Property for sale and rent. Real estate agents. Free listings.
With an abundance of property and real estate websites to choose from, you wouldn't be alone in feeling confused as to which one offers the best experience to its users. Our goal is to provide a very useful and informative website, covering the worldwide property market. Whether you are looking for a property in, or information on a particular country, or region, we aim to help you find what you need quickly and efficiently.
Featured Properties
sale
Holiday home in the Dominican Republic
Dominican-Republic Dominican-Republic Cabrera Holiday-home-in-the-Dominican-Republic Ideal in the way of a holiday home or for seasonal renting this house is located at Cabrera on the n
Ideal in the way of a holiday home or for seasonal renting this house is located at Cabrera on the n more...
sale
Villa Mar
Spain Andalucia Malaga Villa-Mar 3 BED 2 BATH HOME WITH SEPERATE GATE TO 4 SELF CATERING STUDIOS AND 1 BED APARTMENT IN OWN GARDEN FO
3 BED 2 BATH HOME WITH SEPERATE GATE TO 4 SELF CATERING STUDIOS AND 1 BED APARTMENT IN OWN GARDEN FO more...
rental
Las Ramblas Apartment
Spain Catalunya Barcelona Las-Ramblas-Apartment DESCRIPTION A beautiful apartment (75m2 or 807 ft2), located in a small exclusive passage between L
DESCRIPTION A beautiful apartment (75m2 or 807 ft2), located in a small exclusive passage between L more...
Featured Agents
Dream Living Town: Pilar de la Horadada
We specialise in properties for sale in Spain, Bulgaria and Florida. We can find you your ideal prop
Browse Articles
Buying A Property Abroad
An essential guide to the do\'s and dont\'s of buying a property abroad.
Turkey Real Estate Investment
How to find the right Investment Real Estate in Turkey? If you are considering buying a Real Estate in Turkey as an investment, now is the time to make your move! Since March 2007, turkish mortgage interest rates are low and Real Estate prices are rising steadily. In fact some buyers are now making their investment Real Estate purchase with turkish mortgage. At a time when Antalya’s airport has hosted 5 million tourists in 2005 an amazing 7 million in year 2006, a predicting for sharp increase in traffic to all the Turkish holiday resorts over the next few years is inevitable. Many people believe that the current rate of development will not be able to keep pace with the increased demand for private and holiday accommodation.
Safe as houses? - Why property is still a sound investment choice
Over the last decade we have witnessed a dramatic shift away from traditional areas of investment such as stocks and shares, bonds and gilts, savings schemes and antiques, towards property investment. Investing in overseas and emerging property markets has become more desirable as traditional areas have performed below par and yielded low returns for investors.
The Benefits Of Owning A Timeshare
As a new timeshare resale owner, you probably not aware of all the benefits you are going to receive. Besides saving up to 70% off of the original timeshare retail price, here is what other benefits you will discover.
Costa Rica for Developers and Hotel Chain Owners
Costa Rica is fast becoming a booming environment for foreign investment, and with those foreign dollars comes foreign visitors. Thousands of people are eagerly looking into relocating to Costa Rica, with many thousands more hoping to visit Costa Rica in the near future.
What You Need to Know About Your Real Estate Rental
Often a rental agreement is called a lease, especially if your renting real estate or immovable property such as building. You may rent real estate to park vehicle(s), storage, office/business space, agricultural, institutional, or government use, and of course housing. Basically the rental agreement will state who, what, when, and how much.
Top 5 Tips For Planning A Successful Property Inspection Trip
So you have scoured the internet for hours and hours and noted down hundreds of properties you would like more information on and to visit. The agent tells you they can arrange a viewing trip for you or you can of course make all the arrangements yourself, but how can you ensure you have a successful viewing trip and that you get the most out of your visit. Here are 5 tips to planning a successful property inspection trip.
Top 5 Tips on What To Look For When Considering Buying A Rural Property
A lovely rural house in a charming Bulgarian village can still be bought for as little as 5000 Euros in some areas but what should you consider when viewing such properties and making a decision on whether to purchase such a property?
