Current UAE market trend is off-plan properties. Investors prefer to purchase off-plan properties and new homes instead of developing a ready-made rental portfolio.
The strategy is to focus on greater capital gain. However, whilst the gain can be higher but the property is off-plan (This means it’s either at launch stage or under construction).
Buying off-plan means an investor is purchasing a property 12-36 months before it's complete. By doing this it means the property will be cheaper than it’s eventual value once it’s handed over to be occupied.
By being cheaper means there will be more capital appreciation or profit for the investor. When buying off-plan, one doesn't pay 100% upfront. The payment for the property is spread over a payment plan that is usually linked to construction stages. Some Developers add restrictions so that you can only sell the property after you’ve paid a certain amount, which is in place to prevent speculators from purchasing.
