This year, there are a total of 59,822 uncompleted off-plan projects in Dubai so far. Though 2019 has been off to a great start. Off-plan sales in the emirate made a strong comeback in February, with the record number of sales seen to have the best monthly performance since May 2018.
In the populous city, Dubai Hills Estate, Dubai Marina, Dubai Creek Harbour, Business Bay and MBR City (Al Merkhadh) are the top performing areas in terms of off-plan property in Dubai.
And so, Dubai has a plethora of off-plan projects that have launched and a variety to choose from. Arabian Ranches 3’s newest subcommunities Joy and Sun, Emaar Beachfront, The Exclusive 9, and Creek Beach are examples of off-plan projects that were recently announced. In terms of prices, here are a few guidelines and tips to help you with your purchasing decision:
Know the price per sq.ft.
First things first, know the price per sq. ft. Why? Determining the value of the property is a great indicator of the house’s actual worth. So, it’s highly important to know. If you’ll narrowly look at the overall property price, it means you’re buying an expensive property. To know the difference and to calculate the value, pick the unit size number and divide it by the product price.
Check the prices of ready properties in the same area
Research. Research. Research. You might be paying for an off-plan unit with the same price as the ready property in the same area. Make sure to check the prices as well as the historical property transactions in the area you have your eye son. According to fäm Properties’ statistics, the overall value for off-plan property in Q1 is 3.109K while for ready property us 4.790K in 2019. For the full breakdown, here is a simple tool that easily breaks it down for you.
Understand the value proposition of the project
Before buying into anything, ask yourself if you’re ready to pay an extra amount to invest or reside in a building or unit, or alternatively have the same lifestyle in the building located adjacent and pay less.
Purchasing during the project launch
By around 2016 - 2017, there were no offers during the launch. For the last two years, developers usually give great offers such as 2% or 4% DLD registration waiver or post handover payment plans for the last 2 years. Then, purchasing during the launch might mean competing with owners who will sell for an amount similar to your purchasing price value. However, by the end of 2018, developers started launching the projects with offers right away.
Understand what you’re paying for
Are you paying for the net area - includes the liveable/internal area plus the balcony - or for the total area - includes the net area plus the utility area?
If you are buying a unit with a large balcony or terrace, then make sure that the price of the sq.ft price of the internal area is higher than the balconys sq.ft.
Here’s a list of our off-plan properties that you might be interested in looking at.