An Introduction to Bulgaria - A Diverse Country of Diverse People
Bulgaria offers a diverse range of countryside from majestic snow capped mountains, to flat plains, rolling fields and then the sandy beaches along the southern part of the coast and the more craggy areas to the north.
Top 5 Tips For Buying Bulgarian Property Off-Plan
In August 2004 I entered into a disastrous agreement to purchase an off-plan apartment in Bansko, Bulgaria. Eventually after around a year of heated correspondence with the developer and a court action...
Buying Property in Spain
Every year many thousands of properties in Spain are sold to foreign investors. What is the attraction? Firstly the country has a great climate and that is particularly appealing to those people living under the grey skies of northern Europe. Getting there is both quick and relatively cheap. A flight from London in the United Kingdom to Malaga on the south coast of Spain takes only a little over two hours. It is possible to get some very cheap flights with either one of the well known budget airlines or by picking up a spare seat on one of the hundreds of charters that fly to Spain every day.
BULGARIA - The Hype, False Urgency and Exaggerated Returns
Did you see the episode of the BBC2 program \'How to pay off your mortgage in 2 years\'. In this episode the man of the family travelled to Bansko, Bulgaria looking for an investment property. I am not sure of how much he had to spend but he was taken to view a number of properties by an agent from an \'un-named\' agency and charged a whopping 1000 Euros for the privilege of doing so. Now this in itself should have started alarm bells ringing.
Top Five Tips For Successful Property Buying Abroad
As the amount of people looking to own a home abroad continues to increase, we have a quick look at some of the best top tips for successfully buying a property abroad.
The Benefits Of Buying Cyprus Properties
You may be one of the many people who have fallen in love with Cyprus whilst holidaying there or maybe you are simply looking for a great place to make a property investment. Whatever your reasons for looking to buy property in Cyprus, you will find that there are a great number of benefits to be had from life in Cyprus; from the weather to the people. Here we look at some of the best
Why You Need To Start Investing In Commercial Real Estate TODAY
Is The Pot At The End Of Your Rainbow Filled With Fool\'s Gold? Why You Need To Start Investing In Commercial Real Estate TODAY...
You may be looking to discuss or share your experiences with others, we have a forum and articles pages, where you can post your views and read related information. You may have a property related problem that you need the help with, there is sure to be someone else who has had a similar problem and is willing to help you.
We list all types of properties, including timeshares and rentals. If you have a property that you would like to advertise, you can list it here quickly and with no hassle. You have the option of a free listing, or one of our paid options for maximum exposure.
Find out more by clicking here
Latest Listings
* Bulgaria, Varna district, Provadiya local town, RURAL HOUSE IN NENOVO VILLAGE
* Detached villa
* Rural Village Period House Wiltshire UK
* House for Sale North Spain, Baque Country, Álava
* Prime Location Land for Sale in Dubai
* House for sale Andalucia
* Hidden Villa
* Luxury Two Bedroom, Two Bathroom Apartment in Buenos Airs
* land for sale Vidin
* Luxury houses in Greece
* Textile Park,Dhule, Maharashtra
* independent house for sale
* Private 4 bed villa for sale
* Oasis Marina project
* Historic house in need of renovation
* Moraira Teulada Linked house with two 2 bedroom apartments
* Lovely house in Larnaca
* Apartment for sale Slovakia
* apartment
* Trump Tower
Property
* Property to Buy
* Property to Rent
* Timeshares
* Auction Property
Advertising
* Private Advertising
* Submit Agency
* Trade Advertising
* Link Codes
Tools
* Currency Converter
* Area Converter
* Contact Form
I want to sell my house fast
* I want to sell my house fast
* Holiday Property Rentals
© WorldPropertyLinks.co.uk
Home | Conditions of Use | Resources
Monday, July 27, 2009
investment property
Investment Real Estate
What Does It Mean?
What Does Investment Real Estate Mean?
Real estate that generates income or is otherwise intended for investment purposes rather than as a primary residence. It is common for investors to own multiple pieces of real estate, one of which serves as a primary residence, while the others are used to generate rental income and profits through price appreciation. The tax implications for investment real estate are often different than those for residential real estate.
