Saturday 25 June 2022 - 9:21:41 am

UAE Press: Robust economy, quality of life drives UAE’s real estate demand


ABU DHABI, 11th February, 2022 (WAM) -- A UAE newspaper has said that the country’s real estate market has become a perfect choice for long term overseas investors, largely driven by robust economy that proved its resilience during a global pandemic and the ever improving quality of life.

In an editorial on Saturday, Gulf News said that while the comparative property prices is a major factor for real estate investors in general, the final investment decision will depend on the fundamentals of the economy and livability that will ultimately drive price appreciation.

The paper conyinued, "Latest data from the economy and its key sectors point that the UAE is one of the emerging countries globally in terms of economic stability and is driven by pro-growth fiscal and monetary policies along with structural and social changes needed to drive growth.

"Given the strong macroeconomic fundamentals driving the overall economic growth in the country, it is no surprise that the country is fast emerging as a hot destination for property investors."

A recently launched global property index, the Best Investment Migration Real Estate Index, in response to surging demand among global investors for alternative residence and citizenship options in the wake of economic turbulence caused by the COVID-19 pandemic, the UAE has emerged the top choice.

Although the price of property per square metre is a key driver in investment decisions, global investors’ choice of a country as their new residence is driven more by factors such as safety, economic opportunities, progressive legislative framework and the social cohesion.

In recent years, the UAE has undertaken a number of initiatives in terms of changes in investment laws, labour market reforms and general legislative changes needed to improve the quality of life for all opting to reside in the country.

In the new index, the UAE is ranked No. 1 in index subfactors such as ‘reputation’ and ‘quality of life’, and No. 2 in subfactors such as ‘rental income’ and ‘saleability’.

From a pure investment perspective too, factors such as the minimum real estate investment amount, potential rental income, associated property costs, application processing efficiency, the real estate holding period, residence requirements and saleability too have worked in favour of the UAE.

"Undoubtedly, the emergence of the UAE as destination of choice for those taking up a permanent or long term residence reflects much more than high return investment, rather it is a big vote of confidence by global investors in a progressive nation backed by a robust economy," concluded the Dubai-based daily.

 

WAM/Esraa Ismail/MOHD AAMIR