Istanbul or Dubai .. Which real estate transaction is more successful?
It is not easy for any real estate investor to be convinced in one region or another in a country at the expense of another or with a capital in its own, given the abundance of offers and incentives. In a world full of investment opportunities, it is difficult for any interested in buying real estate to know the best without directing or receiving consultations in the sector that has reduced the burden of selection and leads to correct decisions.
Many people interested in real estate investment are repeated on the lips of many questions regarding the type of investment and the return from it and the duration of capital recovery in the region initially selected, and in this regard, competitive destinations have emerged that have been called real estate capitals that managed to attract many internal and foreign investments and witnessed the construction of huge projects that drew It has the world's eyes.
Among the countries that were a magnet in the past few years, we find the United Arab Emirates and Turkey, exactly in each of the cities of Dubai, which is dubbed the capital of the Middle East and Istanbul, which its fans call "the capital of the world." Hence the goal of writing this article, to clarify the vision about which is better for an investment and which one is best suited to double the capital in the real estate sector, buying property in Istanbul or in Dubai? And why?
A survey about the real estate market in Istanbul and Dubai
Through this article, we will try to identify the most important characteristics, the pros and cons, that characterize both the real estate market in Istanbul and the real estate market in Dubai.
The reality of the real estate market in Dubai and the investment future:
Dubai has been going through an almost unprecedented five-year real estate downturn that foresees a terrible retreat for the future of the sector, in addition to repeated warnings of significant damage that will affect real estate developers, especially young ones, who have resorted to a record price reduction, but it has remained high compared to house prices in Turkey, for example, or in other European countries.
One of the most negative symptoms facing real estate investment in Dubai is the large number of supplies compared to a sharp drop in requests by foreign investors that the Emirate of Dubai was very dependent on them.
Standard & Poor's credit rating agency reports that the real estate sector in Dubai will continue to stabilize in the coming years as the value of real estate exchanges in Dubai decreased by 21.5% to reach the lowest of $ 60 billion in 2019.
The real estate market in Dubai continues to deteriorate, losing a third of its value since 2014 despite the incentives approved by the UAE government since 2018.
Many experts attribute the reason for the decline in demand for Dubai real estate, in which about 4 million live, 90% of whom are foreigners, due to the high cost of living, which is considered the most valuable in the world, as Dubai ranked among the twenty most expensive places in the world in 2018 and second in the Middle East .
In addition to the high cost of living, the hot weather in Dubai greatly affected the desire of foreigners to settle or even invest in it.
Many specialists believe that the payment and payment plans in Dubai are not in line with the facilities witnessed by several real estate markets in the world, in addition to the high prices and the absence of bank offers to pay more easily.
The same experts confirm that the investment return in Dubai has become very little due to the great fluctuation witnessed by the UAE economy in recent times, which has made the supply significantly exceed the demand.
Likewise, the thinking of the United Arab Emirates of resorting to debt after the Corona pandemic confused all the papers and indicated the fragility of the country's economy.
Istanbul real estate market and investment future
Turkey has witnessed during the recent years a rapid economic growth that made it stand out in the face of the strongest and most robust countries especially in the tourism and export sectors, the latter through which many countries in the world reached, in addition to that the real estate sector that turned Turkey into a global attraction point especially with the development of a system Real estate financing and construction of several huge housing complexes according to modern designs that have proven their excellence in the global market and thus won the complement of many international organizations specialized in the real estate field.
The distinction of the Turkish real estate market extended from modernity to strong immunity in the face of crises, as prices of Turkey properties have known a permanent increase despite many events that the country went through, such as the failed coup attempt in 2016 and the sharp decline in the Turkish lira after the American sanctions in 2018, the latest of which was the repercussions of the pandemic that shook the world The whole of Turkey was part of it but it was not able to the real estate sector. Corona did not affect the prices of apartments in Istanbul in 2020 that remained resilient, but in the height of the crisis Turkey was able to sell real estate online and the demand for property in Turkey remained by the local investors who preferred the villas Independent or foreigners who headed to buying property in Istanbul in order to start the acquisition procedures immediately upon the return of the international flights that are expected to start at the end of June 2020.
And those who want to buy apartments for sale in Istanbul will ensure a great return on investment, while getting back the capital in the shortest possible time, as real estate prices rise steadily and are not affected by transit crises, whatever their strength.
For its part, the additional costs of buying property in Istanbul, such as fees and taxes, are among the list of cheapest expenses in the world.
The Turkish real estate market has also drew the attention of many investors in recent years, given the strategic location enjoyed by Turkey, in particular Istanbul or the capital of the world as it is called, as it links Europe and Asia in one of the most beautiful bridges throughout history, in addition to this the construction of many of the major facilities that decorated the face of Turkey and increased the percentage of investors' appetite for buying property in Istanbul, such as the water channel and the third airport, which is the largest in the world and huge networks of transportation and roads.
The foreigner who looks for buying property in Istanbul benefits from the flexibility and ease of Turkish real estate legislation that guarantees him the same rights as the Turks, and most legal items are distinguished by their lack of complications facing foreigners in European countries and other global capitals.
Most real estate experts in the world advise investors who want to ensure a smart choice to go to Turkey as a country that knows balance and growth due to the continuous superiority of demand for supply.