Investopedia Says
Investopedia explains Investment Real Estate
Common examples of investment properties are apartment buildings and rental houses, in which the owners do not live in the residential units, but use them to generate ongoing rental income from tenants. Those who invest in real estate also expect to generate capital gains as property
Monday, July 20, 2009
property investment
Property Investment
View PDF | Print View
by: stickystebee
Total views: 9
Word Count: 373
Date: Thu, 18 Dec 2008 Time: 8:04 AM
1 comments
Financial investments are something that you invest something in (such as time, money, personal property…) with the hope of the investment making gains in profit. There are many different things that you can make financial investments in, some of them being real estate, a business, and the stock market. Many people choose to invest in real estate. Real estate can be anything from a single family home to commercial property to apartments, condos, and multi family residents. Those that invest hope that the property will make them money. The investor can make money from renting out the property to an individual to live in or to a business to operate out of. The investor can also make money by holding onto the property in hopes that property prices will increase and then sell it for a profit. There are also some investors that will buy unwanted rundown or damaged houses, repair them and then sell them for more than they paid for them, usually supported by a mortgage bond. Other people will want to invest in there own business. These investors will invest in everything from the building they use, to the equipment they need to run the company. They will also have to invest money and time to find employees and research their company’s field. These types of investors hope there business will become profitable in what it does and that it will make them all the money back they spent and then continue to be profitable. Some of these financial investors also try to build there business to a point where they can make money by selling there already established business to someone else for more than they put into them. There are also some people that invest in the stock market. These investors will buy stocks on a market of large publicly traded companies and will hold onto these stocks with the hope of them rising in price. These investors will then sell there stocks for more than they paid for them and make a profit. There are many ways to make financial investments and many people make all of their money investing in these things.
About the Author
Portect your property investments with a mortgage bond from the reputable supplier JW Surety Bonds!
View PDF | Print View
by: stickystebee
Total views: 9
Word Count: 373
Date: Thu, 18 Dec 2008 Time: 8:04 AM
1 comments
Financial investments are something that you invest something in (such as time, money, personal property…) with the hope of the investment making gains in profit. There are many different things that you can make financial investments in, some of them being real estate, a business, and the stock market. Many people choose to invest in real estate. Real estate can be anything from a single family home to commercial property to apartments, condos, and multi family residents. Those that invest hope that the property will make them money. The investor can make money from renting out the property to an individual to live in or to a business to operate out of. The investor can also make money by holding onto the property in hopes that property prices will increase and then sell it for a profit. There are also some investors that will buy unwanted rundown or damaged houses, repair them and then sell them for more than they paid for them, usually supported by a mortgage bond. Other people will want to invest in there own business. These investors will invest in everything from the building they use, to the equipment they need to run the company. They will also have to invest money and time to find employees and research their company’s field. These types of investors hope there business will become profitable in what it does and that it will make them all the money back they spent and then continue to be profitable. Some of these financial investors also try to build there business to a point where they can make money by selling there already established business to someone else for more than they put into them. There are also some people that invest in the stock market. These investors will buy stocks on a market of large publicly traded companies and will hold onto these stocks with the hope of them rising in price. These investors will then sell there stocks for more than they paid for them and make a profit. There are many ways to make financial investments and many people make all of their money investing in these things.
About the Author
Portect your property investments with a mortgage bond from the reputable supplier JW Surety Bonds!
Friday, July 17, 2009
invest in property in abu dhabi
Home | Finance | Real-estate
Invest in Property in Abu Dhabi.
By: Marc Da-Silva
Unrated
Your Rating
Add a comment to your rating
The fast growing Arabian capital of Abu Dhabi is the richest and largest of all the seven UAE states. The city is located on a T-shaped island leading into the Persian Gulf, from the central western coast, and has a population of around 900,000 inhabitants. It currently controls 90 per cent of the oil wealth in the region, making it one of the largest producers of oil in the world.
The economy
Abu Dhabi has the largest fossil fuel reserve in the UAE, is the fourth biggest natural gas producer in the world, has the world's highest income per capita, is home to almost all of the Arabic Fortune 500 companies, and is currently sitting on over 88 billion barrels of proven oil reserves.
Nonetheless, the emirate is now actively trying to reduce its reliance on oil, and is diversifying its economy into the financial services and tourism sectors. Billions of pounds have been allocated for infrastructure projects and the development of residential, leisure and cultural schemes across the oil-rich emirate.
