Scheming developers push property in Middle East
As Dubai continues to dominate the property headlines for all the wrong reasons, developers in the Middle East have started a real push to entice new buyers by offering a host of new schemes.
Everyone is keen to kickstart the market and get property transactions – buying, selling and renting - moving again.
Some of Dubai’s biggest developers are taking action and launching schemes to try and boost investor interest and lure them back into the marketplace.
Emaar Properties and Dynasty Zarooni are amongst the developers who have been busy launching a new range of schemes.
Dynasty Zarooni has launched a monthly payment scheme. Kabir Mulchandani, Chief Executive of Dynasty Zarooni said, “We need to address the current short-term problem as most buyers do not have access to credit, mortgages or loans.
“We have also lowered our prices, both in rental and freehold properties,” he added.
Another developer, Omniyat, is also planning to launch a new payment plan soon. Mehdi Amjad, Executive Chairman of Omniyat said, “We are considering different payment plans to encourage our customers.
“We have done that before when we created a payment plan where 50 per cent was paid in construction and 50 per cent on completion,” he said.
‘To Own’ scheme
Dubai-based Emaar Properties has launched a ‘To Own' scheme to help make the buying process more straightforward for foreign investors in Dubai.
Domestic demand for real estate continues to outstrip supply in Dubai and Emaar’s new programmes build further on the real demand for property, which has now positively shifted towards an end-user market.
Issam Galadari, Chief Executive Officer at Emaar Properties, said, “Domestic demand is one of the key drivers of Dubai’s real estate sector, and through the ‘To Own' scheme we are leveraging on our market-leading position to support our customers and offer them more access to property purchase.”
Under the umbrella of the new ‘To Own’ scheme, Emaar is initially rolling out two programmes - ‘Plan to Own' and ‘Rent to Own,' to enable property buyers to purchase units under more affordable terms in Dubai.
Through the ‘Plan to Own' programme, Emaar will help potential home-owners and commercial customers who can qualify for a mortgage through a bank to bridge the gap by extending their payment plans.
Emaar’s extended payment plan of up to 25 per cent of the property value will be paid back by the customer in single annual installments for five years, after moving into their new homes. The first payment will begin one year after receiving their property.
The 'Rent to Own' programme facilitates easier property transactions in prestigious residential properties, including those within Downtown Burj Dubai.
With the 'Rent to Own' programme, tenants can adjust 100 per cent of the first year’s rents as home finance if they decide to purchase the property within ten months of living in the home. It gives them the opportunity to rent, move in, assess the quality of the property and make an informed property purchase decision.
The property price will remain fixed for a period of one year, and customers will have the option of acquiring the ‘Plan to Own’ programme if they decide to buy.
During the rent period, tenants will have the first right to buy the property. Tenants who do not wish to make the purchase still can enjoy the option of renewing the tenancy and the minimum rental period is for one year.
Issam Galadari added, “We aim to strengthen the property sector by facilitating easier purchases and making property more affordable for our customers.”
For more information on UAE property and the market in general, visit uae.themovechannel.com