Cheap Property in Dubai

In this post, we are going to take a closer look at buying cheap property in Dubai. We will also touch on what to consider when looking for the cheapest properties as well as some of the pros and cons of buying such a property.

The cheapest property type in Dubai

It’s no surprise that the cheapest property type is also the smallest. The smallest property types available are Studios. Generally speaking, Studios range from around 350 sq ft to 550 sq ft with the average being somewhere around 450 sq ft.

Communities with the cheapest properties

Whilst not always the case the Dubai communities with the lowest cost property tend to be a little further out from the centre of town. The reason for this is rather simple and comes down to the cost of land which tends to be lower the further from Dubai city centre you go. With that said some of the communities with lower-price property options include the following:

• Discovery Gardens
• Silicon Oasis
• Dubai South

Benefits of buying a cheap or low-cost property

The benefits of buying a cheap property are pretty obvious – they cost less money. This means buyers have more money left over for personal expenditure or other property or non-property-type investments.

The other two major benefits of a good quality cheap property are the appreciation potential and rental yield. Such properties usually have a great scope to in time raise in value and more imminently they tend to offer higher than average rental yields.

Potential Disadvantages of Cheap Property

When considering the potential negatives of a cheap property the first question to ask is why is it cheap. Not all cheap properties are bad however some are cheap for a reason. Some questions to ask and factors to consider include:

• How old is the property/development?
• What is the quality like?
• How attractive is the location?
• What amenities are available?
• Who type of residents live there?

Answers to these questions will go a long way in demonstrating whether the property is cheap cos it’s a good deal or cheap because it may be lacking in some areas.

Can cheap properties be good?

The short answer is Yes. There are absolutely some low-priced properties that represent great value. The types of properties that fall into this category are usually in new up-and-coming communities. Communities that have great potential and will most likely end up being great communities however are not there yet. Developers active in such communities tend to offer lower-priced apartments

Who builds the cheapest properties in Dubai?

The truth is that many Dubai developers whether big or small will develop low-cost properties. However, it is true that often the smaller developers are the ones that are more active in this segment. This doesn’t necessarily mean they are in any way inferior to big developers. In some cases, they work with smaller profit margins and oftentimes have lower expenses as they don’t spend as much on marketing and project promotions which can often eat into the profits.