Dubai

Only the strongest will survive

The number of real estate brokerages and agents who operate within them will always fluctuate in accordance with market cycles. Wherever there is opportunity, those with a desire to capitalise will readily set up operations.

This phenomenon is not unique to the real estate industry and will occur any where there is economic opportunity coupled with relatively low capital requirements to start a business, where the skill set is not perceived as being particularly specialised or rare, and where there are minimal legal, political or policy barriers to launch a commercial enterprise.

However, in any industry, especially those yet to fully mature and develop such as Dubai’s real estate, there exists a natural process that essentially eliminates the weakest entities. Competition is fierce and only those that compete by applying experience, knowledge, skills, adaptive capabilities and business acumen will survive.

Put simply, as a market or industry matures, only the strongest survive. The cyclical nature of the industry facilitates this process by testing who can best capitalise on the opportunities in a growth market and who can best sustain operations in a contractional cycle.

So the fact that some brokerages are closing their doors is inevitable as the industry continues to mature, and the well-chronicled phase of correction the Dubai market is experiencing has played a natural role in eliminating the weakest players that cannot compete.

It is actually healthy for the industry as Dubai has too many brokerages. At the time of writing, there were 2,389 brokerages registered with Dubai Land Department. This is simply too many for the industry to support during the inevitable contraction or low growth periods. And one of the key drivers of industry maturation is to have fewer, but higher quality, brokerages and agents.

The levels of professionalism, quality and customer service in the industry still require a lot of attention. While good progress has been made by the Dubai Real Estate Institute (DREI) towards elevating the standard of real estate practitioners, too many poor performers remain, effectively hindering the development of the industry into the efficient and transparent marketplace we all desire.

Obviously, progress will require the continuance of the good work already done by DREI and Real Estate Regulatory Agency (RERA), but improvements cannot be achieved by these industry bodies alone. All participants need to embrace the idea that a sector that is comprised of a body of professionals who are knowledgeable, conversant, proficient, ethical and highly motivated will play a significant role in providing sustainable and profitable growth over the long term.

Put simply, the more efficiently and effectively an industry operates, the greater the rewards will be for all. This requires better people, not necessarily more people. As industry leaders, it’s up to all of us to make it happen.

Unfortunately, to introduce a “foolproof” system is always very difficult, but there are some common sense steps that every consumer must take.

First, it is always essential to determine the brokerage is registered with the Dubai Land Department. If not, walk away immediately.

In addition, careful investigation as to the reputation, online presence and market visibility of the company should be undertaken along with a meeting at the company offices to get a feel of its size, resources and stability. In addition, ensure that any individual brokers you deal with are registered and ask for proof of identiﬁcation.

Only when you are 100 per cent sure that the company looks safe, solid and trustworthy should you consider handing over any monies that may be vulnerable to misappropriation. Ensure you get a written receipt.

In some circumstances, usually where large transactions are being conducted, funds advanced may be held by third-parties such a lawyer or bank in a form of an escrow arrangement. This can help ensure that funds provided are only released when certain conditions are met, making it much harder for any party to misappropriate the funds. With the resurgent real estate market of the past three years, there has been a sharp increase in the number of brokers. However the rate of growth was highest in the ﬁrst two years, slowing signiﬁcantly in 2014 and now showing signs of decline. This is due to many factors including the tougher guidelines and policies that are being introduced by RERA.

There are stricter requirements due for introduction by Dubai Land Department as well. For example, the pass percentage for brokers taking the mandatory exam to renew their licenses has been increased to 85 per cent from the current 75 per cent. Emirates IDs will replace broker ID cards as part of a new smart system allowing all the details regarding an individual agent to be monitored, including when they change employers. This will ensure that only licensed brokers operate in the market. Any broker who does not officially record any transaction for six months will be warned and if no improvement is apparent within one year will be deregistered.

In addition, new brokerage ﬁrms in Dubai will be restricted from employing more than four agents. If the agency can demonstrate good performance over the first year, an additional broker can be hired.

The quest for improvement is never-ending and regulatory frameworks should always be enhanced, updated and improved to ensure the industry operates as efficiently, effectively and equitably as possible.

