A townhouse: an affordable investment for you?
Townhouses and villas are the first choice for 58% of Dubai property investors based on a survey conducted by YouGov, in collaboration with Ellingtion Properties.1 Buying property in the city is a lucrative choice for investors as the average rental yield can go up to 10% depending on the area. For those looking to live in their properties too, the city’s ultra-modern cosmopolitan appeal leaves little to be desired in terms of a satisfying lifestyle.
So, if you’re looking for a modern property option in Dubai as a first-time buyer or as an investor diversifying your portfolio, a townhouse might be just what you’re looking for. Here are a few things to consider when you start your search:
What purpose are you buying for?
Are you looking for a property to live in or an investment opportunity? Whilst a townhouse can be an ideal choice for both, a purchase made purely for investment purposes would be best based entirely on achieving the highest rental yields; whereas location and amenities are likely to factor if you intend to live there yourself. Identifying the precise reason for purchasing a property will narrow down your search process.
[Related: Make sure your starter home has investment potential]
If you’re looking to live there, what are the features of your ideal location?
Does the neighbourhood match your lifestyle? Are there supermarkets, entertainment, retail and dining options nearby? Is it easily accessible? What kind of development can you expect in the area in the future? AKOYA MOD Townhouses, located just outside the inner city and within the golf community of AKOYA Oxygen, are an attractive choice for buyers looking for a home in a peaceful, green space.
What amenities would you need?
Factor in the facilities you need to maintain your lifestyle, health and overall wellbeing. Are you health and fitness-conscious? Then you may want to look out for jogging and cycling tracks, well-equipped gymnasiums, etc. In high-end master development like AKOYA Oxygen, you can expect access to hydroponic café, spas, a yoga enclave, an organic fresh market and a range of restaurants just a stone’s throw from your home. And when pollution levels are rising and climate change is such a daunting concern, lush, green spaces are a widely sought-after feature in today’s developments – making a golf community a good choice.
[Related: Health conscious communities: The way forward for Dubai real estate investment]
What is the market value?
Based on a CBRE study, 60% of millennials plan to buy property, but the lack of affordable options and sizeable deposits are the main reasons behind them choosing to rent rather than buy.2 An AKOYA MOD Townhouse is priced at AED 595,000 with a down payment of 20%, meaning it’s an incredible affordable opportunity.*
Lastly, are you financially ready?
All things said and done, you need to be sure you can actually afford your dream property. This includes the initial down payment, which is a percentage of the property price, along with deed registration fees, set at 4% of the purchase value, payable to the Dubai Land Department. If you’ve employed the services of a real estate agent, then around 2% commission is added to your bill too.
At the end of the day, investors and homebuyers alike want a stable real estate asset that will appreciate and / or give a great lifestyle. The townhouses at AKOYA MOD are priced to be accessible to a diverse mix of buyers of all nationalities – and might just be what you’re looking for.
Sources: 1: Khaleej Times; 2: CBRE