Indians dominate foreign investor property purchases in Dubai

Indians dominate foreign investor property purchases in Dubai

Indians dominate foreign investor property purchases in Dubai

Foreign investor purchases in freehold projects in Dubai are still dominated by Indians who have retained the number one spot since foreign ownership regulations were applied, a new research has revealed.

According to the Real Estate Investment Promotion and Management Centre at the Dubai Land Department (LD), Indian investors have bought a total of 2,153 properties valued at Rs 5,670 crore (3.751 billion dirhams).

Pakistanis are at the second spot for having bought a total of 1,814 properties at Rs 4,400 crore (1.713 billion dirhams).

The research revealed that the total value of direct foreign investments in the real estate sector exceeded Rs 33,300 crore (22 billion dirhams).

The funds were pumped by foreign investors of various nationalities to buy 12,875 properties including buildings, lands, apartments and residential villas during the first half of 2012.

"The real estate sector performance is moving from strength to strength over the past two years. The market has been attracting more foreign investors, which reflects the solid national economy and its excellent growth potentials," Majida Ali Rashid, Chairwoman of the Real Estate Investment Promotion and Management Centre, said.

She said British investors bought a total of 1,564 properties, ranking third in terms of the number of purchased units.

Russian and Iranian investors competed for the fourth and fifth positions, with Iranians buying 1,057 properties while Russians bought 694 properties.

Saudi investors came sixth in terms of property ownership in Dubai, as they bought 416 units in the first half of the year, followed by American investors who claimed the seventh position with 415 properties. Canadians came eighth as they bought 329 properties.

Sultan Al Akraf, senior director of the real estate registration services at the Dubai Land Department, said the figures reflect an ongoing upside trend and a positive growth in the realty market performance.

He said the total value of real estate transactions has exceeded Rs 95,380 crore (63 billion dirhams) during the first half of the current year, representing a 21 per cent growth over the same period in 2011.

The officially documented results have been achieved through 18,953 transactions, most of which covering sale and mortgage deals, as well as a limited number of lease and mortgage portfolios and other transactions.