Expert Eye – Gulf News

Home buying process explained

Purchasing a property in Dubai is relatively straightforward yet, as with the purchase of any property anywhere, there is a series of checks and requirements that must be completed to ensure a successful and issue-free transaction takes place.

Depending on a number of factors, it typically takes between two and six weeks to complete a property transaction.

Financial advisor. The first step is to consult a financial advisor who can help you determine what you can realistically afford.

Pre-approved mortgage. You should then obtain a pre-approved mortgage, if required. This is important as it can prevent any disappointment or embarrassment later on. .

Hiring a real estate broker. Then it is time to select a registered broker or agent. A good property broker will add value by finding the property that meets your requirements, saving you money, minimising your risk, ensuring you are legally compliant and providing you with peace of mind, allowing you to make the best decision possible.

Checking out available properties. Searching for the property of your dreams can be a frustrating and time-consuming experience.

While you can delegate this to your appointed property broker, I recommend you conduct your own search as well.

It will assist you in gaining an appreciation of what product is available in your budget range, where it is located and which facilities and amenities will be able to meet your needs.

It will also show you whether the property that you are seeking is rare or whether availability is high. This is important as it will affect your negotiating ability

Background checks. Once you have identiﬁed a property that is of interest to you, your broker should complete all the necessary background checks to ensure there are no impediments to a successful sale.

This would include establishing the ownership status of the property (is it mortgaged?), the occupation of the property, the availability of the owner to negotiate and conclude the transaction, among several other factors.

Making an offer. Assuming all is in order, you may proceed to make an offer.

Memorandum of understanding. Once your offer has been accepted, you will need to sign a memorandum of understanding (MOU) which details the terms, costs and responsibilities of both parties as agreed.

You will then provide a deposit of 10 per cent of the purchase price of the property.

Property valuation. If you have applied for a mortgage on the property, your bank will be informed as to your intentions and will carry out a valuation on the property. The inspection is typically completed by a third party engaged by the bank to provide professional property valuations.

‘No Objection Certiﬁcate.’ Assuming all is in order and the bank gives the go-ahead, the seller will apply for a “No Objection Certiﬁcate” (NOC) from the developer.

Make an appointment at the DLD. An appointment is then made with the Dubai Land Department (DLD) to complete the transfer. The seller, buyer, their respective agents and, if necessary, their bank representatives all attend to formalise the transfer. When all documents have been checked and details have been registered, and you have paid the seller of the property, the agency commissions, and 4 per cent transfer fee (plus Dh315) to the DLD, you will receive the title deed.

You can then start celebrating. Your dream house is now in your hands!

Property Times

Now that the market has entered its correction phase, the time has come to consider whether you should take advantage of value opportunities that are starting to appear and benefit from the capital appreciation that is likely to accumulate over the coming five to seven years. For those who don’t have the cash readily available, the first step is to organise a pre-approved home mortgage. It’s always best to be in a position to make an offer for a house with your mortgage pre-approval in place rather than expect to arrange your mortgage once heavily involved in a negotiation process.

So, how to go about selecting the right mortgage for you?

You must first envisage your economic circumstances at least two years into the future and ask yourself the question … “Given my projected earning capability and desired lifestyle, what mortgage payment will be financially feasible and acceptable to me in two years’ time?”

Why two years’ time?… because most mortgages interest rates on offer at the moment are locked in for two years, after which you will be subject to likely interest rate increases as after an initial two year period of fixed interest rates, the mortgage reverts to a variable rate.

First of all, estimate your projected earning capability. Be real. We all hope to progress rapidly in our professional (a.k.a. financial) pursuits but there are generally more people disappointed than delighted with their achievements. And, notwithstanding the latest reports of 5% salary increases for Dubai employees in 2015, history has shown that salary increases generally tend to lag cost of living increases so conservatism in estimating future cash-flows is a must. Then there is lifestyle. Is there a new baby planned in the near future? … a new car perhaps? What effect will significant family or lifestyle events have on disposable income? Are there existing children who will need to start school in that time frame? All these events will have an effect on disposable income and thereby decrease the financial flexibility to address interest rate shocks. And finally, what is financially feasible may not be acceptable to you or your spouse. How much sacrifice are you and your partner willing to make to service your mortgage? What are you willing to do without and what lifestyle changes are you prepared to make? Once again, being honest with oneself is paramount.

