Where is the best place to buy a villa in Dubai?

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Where is the best place to buy a villa in Dubai?

Villas are one of the most popular options of property in Dubai. Such a house has its own land where you can have a garden, a pool, a terrace, or a leisure area where you can spend time with your family and friends. The main difference between a villa and a townhouse is that usually townhouses do have their own land plot as one house may feature housing for several families. In Dubai, most villas are located in luxury gated communities with developed infrastructure and a wide range of top-notch amenities. In this post we are talking about the most sought-after villas communities and in what neighborhood it is better to buy a villa in Dubai.

Dubai villa market

Villas have exploded in popularity over the past two years as the coronavirus lockdown forced many people to move into larger properties. But even now, after the pandemic has slowed down a bit, demand for villas is not decreasing. For example, in January 2022 it grew by 105% year on year, and in February – by 74%.

In 2021, prices for villas in Dubai increased by 40%, rent rates – by 24%. According to experts, the price will also be observed in subsequent years. However, It is likely that this increase will slow down due to an increase in supply and the launch of new projects.

The best areas in Dubai to buy a house

The most sought-after neighborhoods to buy a villa in Dubai include:

These neighborhoods were the leaders in terms of villa sales in 2021. In addition, the highest growth rates of villa prices were observed there.

Palm Jumeirah

The name of the man-made archipelago, shaped like a palm tree, is synonymous with luxury and prosperity. On its banks, exclusive villas are located in picturesque symmetry and gardens of stunning beauty are planted. Palm Jumeirah is chosen by those who want to live with a view of the beautiful harbor and their own access to the beach, as well as people who value privacy, but are accustomed to the highest standard of living.

The island also houses premium hotels, restaurants with cuisines from around the world and paths for leisurely walks and bike rides.

This is an ideal solution for those who would like to live on their own island.

The average price per square meter is AED 32,721 ($ 8,900).

Jumeirah Beach Residences (JBR)

Where to buy a house in Dubai by the sea? Of course, in the neighborhood on the Persian Gulf, which combines the aesthetics of a luxurious seaside area and the dynamism of a modern city. The community offers a wide range of facilities, including restaurants, entertainment venues, shopping malls, as well as world-class medical and educational facilities. It is one of the busiest areas in Dubai, bordered by the waterfront on one side and dazzling skyscrapers on the other. It is perfect for those who would like to combine the resort and urban lifestyles. JBR runs along a 1.7 km long waterfront known as The Walk and covers an area of 2 million square meters, which means that all daily activities can be concentrated here without leaving the community.

Jumeirah Beach Residences is ideal for couples and young families with children as well as those who dream of combining everyday life and holidays.

The average price per square meter is AED 17,033 ($ 4,640).

Jumeirah Village Circle (JVC)

Launched in 2005, this project continues to develop. There are fully completed and occupied properties as well as project that are under construction. In addition to villas, apartment buildings and cozy townhouses are also being built here. The area is located next to the main city highway Sheikh Zayed Road, which runs through the whole of Dubai and provides uninterrupted transport links.

JVC gives a unique opportunity to establish urban life in a country setting, which is especially important in such an active metropolis as Dubai. Its cozy and relaxed atmosphere attracts both locals and expats, as well as many investors who know they can certainly find tenants for residential properties in the area. Parks, gardens and playgrounds make Jumeirah Village Circle an ideal destination for couples with children and pets. The area of the villas here is the most diverse, varying from 300 to 7,000 square meters, and the number of bedrooms ranges from one to seven. Some houses can accommodate even a very large family.

The neighbourhood is ideal for families with children and all those who want to enjoy a quite atmosphere.

The average price per square meter is AED 6,165 ($ 1,680).

Arabian Ranches

This area is considered one of the most sought-after gated communities in Dubai, and for good reason as it combines a high level of comfort, maximum security and luxurious residential facilities. The villas here are surrounded by green gardens, swimming pools, sports and playgrounds for adults and children. According to the Edarabia website, this suburb is very popular among expats who come from Western countries.

In Arabian Ranches, both lovers of peace and quiet as well as those who prefer an active lifestyle, will feel great. You can go on a bike ride with the whole family, walk your dog in a park and have a barbecue with friends. Near the community there are several prestigious English-speaking schools, that is why the neighbourhood is popular among those who have children.

The community is a great destination for families as well as lovers of outdoor activities.

The average price per square meter is AED 12,320 (USD 3,350).

The Lakes

The Lakes villas are located between two world-class golf courses: Montgomerie and Emirates Golf Course. The latter has been the venue for the prestigious Dubai Desert Classic tournament for 32 years.

Located in the heart of Dubai, the project provides a luxurious standard of living, as well as proximity to the beach and city center and fantastic views of artificial lakes, ponds and green lawns. In addition, villa owners have access to The Lakes Club sports center.

The Lakes is a great choice for couples and families with children, as well as golf lovers.

The average price per square meter is AED 8,134 ($ 2,210).

Emirates Hills

This suburb in Dubai is inspired by the American city of Beverly Hills. It borders The Lakes, so the areas are united by one golf course – Montgomerie.

The neighborhood will be a great choice for relocation as well as holidays as it features plenty of holiday facilities such as swimming pools, barbecue areas, and sports grounds. Each mansion is unique in layout and design: you can choose from an ultra-modern house with straight lines and panoramic windows or a classic villa in the best European traditions.

There are no buildings higher than two floors in Emirates Hills. The neighborhood is close to international private schools, which means not only luxury but also comfort.

Ideal for couples and families with children, the area also is a great choice for those who prefer a quiet and luxury lifestyle.

The average price per square meter is AED 23,993 ($ 6,530).

Buying a villa for renting out

The monthly rental rates for villas are growing from month to month. So, for example, renting a villa in Arabian Ranches can now be 1.79-4.01% more expensive than a month earlier, while in Jumeirah Village Circle this figure increased by 1.41%. The average ROIs in these areas also remain quite high but varies depending on the size and the initial price of the properties.

According to Property Monitor, the more expensive and exclusive villas in Palm Jumeirah currently have an investment return of 3.63% per annum, while the more affordable homes in Jumeirah Village Circle have a 6.29% return, according to Property Monitor. It is important to remember that seaside housing is also a popular solution for short-term rentals, while villas in gated communities far from the coast are more often rented for a long term. The rental rate in this case, of course, will be different.

Specialists at real estate agency in Dubai AX CAPITAL will tell you the best locations where to buy a villa in Dubai for renting it out.

Forecasts and prospects of the Dubai villa market

The emirate remains an attractive destination among wealthy people both for holidays and a long-term stay. There are international schools, housing for every taste.

According to the publication Zawya, despite the fact that the growth in property prices will slow down due to the expanded supply, these changes will most likely not affect the high-end properties. It will continue growing. In the case of villas, both the cost of the properties themselves and their rent may increase. According to Gulf News, the demand for villas is now so high that the cost of rent could increase by 20-40%, with almost all the villas that can become vacant in the next three months already booked in advance. And even with the fact that more properties will appear on the market in 2022, demand will still exceed supply.

Taking into account all the above, the answer to the question of whether to buy a villa in Dubai today will be positive. Even if you don’t plan on renting it out for the foreseeable future, it’s still a promising and well thought out investment.

AX CAPITAL experts will guide you through the process of buying a house in Dubai, the nuances of property transactions and answer the questions about where it is better to buy a villa or townhouse by the sea. Contact us today and our experienced consultants will help you make the right choice.

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