Abu Dhabi is determined to challenge Dubai and establish itself as a major tourist destination, buoyed by its subtropical climate and 700 km coastline of unspoiled beaches and cultural sites.
Tourist attractions include the Louvre and Guggenheim museum, a wildlife reserve, a UAE public library, the National Theatre, and the development of the �13.5 billion Saadiyat Island.
In 2009 Abu Dhabi will host its first ever Formula One grand prix on the Yas Island, which includes a Ferrari theme park. Elsewhere, Aldar Properties will develop a $3billion (�1.5billion) Motor World, including service centres and a museum, as well as offices, hotels and homes for 30,000 people.
David Nicholls of EM concepts says: "The plans for Abu Dhabi are truly remarkable. The transport infrastructure is also already sound and the states pockets are bottomless."
The emirate is served by several major airlines, including British Airways, BMI, Eagle Air, KLM, Etihad Airways, Gulf Air, Qatar Airways and Lufthansa. Incidentally, hotel occupancy rates currently stands at over 80 per cent, up from around 60 per cent in 2003.
James Gonzalez of Obelisk comments: "Abu Dhabi plans to be a premier global tourism destination. Within the next three years, the emirate will see major investment in airport infrastructure, which will increase airport capacity from seven million to 20 million passengers a year by 2011."
Abu Dhabi's rapid growth and rising tourism levels is driving demand, causing a massive property surge, similar to that experienced in Dubai a few years ago.
Property market
Unlike neighbouring Dubai, where it is feared that there will soon be a total oversupply of properties, in Abu Dhabi, there is currently a reported housing shortfall of around 20,000 units. The supply of housing stock remains scant, partly because Abu Dhabi is not part of a community master-plan like those pioneered by Emaar and Nakheel in Dubai.
Carlo Walther, head of business development for Rightmove Overseas, comments:
"From an investor's point of view, Abu Dhabi has several serious advantages... With a $200 billion investment programme scheduled for the next 10 years, it's little wonder that there is such excitement around this market."
Supply constraint in relation to demand, combined with soaring building material and labour costs, effectively forced average property prices in Abu Dhabi upwards by around 30 per cent last year, according to HSBC.
This level of capital growth appears to be sustainable in the short to medium-term, as Abu Dhabi's property market is still developing and is not interlinked with the financial markets, as is the case in some other mature economies. Consequently, the housing market in Abu Dhabi does not operate on the same fundamentals as a more established property market.
The release of new residential schemes is currently happening in a controlled fashion, thus avoiding an oversupply. Yet, the city's population is increasing, placing extra pressure on the property sector.
Furthermore, a glance at the UAE's maturing mortgage market seems to suggest that property prices will indeed appreciate further. The size of the UAE's mortgage market, which currently stands at around $4.4billion (�2.2billion), is expected to grow to around $44billion (�22billion) over the next four years, according to financial group, EFG Hermes.
The vigorous demand being recorded, could see property prices in Abu Dhabi - which reportedly average around �250 per sq ft - exceed those in Dubai over the next three years, according to UAE investment bank, Shuaa Capital. HSBC forecasts that average property prices in the emirate will appreciate by a further 25 per cent this year alone.
Flipping
Rapid price growth has encouraged some speculative investors to resale before they're even been built, otherwise referred to as 'flipping'. Buying off-plan property abroad and 'flipping' it is not uncommon, particularly in an emerging market like Abu Dhabi, as this can prove to be a highly lucrative way of making money.
Middle East business provider, AME Info recently reported that some property investors' are currently doubling their money in off-plan units in as little as nine days. But investors should be aware of the potentially high risks associated with 'flipping' properties, particularly in a market that lacks transparency. A medium to long-term property investment strategy will often lower the associated risks.
Buy-to-let
Investors seeking a longer-term property investment will be keen to learn that average rents in Abu Dhabi rose by 22 per cent last year, according to HSBC. Double figured rental yields are currently being achieved by some buy-to-let investors. Property prices will therefore have to rise, so that rental returns achieve traditionally lower yields, as is the case in more mature property markets.
