After Dubai, Abu Dhabi is the second most favorite housing destination for those working in Dubai. Not only is close to Dubai but the housing and utilities are comparatively inexpensive here. The lull a few years ago did not dampen the real estate scene in this part of the UAE as is evident from the bludgeoning growth of new developments. Currently, the rental market is going through a slump but the spirit of buyers is not dampened as new properties are being lapped up. The off-plan units are the ones that are selling like hotcakes because of their attractive rates and payments plans.
According to recent reports, the market will remain subdued in the beginning quarter of this year while in reality, the developers are all gearing up to address insufficient housing in the middle-income group – people earning between Dh15,000 to Dh 30,000. There are several projects are upcoming to lessen the gap in this segment of society. The UAE government has brought in new housing policies to help in this growth. Affordable housing is seeing a growth curve contrary to the present slump in the market.
A common misconception that people who want to buy property in Abu Dhabi have is that the buyers actually have limited powers whereas, in reality, they are in a position to call the shots. The current situation of oversupply of units has forced developers and vendors to rethink their selling practices and reduce the prices giving more power to home buyers who can now negotiate the terms of sale and rent. Developers have to resort to waiving in off service charges and reducing municipality fees in order to woo buyers and tenants.
The steady decline in rentals would push one to think that even villa rental rates must be on the descent but it is surprising to see that villas, especially the four-bedroom villas have seen an increase in rentals as seen from the increase in the Mohammed Bin Zayed City reports. The rentals for five-bedroom villas again have remained stable without any decline. Another popular area, Al Reef too has maintained steady rentals and this holds good for the apartments too.
In reality, in Abu Dhabi, you do not have to be close to any supermarkets or dining outlets because everything gets delivered to your doorstep. This is advantageous because the public transport isn’t the best in the world and taxi’s not the most reliable as many taxi drivers do not know the street names even.
Finally, everybody knows that Khalifa City A, Golf Gardens and Raha Gardens are good for investment but as expats, you can buy only in Reem Island, Al Reef, Raha Beach condos. Hence, do not fall prey to any agent who shows you property in any area other than those stated here. Another point to note is that expats get only 99-year leases on their purchase and it is not freehold.
The changing scenario can leave a home buyer confused and lost but with the help of a seasoned real estate agent like fazwaz.ae purchasing property in the UAE is easy as they can present facts and expectation clearly and help you make a sane choice.