So, notwithstanding correcting markets, value opportunities and cheap finance, cautious financial planning based upon realism and self-honesty is key when planning the purchase of your dream home. Your future happiness could well depend on it. As a general guide, we recommend that not more than 40% of your household disposable income be devoted towards paying down your mortgage. So once you have determined what type of repayment you are willing to commit to, then it’s a case of determining the mortgage amount you can actually afford. This will be determined by the Loan to Value ratio (LTV) you are prepared to accept, the amount of your own cash savings you are prepared to put towards the property, the tenure of the loan and the interest rate that you expect to be paying initially and well into the future.

When talking to mortgage providers, they will help you assess what mortgage is best for you by looking at a number of specific factors such as other debts (including credit cards) you may have, reliability of current and future income streams, the Loan to Value ratio that you would be seeking, the type of mortgage you prefer, your true disposable income and what other assets that you may own. Don’t be surprised if different mortgage providers suggest significantly different mortgage solutions for your requirements including repayment options. These will include the most common type of mortgage known as the Capital and Interest (Reducible Balance) Repayment Mortgage but you may also consider interest-only payments, part repayment and part interest-only mortgages although these types of mortgages are usually used for very specific investment purposes. Then it’s a case of deciding if you wish to undertake a fixed rate, variable rate or fixed/variable combination mortgage. Once again you need to think long term. If you think that mortgage rates are likely to rise and you would like to lock in a fixed rate of interest for the foreseeable future as long as you understand that once the fixed interest rate term comes to an end, a variable interest rate will apply. In many cases, the variable rate will be greater so planning is essential. If however, you expect interest rates to fall in the near future, a variable interest rate mortgage would make better financial sense as long as you have the flexibility to handle an increase in mortgage payments if interest rates do not follow your predictions and unexpectedly rise. There are a number of items which you should pursue as part of your mortgage negotiations. Try and have the mortgage establishment fees waived. Depending on the institution, this may save you up to AED3, 000. Also request that you are not penalised for paying the mortgage down faster or in its entirety. By law, the mortgage provider cannot charge you more than 1% of the outstanding amount or a maximum of AED10, 000, but you should try to have this stipulation dropped from your mortgage contract.

And finally, make sure your mortgage provider will allow you to utilise the equity being built up in your home as you diligently pay down your mortgage. This equity will compound if the value of your property is increasing due to favourable economic or market factors. Some lenders will allow you to use this equity as security for further borrowing. This can be very handy if you want to make some major home improvements, buy a new car or perhaps invest in another property. When selecting a mortgage, the key is to know what you need and pick the one that best suits you over the long term.

Property Weekly

Escrow law protection

With the recent ﬂurry of new developments in Dubai, investors and potential owner-occupiers have been asking me how much protection is provided for the funds they are paying developers in advance. The conversation invariably turns to the concept of escrow and how this legally binding arrangement provides substantial protection for investors.

In its simplest form, an escrow can be described as a legally recognised ﬁnancial instrument held by a third party (typically a bank) on behalf of two other parties (typically a buyer and a seller) who have agreed to conduct a particular transaction in accordance with certain conditions. Funds are provided by the buyer and held by the party (bank) providing the escrow service until it receives formal advice that certain previously agreed obligations of the seller have been fulﬁlled, upon which time the seller can receive an amount speciﬁed in the agreement between the seller and buyer.

The use of escrow accounts by Dubai developers has now been mandated by law for the speciﬁc purpose of protecting the prepayments made by buyers for properties that are bought off-plan. This limits developers from gaining access to funds until certain construction milestones are completed, helping ensure developers are not misappropriating funds provided in advance for purposes other than which they are intended for.

Anybody can open an escrow account but a developer must ﬁrst be registered with the Real Estate Regulatory Agency (Rera), which involves providing an expansive array of documents, ranging from details of its officers and solvency, title deeds proving ownership of the land to be developed, and no-objection certiﬁcates (NOCs) from relevant parties such as the master developer, to performance guarantees backed by a ﬁnancial institution and all planning and details about the project.