However, Abu Dhabi is now trying to control rental inflation with a rent cap. The city plans to follow the example of Dubai, who recently lowered its cap from secent to five per cent.
Cheap finance
The UAE Dirham (AED) is fixed to the US dollar at one value, meaning the UAE Central Bank has to follow US interest rate policy. While the recent poor US dollar showing has devalued the AED, it's also lowerered the cost of borowing money to buy property in the UAE.
However, the falling US dollar is adding to the UAE's inflation problem. Therefore the existing mechanism is proving a problem. Consequently, there are now murmurings that the AED may finally break free from its peg to the US dollar.
"The only way to combat this (inflationary problems) is to lose the peg and allow the AED to float freely," says Nicholls. "If the AED does break free from the US dollar, then the value of the Arabian currency is likely to appreciate very quickly, which will translate back to a greater return to the investor when the AED based property asset is sold and funds returned to the UK."
Tax-efficiency
As a domicile in Abu Dhabi there is no income or capital gains tax to pay, making the emirate a tax haven, and there is no restriction on setting-up residency. Properties in Abu Dhabi are offered on a leasehold basis of up to 99-years, as there are no freeholds available. Purchasing costs equate to around 1.5 per cent of the property price.
Summary
With demand heavily outweighing supply, fast appreciating property prices, cheap borrowing costs and strong rental returns, 2008 should prove to be a great year for Abu Dhabi property as an asset class.
Article Source: http://www.articlesnatch.com
About the Author:
Marc Da-Silva for Homes Overseas - Property for sale in Abu Dhabi, property investment advice and international property news.
Tags: real-estate, abu dhabi, investment real estate, property investment, investment property, real estate investment, flipping
ShareThis | Print | Ezine Ready | [Articles about real-estate Feed] | [Articles From This Author Feed]
Unrated
Your Rating
Add a comment to your rating
* Recent Real-Estate Articles
* Comments
Recent Real-Estate Articles
* Mexico Real Estate sees benefits from redoubled promotion of tourism in the U.S. By: Thomas Lloyd - Mexico real estatefor foreigners is in many ways interdependent on Mexico’s foreign tourism. In addition to the fact that the economy of most Mexico real estate destinations is heavily dependent on tourism, much of the infrastructure and activities in these destinations has been provided to support the tourist industry.
* Tourism on the rise a good sign for Puerto Vallarta Real Estate By: Jim Scherrer - Puerto Vallarta Real Estate slowed down considerably because of the global recession, then by the lull in tourism triggered by the swine flu travel advisory. Although the global economic situation continues, Puerto Vallarta´s resilient charm and beauty are bringing the tourists back again.
* Nature, a key element in Puerto Vallarta real estate, protected as residents and visitors join force By: Jim Scherrer - Puerto Vallarta Real Estate always offers many, diverse activities for residents of the city. One of the activities which foreign visitors and residents alike enjoy is caring for the natural beauty of the area one of Puerto Vallarta Real Estate’s most important attractions. During the following months there will be a focus on protecting newly born sea turtles.
* Yucatan Beachfront Properties on the Gulf Coast By: Mitch Keenan - The Yucatan Real Estate market has been increasing in popularity as more people discover its Haciendas, Colonial Homes, and inexpensive Waterfront properties along the Gulf of Mexico. From Celestun to Progreso to Isla Holbox, Yucatan Beachfront Properties on the Gulf Coast, also known as The Emerald Coast or The Flamingo Coast, enjoys miles of undeveloped and virgin beaches.
* THE YUCATAN REAL ESTATE CLIMATE By: Mitch Keenan - WEATHER The weather in Yucatan is Tropical. Welcome to life in the tropics. If you are looking for real estate in Yucatan it gets hot and gets humid. Hurricanes are common on the Caribbean side of the peninsula but much less so on the Gulf Coast. Tropical weather can be severe.
* Staging a House with Cigarette Smoke Residue By: Lesa Parham - One of the particular challenges that comes with staging some older homes, especially ones that have had the same residents for decades, is that of nicotine residue accumulation. When someone smokes in a home for many years an oily residue builds up on the walls, on the furniture, and in the carpeting making the surfaces sticky and leaving an acrid odor.
