UAE property investors must look beyond rental yields, says Realtor Signature Properties CEO

UAE property investors must consider factors beyond rental yields, according to Clint Khan, CEO of Realtor Signature Properties. While rental yields currently average around 7 percent in Dubai, they do not guarantee strong returns. Khan advises buyers to thoroughly assess the property, location, and long-term prospects before making a purchase.

Key factors include entry prices, rental demand, future supply, service charges, infrastructure, and the developer's track record. Buyers should also consider who might rent or buy the property when they decide to sell. However, Khan warns against treating average rental yields as a guarantee of return. He cautions that the real return depends on the property's worth when exiting the investment.

For those seeking family-oriented properties, Khan suggests established communities like Dubai Hills Estate, The Valley by Emaar, and Al Ghadeer Gardens by Aldar, as well as Abu Dhabi's Hudayriyat Island. He cautions that even within a good community, not every project or unit may be a good investment. First-time buyers should establish their objectives before looking at properties, focusing on their reasons for buying whether it's rental income, family home, or long-term investment.

Khan advises buyers to examine comparable transactions, realistic rental income, service charges, future supply, the developer's history, and total acquisition cost. He warns against rushing into a purchase due to sales incentives or scarcity claims. Realtor Signature Properties focuses on understanding clients' needs before recommending a property, considering factors like budget, family, education, investment horizon, and residency plans.

The company provides guidance on property selection, negotiation, financing, purchase, and handover, aiming to help investors make sound decisions.