As Dubai's residential property market seems to be looking up once again, many, who were sitting on the sideline, are thinking of buying a place in the city. Experts believe that any money put into the market now will see healthy returns in the future but there are certain things to consider before people put in their lives savings into buying a house.
Emirates 24|7 spoke with some experts in the industry, who believe a little bit of caution can go a long way.
According to Charles Neil, Chief Executive Officer at Landmark Properties, some important factors are always on a home buyer's mind. Listing the factors, he says: "Location, who the Master developer is, who the building contractor was, monthly electricity costs, service charges, quality of build, energy efficiency, is there an existing mortgage on the property, does the buyer require a mortgage," are some very important things that should be clarified before signing any kind of legal papers.
Location and the return on investment are things that often influence the decision of the buyer, according to Tareq Gouda, Team Leader, City Tower Office, Better Homes.
"Buyers often look for the best their money can buy but the No.1 factor has been location, property size, amenities and community advantages. Our experience indicates that buyers should also consider the quality of the property and the neighbourhood," he told this website.
Elaborating on some other factors that a buyer should also keep in mind while deciding to purchase a property, Neil added: "Geo political risk, is the property for own use or an investment, if buying an apartment what issues there are vis-a- vis the developer and interim owners associations, are the service charges transparent, how many people have paid their service charges, is the apartment block at risk of having its electricity cut off for non-payment of electricity bills by developer," are things to be considered. "The list is endless," he added.
"I bought an affordable apartment in the city during the boom years but the place is so run-down today and the list of problems that I had to face was endless so I disposed it off. On the other hand, my friend who invested more in a good location, was in a much better situation even when the property market was at its worst. I've learnt my lesson - location and location is the one thing to remember and of course the developer," a property owner told this website.
© Emirates 24|7 2012
