I have been living and renting in Dubai for almost five years and am thinking about buying my own apartment this year. My preference and budget is for an area such as IMPZ, Remraam, JLT and so on. Given the oil price crash and the stabilisation of Dubai’s real estate market in the fourth quarter of last year, do you think buying one would be a good decision at the moment? Should I wait until the second half of the year, especially as I don’t mind renewing my tenancy contract, which is due on March 31? WS, Dubai
Buying property for investment purposes is a gamble as the timing has to be perfect. No one wants to buy at the top of a market, for example. If, however, you are buying the apartment to live in then going ahead on this decision is determined by your affordability on current prices etc. If you are able to wait a while then this is also OK as I believe the market will potentially soften further. But don’t leave it too long, as I believe the market will return to positive territory probably after the end of the second quarter.