* Austin: an Eclectic Destination in the Heart of Texas By: Lesa Parham - Many people have a mental picture of Texas that includes many a cowboy hat and a conservative way of life. However, those are the images of people who've never been to Texas and experienced the variety to be found, particularly in the amazing city of Austin. The origins of Austin stem from way back before Texas was even a state.
* Commercial Real Estate: The Importance of Population Trends By: Craig Higdon - While commercial real estate can be an excellent investment, it’s all but impossible to succeed in this competitive environment without some sort of game plan.
* Commercial Real Estate: Raising Equity By: Craig Higdon - GETTING STARTED WITH INVESTORS Those researching the subject of commercial real estate investment are likely to encounter the term OPM” on a regular basis. OPM is an acronym for Other People’s Money.” I’ve covered this topic in general in an earlier article, but today I want to focus on raising equity” for your commercial purchase transactions.
* How house prices affect our everyday lives By: Colin Murphy - After a (very) long winter, spring seems to have brought a touch of sunshine to American house prices. The latest Case Shiller indices were released last week and they showed that average prices continued to fall in April 2009: the ten city index was 0.7% lower the 20 city index was 0.6% lower than the previous month.
Comments
Comment on this Article
@Controls
(Powered by JS-Kit)
Comment on this Article
Leave a comment as:
[logout]
Nickname (required):
URL:
Send replies to email:
(if provided, email will not be displayed or shared)
Rating:
Your Rating
Comment:
Avatars management:
No avatars uploaded
Upload new avatar:
Upload new image (up to 10 megabytes):
[more]
(Powered by JS-kit)
(Spam filtering by Akismet)
Still can't find what you are looking for? Search for it!
Invest in Property in Abu Dhabi.
By: Marc Da-Silva
Unrated
Your Rating
Add a comment to your rating
The fast growing Arabian capital of Abu Dhabi is the richest and largest of all the seven UAE states. The city is located on a T-shaped island leading into the Persian Gulf, from the central western coast, and has a population of around 900,000 inhabitants. It currently controls 90 per cent of the oil wealth in the region, making it one of the largest producers of oil in the world.
The economy
Abu Dhabi has the largest fossil fuel reserve in the UAE, is the fourth biggest natural gas producer in the world, has the world's highest income per capita, is home to almost all of the Arabic Fortune 500 companies, and is currently sitting on over 88 billion barrels of proven oil reserves.
Nonetheless, the emirate is now actively trying to reduce its reliance on oil, and is diversifying its economy into the financial services and tourism sectors. Billions of pounds have been allocated for infrastructure projects and the development of residential, leisure and cultural schemes across the oil-rich emirate.
Abu Dhabi is determined to challenge Dubai and establish itself as a major tourist destination, buoyed by its subtropical climate and 700 km coastline of unspoiled beaches and cultural sites.
Tourist attractions include the Louvre and Guggenheim museum, a wildlife reserve, a UAE public library, the National Theatre, and the development of the �13.5 billion Saadiyat Island.
In 2009 Abu Dhabi will host its first ever Formula One grand prix on the Yas Island, which includes a Ferrari theme park. Elsewhere, Aldar Properties will develop a $3billion (�1.5billion) Motor World, including service centres and a museum, as well as offices, hotels and homes for 30,000 people.
David Nicholls of EM concepts says: "The plans for Abu Dhabi are truly remarkable. The transport infrastructure is also already sound and the states pockets are bottomless."
The emirate is served by several major airlines, including British Airways, BMI, Eagle Air, KLM, Etihad Airways, Gulf Air, Qatar Airways and Lufthansa. Incidentally, hotel occupancy rates currently stands at over 80 per cent, up from around 60 per cent in 2003.
James Gonzalez of Obelisk comments: "Abu Dhabi plans to be a premier global tourism destination. Within the next three years, the emirate will see major investment in airport infrastructure, which will increase airport capacity from seven million to 20 million passengers a year by 2011."
Abu Dhabi's rapid growth and rising tourism levels is driving demand, causing a massive property surge, similar to that experienced in Dubai a few years ago.
