Expert Insights: Dubai’s Top Off-Plan Investment Locations for Maximum ROI

Investment

2 months ago

Dubai stands today as one of the world’s fastest-growing real estate markets with a constantly growing skyline. One of the most attractive options for investors is off-plan investment in Dubai. Off-plan properties, that are being sold before or even during the construction, have more advantageous payment terms than resale properties.

A report by Knight Frank revealed that Dubai’s property market had a good quarter with sales transactions rising whereas the off-plan segment on its own rose by 58% in the first quarter of the past year. This signals strong investor confidence and a growing demand for off-plan properties in Dubai. As the city continues to encourage more local and international investors, it is crucial to know which zones are profitable through the Rate of Return. On this note, let’s explore the best off-plan investment areas.

1. Downtown Dubai

The Espace reports show that just in Aug Month 190 transfers were registered and according to the data, the highest transfer registered for 4 BR was AED 26,000,000 and the lowest was a studio in Burj Al Nujoom that sold for AED 750,000. Downtown Dubai is a true representation of luxury. Its central location, world-class amenities, and breathtaking skyline make it a top choice for an off-plan apartment in Dubai buyers. Due to the constant increase in costs, it is anticipated that properties in this area will generate good capital returns and rental income.

2. Dubai Marina

Dubai Marina is another sought-after area because of the waterfront living and closeness to business hubs. Known for its vibrant nightlife, restaurants, and luxury yachts, off-plan properties in Dubai Marina offer a strong ROI. Investors are looking at this area as an investment zone because of the high rental returns, especially in apartments for working-class persons and tourists.

Another Espace Report shows that In Dubai Marina, 211 property transfers were registered with the Dubai Land Department this Aug month. According to the data, the highest transfer was a 3-bedroom unit in The Residences at Jumeirah Gate, which sold for AED 18,000,000. The lowest transfer was a studio in Marina Pearl, sold for AED 553,000.

3. Palm Jumeirah

In Q2 2024, Palm Jumeirah had a total of 310 transactions as it's the most prestigious island in Dubai. This man-made island is a world-famous destination and boasts the most lavish hotels and homes. Off-plan properties located in Palm Jumeirah remain popular among affluent buyers in search of special waterfront residences.

4. Dubai Hills Estate

A development within Mohammed bin Rashid City, it combines the beauty of natural scenery with urban lifestyle. With schools, parks, golf courses, and shopping centers, the demand for off-plan investment in Dubai within this community is rapidly growing, particularly for villas and townhouses. It recorded around 1,998 transactions in 2024.

5. Jumeirah Village Circle (JVC)

With 3,102 transactions in Q2 2024, JVC is a master-planned community that has recently become very attractive to first-time homebuyers. Its strategic location, near major highways and upcoming developments, ensures a steady demand for “off-plan properties in Dubai. The community's family environment and various facilities available within the area make it very attractive.

6. Meydan City

Meydan Racecourse, Meydan City is already famous for being home to some of the most luxurious real estate properties in the world. This is especially due to its close location to Downtown Dubai and new developments like District One making it a good area for off-plan investment. In the last 3 months, 1,041 transactions were made in Meydan City.

7. Business Bay

Business Bay is a new district and the financial center of Dubai, and new off-plan projects are being constructed quickly. Located right next to Downtown Dubai, it is popular with business people working in the city’s business districts. It recorded 1,863 transactions in Q2 2024.

8. Dubai South

With the presence of the Al Maktoum International Airport, it is a strategic investment area. Due to the efforts being made by the government to develop this area as a business and residence area, off-plan properties are becoming very popular in this area. With 1,521 transactions in Q2 of 2024, it’s among the most preferred areas.

9. MBR City (Mohammed Bin Rashid City)

With 936 transactions in the last 6 months, MBR City is one of the largest mixed-use developments in Dubai with plans for the future. Featuring beautiful villas, townhouses, and luxury apartments, this area has been grabbing the eye of investors.

10. Arabian Ranches

In August 2024, there were around 34 transactions in this area. Arabian Ranches is known for being one of the best projects that define the concept of a modern suburban community. Famous for its spacious villas and family atmosphere, the area is considered one of the most attractive for long-term investments.

11. Tilal Al Ghaf

Tilal Al Ghaf is a new project when compared to other developments which has made the community popular for its resort-like living standards. Located around a lagoon, the community presents an interesting lifestyle with off-plan villas and townhouses. In the last 3 months, there were around 343 transactions.

12. Emaar Beachfront

With 413 transactions in the past six months, it’s nested between Dubai Marina and Palm Jumeirah, Emaar Beachfront is a luxurious island with limited units of apartments for sale. The community has a private beach and great views of the Arabian Gulf as well. Thus, the exclusivity of the location can guarantee high returns, thus making it one of the best off-plan apartments to invest in Dubai.

Concluding Words!

There are numerous ways of making a good profit in the Dubai real estate market. Some of the best locations include Downtown Dubai, Palm Jumeirah, and Dubai Hills Estate, which provide capital gains and high rental returns. Every community is special in its own way and meets the needs of various categories of investors.

If you're looking to make the most of your off-plan investment in Dubai, FirstPoint Real Estate is here to guide you through the process. Using our knowledge of the market and the experience of our team, we will be able to find the most profitable niches in Dubai.

Helpful Answers

Q1 : 1. What is the advantage of investing in off-plan properties in Dubai?

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A1 : The off-plan properties allow buyers to buy properties at a bargain price, make payments on a staggered basis and sell them at a profit as the project is nearing completion.

Q2 : How do I choose the best location for off-plan investment in Dubai?

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A2 : The location of the property can be determined by factors such as the amount of money that one has to spend, whether the intention is to sell the property, lease it out, or use it as one's permanent residence or holiday home, and finally the market trends of the area of interest.