New Study Reveals Majority of Dubai Property Buyers Purchase to Rent Out
UAE based private developer Azizi Developments has published results on current property trends, following a comprehensive study that it conducted across its markets and projects.
• 52% of Azizi’s customers are Emirati nationals
• 68.5% of property intenders purchase units as investments
• Studio apartments are the most popular unit choice, comprising 65% of all property purchases
The study concluded that the biggest market for Azizi Developments is the UAE, with more than half (52%) of its customers being Emiratis — followed by Saudi nationals at 25%, Indian nationals at 10%, Pakistani nationals at 4%, and the rest being from the GCC, Europe and China. In 2019, there has been a noticeable increase in demand from Saudi and Chinese nationals, with their proportion of purchases relative to other nationalities increasing by 8 per cent and 5 per cent respectively.
The study explores factors that govern property buying, including location and unit price, and reveals that the majority (68.5%) of property intenders purchase units as an investment, to rent them out.
Findings also suggest that studio apartments are the property type that is most in demand, comprising 65 per cent of all sales, while one-, two-, and three-bedroom apartments make up 25 per cent, 7 per cent, and 3 per cent respectively.
Farhad Azizi, CEO of Azizi Developments, said: “Big data, with its ability to generate precise insights with profound applications, is a technological facilitator that is set to play an important role in our sector in the coming years. It adds a much-needed, customer-centric dimension to real estate and helps us in setting our strategy in a way that adds monumental value to the UAE property sector and economy”.
Mohamed Ragheb, Executive Director – Engineering Division at Azizi Developments, commented: “This most recent study of ours helps us in the ideation, conceptualisation and execution of our construction. Through such findings, we are able to tailor our developments to the exact needs and aspirations of our customer demographics to a much greater extent.”
Studies of this nature are integral for the progress of the sector, ensuring that developers’ projects are in alignment with demand. There has been a clear increase in the number of young professionals and families purchasing properties to settle in Dubai, with attractive price points, lucrative offers from developers, and encouraging reforms announced by the government, helping introduce more end-users to the homeowner segment.
Elias Sami Dababneh, Director of Marketing & Communications at Azizi Developments, said: “Invaluable studies like these help us focus our marketing efforts, as they provide us insights into how we can better communicate to our target groups in a transparent and efficient manner”.
Azizi Developments is internationally renowned for its commitment to enrich the lives of those who reside in its developments and to offer the most promising returns through growth-inclined rental yields and value appreciation.