Property market
Unlike neighbouring Dubai, where it is feared that there will soon be a total oversupply of properties, in Abu Dhabi, there is currently a reported housing shortfall of around 20,000 units. The supply of housing stock remains scant, partly because Abu Dhabi is not part of a community master-plan like those pioneered by Emaar and Nakheel in Dubai.
Carlo Walther, head of business development for Rightmove Overseas, comments:
"From an investor's point of view, Abu Dhabi has several serious advantages... With a $200 billion investment programme scheduled for the next 10 years, it's little wonder that there is such excitement around this market."
Supply constraint in relation to demand, combined with soaring building material and labour costs, effectively forced average property prices in Abu Dhabi upwards by around 30 per cent last year, according to HSBC.
This level of capital growth appears to be sustainable in the short to medium-term, as Abu Dhabi's property market is still developing and is not interlinked with the financial markets, as is the case in some other mature economies. Consequently, the housing market in Abu Dhabi does not operate on the same fundamentals as a more established property market.
The release of new residential schemes is currently happening in a controlled fashion, thus avoiding an oversupply. Yet, the city's population is increasing, placing extra pressure on the property sector.
Furthermore, a glance at the UAE's maturing mortgage market seems to suggest that property prices will indeed appreciate further. The size of the UAE's mortgage market, which currently stands at around $4.4billion (�2.2billion), is expected to grow to around $44billion (�22billion) over the next four years, according to financial group, EFG Hermes.
The vigorous demand being recorded, could see property prices in Abu Dhabi - which reportedly average around �250 per sq ft - exceed those in Dubai over the next three years, according to UAE investment bank, Shuaa Capital. HSBC forecasts that average property prices in the emirate will appreciate by a further 25 per cent this year alone.
Flipping
Rapid price growth has encouraged some speculative investors to resale before they're even been built, otherwise referred to as 'flipping'. Buying off-plan property abroad and 'flipping' it is not uncommon, particularly in an emerging market like Abu Dhabi, as this can prove to be a highly lucrative way of making money.
Middle East business provider, AME Info recently reported that some property investors' are currently doubling their money in off-plan units in as little as nine days. But investors should be aware of the potentially high risks associated with 'flipping' properties, particularly in a market that lacks transparency. A medium to long-term property investment strategy will often lower the associated risks.
Buy-to-let
Investors seeking a longer-term property investment will be keen to learn that average rents in Abu Dhabi rose by 22 per cent last year, according to HSBC. Double figured rental yields are currently being achieved by some buy-to-let investors. Property prices will therefore have to rise, so that rental returns achieve traditionally lower yields, as is the case in more mature property markets.
However, Abu Dhabi is now trying to control rental inflation with a rent cap. The city plans to follow the example of Dubai, who recently lowered its cap from secent to five per cent.
Cheap finance
The UAE Dirham (AED) is fixed to the US dollar at one value, meaning the UAE Central Bank has to follow US interest rate policy. While the recent poor US dollar showing has devalued the AED, it's also lowerered the cost of borowing money to buy property in the UAE.
However, the falling US dollar is adding to the UAE's inflation problem. Therefore the existing mechanism is proving a problem. Consequently, there are now murmurings that the AED may finally break free from its peg to the US dollar.
"The only way to combat this (inflationary problems) is to lose the peg and allow the AED to float freely," says Nicholls. "If the AED does break free from the US dollar, then the value of the Arabian currency is likely to appreciate very quickly, which will translate back to a greater return to the investor when the AED based property asset is sold and funds returned to the UK."
Tax-efficiency
As a domicile in Abu Dhabi there is no income or capital gains tax to pay, making the emirate a tax haven, and there is no restriction on setting-up residency. Properties in Abu Dhabi are offered on a leasehold basis of up to 99-years, as there are no freeholds available. Purchasing costs equate to around 1.5 per cent of the property price.
Summary
With demand heavily outweighing supply, fast appreciating property prices, cheap borrowing costs and strong rental returns, 2008 should prove to be a great year for Abu Dhabi property as an asset class.
Article Source: http://www.articlesnatch.com
About the Author:
Marc Da-Silva for Homes Overseas - Property for sale in Abu Dhabi, property investment advice and international property news.
