Latest reports have pegged higher demand for real estate as one of the biggest indicators of considerable improvement in the sector in Abu Dhabi. The Emirate has witnessed rising demand on account of its new foreign investment regulations which will be game changers in the near future as per experts. There is now stronger demand for 1 and 2 bedroom apartment for sale in Abu Dhabi which are the two most preferred configurations based on studies.
Along with higher demand for 2 bedroom flat in Abu Dhabi and property in other segments, there is burgeoning interest in new mega projects such as Azure Al Reem Island Abu Dhabi which are steadily seeing enquiry volumes go up. Reforms to the foreign investment in real estate regulations will naturally boost demand for Abu Dhabi property in the future as per experts.
As per the new regulations, all foreigners will now be able to own freehold land and properties which are based in investment zones. Till now, ownership was only allowed in case of nationals from the GCC (Gulf Cooperation Council) and UAE (United Arab Emirates) and foreign investors were restricted to leases for 99 years. The relaxation of foreign real estate investment regulations in Abu Dhabi will help in creating more jobs while spurring demand for real estate as well as per real estate developers in the UAE.
Market trends in the Emirate
Several developers already have plans for delivering numerous units to buyers this year and the new regulations could be excellent news for them in the long haul. International investors have always been interested in investing in Abu Dhabi property but ownership of land remained a major concern as per experts.
Now, this problem will be solved through investments in the dedicated investment zones. This new decision may spur higher liquidity for the UAE realty market in tandem with encouraging residencies for the long term. The real estate market in Abu Dhabi has been witnessing lower demand in the recent past along with oversupply of housing units. However, things look set to change now with these radical and progressive measures.
The real estate market will see a major benefit, particularly in the residential category while the office category should also witness robust growth. Rentals will also rise along with home prices on the back of renewed demand for spaces in investment zones from foreign nationals. Investment regulations and progressive visa rules along with several economically positive steps will naturally scale up overall demand levels while also spurring growth for the future in an economy which will eventually not be as dependent on oil. The regulations in Abu Dhabi will now be more in sync with those in Dubai where foreigners are already permitted to buy properties (freehold) in demarcated investment areas. With the growth in the Abu Dhabi real estate sector, there will be higher job creation and economic growth which will ultimately boost the UAE overall. These game-changing reforms were the need of the hour for the Abu Dhabi property market.