BackEmaar Beachfront is a highly sought-after location for those looking to invest in Dubai's real estate market. It's a prime location, with luxurious properties and exceptional amenities. But did you know that investing in resale properties in Emaar Beachfront can offer sellers a high premium for their investment?
Resale has many advantages, including the ability to use the property from the moment of payment. Additionally, the cost of a resale home may be lower than that of a newly completed property, allowing buyers to purchase properties at a reduced cost. Buyers can physically assess the quality of development and repair and buy a home in an established community with a complete infrastructure. Moreover, they can immediately rent out the property and make a profit.
According to Property Monitor, the total number of resale transactions equalling 4,425 by the end of 2022, representing a market share of nearly half (43.4%). These resales transactions refer to any subsequent sale of a property (off-plan or completed) that follows the initial first-time sale from the developer. A growing portion of the jump in resale activity can be attributed to secondary sales of off-plan properties.
Sellers of off-plan properties can benefit from cashing out with a premium on their investment. Typically, sellers can sell their off-plan property after paying a specific percentage of the property value based on their SPA with the property developer, which usually stands at 30% to 40% of the initial value. The uptick in off-plan resales is closely monitored, and any significant increase is viewed as a cautionary market signal of a bubble bursting.