Tags: real-estate, abu dhabi, investment real estate, property investment, investment property, real estate investment, flipping
ShareThis | Print | Ezine Ready | [Articles about real-estate Feed] | [Articles From This Author Feed]
Unrated
Your Rating
Add a comment to your rating
* Recent Real-Estate Articles
* Comments
Recent Real-Estate Articles
* Mexico Real Estate sees benefits from redoubled promotion of tourism in the U.S. By: Thomas Lloyd - Mexico real estatefor foreigners is in many ways interdependent on Mexico’s foreign tourism. In addition to the fact that the economy of most Mexico real estate destinations is heavily dependent on tourism, much of the infrastructure and activities in these destinations has been provided to support the tourist industry.
* Tourism on the rise a good sign for Puerto Vallarta Real Estate By: Jim Scherrer - Puerto Vallarta Real Estate slowed down considerably because of the global recession, then by the lull in tourism triggered by the swine flu travel advisory. Although the global economic situation continues, Puerto Vallarta´s resilient charm and beauty are bringing the tourists back again.
* Nature, a key element in Puerto Vallarta real estate, protected as residents and visitors join force By: Jim Scherrer - Puerto Vallarta Real Estate always offers many, diverse activities for residents of the city. One of the activities which foreign visitors and residents alike enjoy is caring for the natural beauty of the area one of Puerto Vallarta Real Estate’s most important attractions. During the following months there will be a focus on protecting newly born sea turtles.
* Yucatan Beachfront Properties on the Gulf Coast By: Mitch Keenan - The Yucatan Real Estate market has been increasing in popularity as more people discover its Haciendas, Colonial Homes, and inexpensive Waterfront properties along the Gulf of Mexico. From Celestun to Progreso to Isla Holbox, Yucatan Beachfront Properties on the Gulf Coast, also known as The Emerald Coast or The Flamingo Coast, enjoys miles of undeveloped and virgin beaches.
* THE YUCATAN REAL ESTATE CLIMATE By: Mitch Keenan - WEATHER The weather in Yucatan is Tropical. Welcome to life in the tropics. If you are looking for real estate in Yucatan it gets hot and gets humid. Hurricanes are common on the Caribbean side of the peninsula but much less so on the Gulf Coast. Tropical weather can be severe.
* Staging a House with Cigarette Smoke Residue By: Lesa Parham - One of the particular challenges that comes with staging some older homes, especially ones that have had the same residents for decades, is that of nicotine residue accumulation. When someone smokes in a home for many years an oily residue builds up on the walls, on the furniture, and in the carpeting making the surfaces sticky and leaving an acrid odor.
* Austin: an Eclectic Destination in the Heart of Texas By: Lesa Parham - Many people have a mental picture of Texas that includes many a cowboy hat and a conservative way of life. However, those are the images of people who've never been to Texas and experienced the variety to be found, particularly in the amazing city of Austin. The origins of Austin stem from way back before Texas was even a state.
* Commercial Real Estate: The Importance of Population Trends By: Craig Higdon - While commercial real estate can be an excellent investment, it’s all but impossible to succeed in this competitive environment without some sort of game plan.
* Commercial Real Estate: Raising Equity By: Craig Higdon - GETTING STARTED WITH INVESTORS Those researching the subject of commercial real estate investment are likely to encounter the term OPM” on a regular basis. OPM is an acronym for Other People’s Money.” I’ve covered this topic in general in an earlier article, but today I want to focus on raising equity” for your commercial purchase transactions.
* How house prices affect our everyday lives By: Colin Murphy - After a (very) long winter, spring seems to have brought a touch of sunshine to American house prices. The latest Case Shiller indices were released last week and they showed that average prices continued to fall in April 2009: the ten city index was 0.7% lower the 20 city index was 0.6% lower than the previous month.
Comments
Comment on this Article
@Controls
(Powered by JS-Kit)
Comment on this Article
Leave a comment as:
[logout]
Nickname (required):
URL:
Send replies to email:
(if provided, email will not be displayed or shared)
Rating:
Your Rating
Comment:
Avatars management:
No avatars uploaded
Upload new avatar:
Upload new image (up to 10 megabytes):
[more]
(Powered by JS-kit)
(Spam filtering by Akismet)
Still can't find what you are looking for? Search for it!
Subscribe to:
Posts (Atom)
