Sales transactions for off plan property increased significantly in the third quarter of 2017 and accounted for the majority of total transactions done during this period. The major locations that witnessed most of the sale activity are Dubai South, Downtown Dubai, Jumeirah Village Circle and Dubai Silicon Oasis. Jumeirah Village Circle and Dubai Silicon Oasis are coming up as key locations for off plan property for advantages like location, price and amenities. A significant number of end-users and first time buyers are entering the property scene as the shift is towards more affordable projects and also banks are coming up with innovative mortgage packages to bring more people into becoming owners than renting properties. Long terms payment plans seem to becoming a trend and many developers are offering flexible plans that run years after the handover of the property. This aims at the mid income earners segment which had been missing from the overall property buying scene. Off plan projects offer up to date specifications and a lower price and are expected to earn higher capital appreciation towards the handover of the project especially if the completion is just before the EXPO 2020.
Dubai South is a key location and a lot of off plan projects are underway in this area. Being in close proximity to the new airport and the EXPO 2020 site, this unique development is expected to generate high capital appreciation as the development takes shape. The popularity for off plan in Dubai South can be this can be seen in the number of transactions. There were a total of 1,151 transactions for this area that clearly indicates investor’s interest in various projects that are currently under construction or starting soon. Off plan property is clearly becoming a preference for investors and end users as Dubai id spending heavily in infrastructure and hospitality projects.