A $4K monthly salary is being demanded to buy property in Dubai, recent information has shown. In order to buy Dubai property, many banks and developers are demanding a minimum monthly salary of $4K. This shows just how important affordability is within the Dubai property market.
Dubai Property Requires $4K Monthly Salary
Those who wish to buy in Dubai will need to pay attention to affordable housing options, as many banks and developers are demanding that buyers have a minimum monthly salary of $4K to buy property in Dubai.
This information has come to light after Asteco’s Dubai Real Estate Report Q1 2018 was released, which highlighted the need for such a salary. The report also recorded an annual decline in villa and apartment sales of 6% and 9%. This is because large villas with a high price tag are generating very little interest from those looking to buy Dubai property. It is thought that this is because large villas tend to offer a relatively low investment yield, when compared to other types of property.
In the Dubai rental market the annual rental decline sat at around 10%, for both apartments and villas. This is despite there being a number of incentives to encourage people to buy. For example, many developers offer rent free periods to buyers.
John Stevens, the Managing Director of Asteco, explained that there has been somewhat of an increase in the number of people enquiring and buying high end residential units. He went on to say that this suggests people are still wanting to buy this type of unit, despite the annual rental decline. Stevens also explained that many of Dubai’s communities have witnessed a sharper rental decline than others. These included Jumeirah Beach Residence, Downtown Dubai, Dubai Marina and Deira. Palm Jumeirah, Business Bay, Greens and Dubai Sports City also suffered a considerable decline.