Rera requires the land subject to development to be fully paid for and a title deed issued in the name of the owner. Where the owner of the land cannot register as a developer, Rera permits the owner to enter into a property development contract with an existing registered developer to develop the project on behalf of the land owner. The development contract, however, must be approved by the senior legal adviser of the Dubai Land Department to be accepted by Rera. Only when a developer is registered with Rera can it apply to open an escrow account. When selling off-plan, the developer must ensure all proceeds of the sale of the units are deposited into the escrow account and are used solely for the construction of the project. Failure to comply with the escrow law can lead to hefty ﬁnes or criminal charges, which may result in prison sentences.

Once a developer has submitted all the required documents to Rera and is granted the authority to sell units off-plan, Rera will issue an NOC to allow the developer to open an escrow account with an authorised UAE bank.

The bank that will be providing the escrow service needs to understand all the details of the underlying agreement to ensure that it acts in accordance with its provisions. In this way, the bank can help protect the buyers’ prepaid funds by referring and strictly adhering to the conditions of the agreement.

But while the introduction of escrow as a legal requirement for developers has helped safeguard the funds of off-plan investors, there are other steps that investors must take to provide additional protection.

Buyers need to make sure they are dealing with a reputable developer, regardless if it is registered with Rera. One positive effect of the global ﬁnancial crisis was that many suspect developers were exposed and forced out of business. Seek professional guidance, as those in the industry know who the reputable developers are. Ask the opinion of those who have transacted business with the developer.

Ask the developer what measures have been taken to ensure the end product is built to an acceptable standard and inspect buildings already completed by the developer. Warranties and quality assurance policies should be discussed in detail. Have the sales and purchase agreement reviewed by a professional to ensure you have legal recourse should any quality issues arise.

Upon completion you have the right to inspect your apartment and report any legitimate issues to the developer for rectiﬁcation. Items that can be remedied in the short term should be ﬁxed immediately. Remember: once you have taken possession of the apartment, the developer is obliged to ﬁx any issues that would arise 12 months following the transfer of ownership.

ASK THE AGENT

There seems to be no doubt that real estate in Dubai is slowing. Do you see this as an opportunity or a long-term trend?

I do believe there is a price correction underway but we are far removed from experiencing a long- term trend. The pace of growth is falling back to what We might describe as being sustainable, not slipping into a period of across-the-board price contraction. We expect the market to achieve an average price growth of around 7% for the remainder of 2014 and maintain this average growth rate through to the end of 2015. The market in the first six months was still 4′.6% higher than the corresponding period a year earlier, despite the Dh52 billion worth of transactions conducted in Q2 being 15 down on the Dh61 billion that was written in Q1. There will definitely be value opportunities arising from this. faking a five-year view, executing a purchase during this period will provide greater ROI.

I am planning to invest in apartments to provide me with an income stream in the next 10 years.! have become aware of a lot of tenant-landlord disputes which make me reconsider. What are your thoughts?

As with all contractual relationships, the operation of the contract will always be effective if each party understands and accepts both parties’ rights and obligations according to the wording, provisions and clauses included in the lease agreement. All parties should also have a fundamental understanding of the law. The rental laws of Dubai are succinct and straightforward a d are difficult to be misinterpreted. Then there is what I call the “doctrine of reason.” A commitment or willingness to resolve disputes ugh arbitration and reconciliation will resolve issues before they escalate to a point where they require official intervention. Finally, I recommend you to have a professional manage your portfolio. He will handle issues and make your investment work harder for you.

There are a lot of opportunities to buy off-plan at the moment. How can I protect myself against buying an apartment of inferior quality?

Make sure you deal with a reputable developer. One positive effect of the financial crisis was that a lot of poor developers were exposed and are no longer in business. Ask around or seek professional guidance as those in the industry have a good appreciation of who the reputable developers are. Make sure you know what proactive measures are taken to ensure the end product has been built to acceptable standards, and take the time to inspect buildings already completed. Warranties and any quality assurance policies should be discussed in detail. Have the sales and purchase agreement reviewed by a professional to ensure you have legal recourse should any quality issues arise. Upon completion, you have the right to inspect (snag) your apartment and report any legitimate issues.

I have been looking for an apartment around the Dubailand area where! think we can get more value for money. How do the properties there stack up?

