewaters Island;
- Madinat Jumeirah Living;
- Emaar Beachfront.
The second place in popularity is shared by apartments with two and three bedrooms. In most cases, such properties are chosen by families with children. A key priority for them is the proximity of schools, kindergartens and hospitals. The most successful areas for buying apartments with two and three bedrooms will be:
- Greens;
- Motor City;
- Jumeirah Lakes Towers.
Despite the popularity of flats, mansions in Dubai have not lost their relevance either. The most popular are residential properties with two and three bedrooms. The most popular mansions are located in the Arabian Ranches, Mira, Mira Oasis, Town Square, VillaNova, Serenia, Cherrywoods areas.
How to choose between villas and apartments in Dubai
To make the right decision, the buyer needs to consider several key factors. These include:
Price
Before choosing which type of property suits him, the buyer must determine how much funds are at his disposal. Budget is the main factor to consider when looking for property. As a rule, local villas are much more expensive than apartments. The average cost of flats in Dubai in May 2022 was AED 1.34 million. The average price of mansions in the same month was AED 4.5 million.
Space
Villas are usually much more spacious than flats. Unlike the latter, they have an adjacent territory, which may include a private garden, swimming pool, playground and private parking. This fact is advantageous for families with children and pets.
When moving into a flat, you need to be prepared for the limited space and public amenities that other residents of the building have access to. Also, apartment owners will have to deal with a certain number of allocated parking spaces.
Location
Although the Dubai market offers a wide range of different types of properties, the choice is limited in some areas. For example, Bur Dubai, considered the main historical center of the city, offers apartments exclusively and only a few villas. On the other hand, suburban communities such as Rome Community are home to a large number of spacious villas and townhouses.
Therefore, when choosing between a villa and an apartment, the buyer should start from the area in which he wants to live. Communities such as Palm Jumeirah, JVC and DSO offer almost every type of property.
Maintenance costs
In the process of making a decision, the buyer should also take into account the additional costs of maintaining the mansion. The owners of this type of property have to incur high cleaning costs, since its area is usually much larger than that of apartments. In addition, the territory of the villa, as a rule, is attached to the backyard and pool, which also require maintenance.
DEWA’s electricity, water and sewer bills will also be higher than flats, especially during the summer season when backyard and pool maintenance requires a lot of water.
ROI
Depending on the area, the return on investment in villas and flats may vary. Apartments have a high profitability: an average of 5.5 to 10% per year. The yield of mansion varies from 4 to 5.61% per year.
Areas of the city with the highest flat yields:
- International City – 10%;
- Barsha Heights – 10.1%;
- The Greens – 10.2%;
- Al Warsan – 10.8%;
- Dubai Studio City – 10.9%.
Areas of the city with the highest villa yields:
- Meydan City – 5.32%;
- The Lakes – 5.36%;
- Mudon – 5.41%;
- Reem – 5.60%;
- Green Community – 5.61%.
Lifestyle
When choosing the type of property, you should not forget about your lifestyle. When making a decision, the buyer needs to determine what is his main priority: privacy or simplicity. Multi-apartment complexes, as a rule, are located closer to the center, and, accordingly, to important infrastructure facilities and places of recreation.
Villas, on the other hand, are located mostly in suburban areas and gated communities further away from amenities and entertainment. These neighborhoods are great for families who want to raise their children in a quiet environment.
However, a lone professional looking to live close to their work environment, or a couple accustomed to relaxing in restaurants, bars, and other entertainment venues, will prefer apartment living.
Assistance with buying property in Dubai
A wide range of Dubai real estate in various configurations and price categories is presented in the AX Capital catalog. Contact the highly qualified specialists of the agency to get help with the selection of the optimal residential real estate, support at all stages of the transaction and high-quality after-sales service.
