Property Buyers Line up in Dubai as New Projects Sell out Within Hours of their Debut
The Nshama project has a high demand and sold out in three hours.
Long lines of homebuyers are once again a common sight in Dubai from the days before COVID. As the real estate market makes a strong comeback, Dubai is once again seeing investors and end-users in line to purchase a piece of the properties being launched by reputable developers.
Within a few hours of its weekend launch, investors and end-users flocked to the 200+ units of Shams Townhouses built by UAE-based property developer Nshama in Town Square. In the early hours of Saturday, there were lengthy lines of potential customers outside Nshama Townsquare Sales Center.
Positive Properties' Jeff Raju Kuruvilla, a sales manager, claimed to have been among the first in line.
On Saturday morning, at 4 a.m., more than 100 people lined up to purchase this project. Instead of settling for what is left over after paying the initial entry fees and purchasing a share of the development's development, buyers can select the property they want.
First-time home buyers are becoming more prevalent, according to Jeff, who has been in the industry for more than nine years.
"I have had a lot of clients who are buying their homes in the UAE for the first time in the last couple of months," he said. "There are many reasons why people decide to purchase here. Two of the most popular explanations are the lack of taxes and the simplicity of doing business.
Jeff continued by saying that, in his opinion, the recent stock market fluctuations have also boosted interest in real estate. The value of a property "is rarely going to crash like stocks crash," he asserted. It is a tangible asset that will always be in demand. So many people believe that investing in real estate is currently one of the safest bets, he added.
Why was there a line-up for the project?
The Nshama project is oversubscribed and was sold out in less than three hours, according to sources in the real estate sector.
A three-bedroom townhouse with a built-up area of 2,100 square feet costs Dh1.62 million, and a four-bedroom home with a built-up area of 2,381 square feet costs Dh2.1 million. The buyers were given the option of paying a 10% down payment, 40% during construction, and 50% upon delivery in 2024.
Investors and end users have previously lined up in Dubai in the early morning hours on the day of the project launches by major developers like Emaar Properties.
The Murooj Al Furjan West development in Dhaka saw a strong response with long queues of investors on the day of the sale of its 360 units. The three- and four-bed units were offered at a starting price of Dh1.85 million.
Is the real estate boom back?
Villas and townhouses have been leading the real estate recovery in Dubai following the COVID-19 pandemic, as foreign investors have flocked to the emirate in response to the successful management of the pandemic.
According to the most recent data from the Dubai Land Department, there were 6,651 real estate sales transactions in May 2022 totaling Dh18.3 billion, making it the highest May in terms of volume and value of real estate sales in the previous 13 years. When compared to May 2021, this represents a 65.4% increase in sales value and a 51.5% increase in sales volume year over year.
Additionally, there is a significant demand from new homebuyers who are eager to purchase Golden Visas.
Source: Khaleej Times