Every real estate investor wants a good
deal that will offer profits at the end of the day. According to real estate
experts, location and the condition of the property are the two most important
factors that determine if the property is worth the purchase.
While also the price
matters, it is very difficult to find a property that can be overhauled with
minimal effort. Those that have purchased a property with the intention of
renovating will admit that there might be hidden issues which are
unidentifiable even under thorough inspection. There are certain ways you can
determine whether a deal is profitable or not.
Due to increased
competition in the Dubai real estate
market, buying prices are
falling. If you are careful enough, you are likely to get good deals such as
the Meraas Bluewaters
residences and Madinat Jumeirah Living
apartments. These properties are
placed in a good location which will turn out to be profitable shortly.
Below are some ways you
can spot a profitable real estate deal:
i. A
bank-foreclosed property
When a tenant fails to
meet the conditions of the mortgage payment, the lender repossesses the
property and lists it for sale on the market. Even though the foreclosure is of
course sad on the part of the evicted tenant, it is one of the best deals you
can get in real estate. Since most banks are in the business of lending money
and not managing properties, they often offer huge discounts to attract buyers.
Because the foreclosure
process may take up to several years, the property may need a serious facelift.
The banks can offer further discounts to compensate for the repairs. Talk to
any of the top real estate brokers
in Dubai to know more about
foreclosures.
ii. Be
first or last
In real estate, the
early bird catches the biggest warm. In most cases, it is not the highest offer
that gets accepted, but simply the first. If you are really sure about a
property, be quick to buy it and don’t waste time. Tell your broker to set you
up with automatic email alerts to get notifications when a new property hits the
market. Get pre-approvals from the bank to enable you to jump on deals as soon
as possible.
On the other hand,
another way to get a great deal is by considering properties that have been on
the market for a long time.