As the Dubai real estate has moved through the recovery phase of its cycle, demand for more affordable developments has been rising rapidly due to a strong “trickle down” effect. This is because areas that were leading the recovery have become too expensive and people began seeking more affordable accommodation. This has resulted in developments such as Skycourts and now Queue Point overtaking the more established areas in terms of rental yield and capital appreciation. Apartments in Skycourts have seen excellent capital growth with some apartments growing by 15 to 20% over the past year. Demand for this type of affordable accommodation has been growing steadily and we expect Queue Point to benefit as well, especially as Dubai’s population swells in the run- up to the Expo and the demand for affordable housing increases.

Question of the Week

I own an apartment in Dubai Marina bought in 2012. i increased the rent six months ago with a new tenant. According to the RERA rent index, I cannot raise it any further. The market seems to have peaked. Should I sell it ?

Real estate anywhere is cyclical and Dubai Marina has performed very well since you purchased the property.

While the market may appear to have peaked, we believe it is part of the normal cyclical pattern of real estate markets.

Looking over the next five years, we expect the market to achieve an average price growth of around 7%. Bear in the mind that we are talking averages here, and Dubai Marina has a habit of outperforming the average.

So, it really comes down to alternatives. If you have identified an alternative investment to give you a better income stream and capital return than what you expect to receive in the next five years from your apartment. then the right decision may be to sell.

However, if you have not identified a better alternative, I recommend you hold on to the property as I believe that you will continue to receive at least a 5 to 7% net rental return and achieve around 7% P.A. capital growth for the foreseeable future. These types of returns are not easy to find.

Ask the agent

Around 60% of the occupants in our building are members of the OA, and I am being persuaded to join. Are they fully functional in representing the interests of homeowners?

The effectiveness of owners associations (OAs) will vary greatly depending on the commitment and expertise of the owners. I suggest you attend the meetings and see how you can contribute.An OA is comprised of and represents all of the owners of a jointly-owned property development which is registered as an official entity with RERA.

Its purpose is to manage, operate and maintain the common areas. The OA is also empowered to select and appoint suppliers and companies. A functioning OA will go a long way to ensuring that owners get what they pay for. Property owners should actively participate in the operation of their A. Neglecting to do so is to ignore the maintenance of their own property asset and live with the consequences.

We keep hearing that the market is cooling off. Do you think that there will be a major correction or dip in the market?

I believe a minor price correction is underway.

The price/demand correlation is definitely in play as the latest figures from the Dubai Land Department have confirmed what we have all been surmising, that despite being 4.6% higher than the corresponding period in 2013, the property market in Dubai in the first six months of 2014 has been slowing, with the second quarter producing Dh52 billion worth of transactions, down 15% on the Dh61 billion that was written in he first quarter.

However,l must reiterate that the pace of growth s falling back to what we might describe as being sustainable, not slipping into a period of deep, across-the-board price contraction. We expect e market to achieve an average price growth Of around 7% for the remainder of 2014 and maintain this average growth rate through to the end of 2015.

I heard about a new project called Ajmal Sarah which is located at Dubailand Residence. Do you advise me to invest there and why?

The Ajmal Sarah Tower is one of the latest additions to a hive of activity in Dubailand. lt is the flagship real estate project for the renowned Ajmal brand of perfumes. It has been designed and constructed to a very high standard and features high levels of quality and luxury elements from some world-leading luxury brands. It offers spacious units with a choice of studio,l B/R,2 B/R and 3 B/R apartments, and provides state-of-the-art facilities and amenities. Being located in the Dubailand Residence, it enjoys a location surrounded by leisure, shopping and entertainment options. With prices starting from around Dh530K and an in-house payment plan, the property provides excellent value for the astute investor. I would recommend it.

What is the difference between freehold and leasehold?

This is a very important question to resolve when considering the acquisition of a property as it determines whether you own your property outright or whether you have a landlord for the duration of your “leasehold.” If you own a freehold property, you essentially own any buildings or structures and the land it stands on outright.

You are registered as the freehold owner with the Dubai Land Department and you will own the property until you decide to dispose of it. Leasehold, on the other hand, means that you acquire the rights to occupy a property for a fixed period courtesy of a lease contract created with the owner. The leases are usually long term, often 99 years and frequently allow the lease holder to make modifications. However, they must do so recognizant that they do not actually own the property and must vacate eventually if the leasehold is not renewed

Question of the week

What is REIT and do you advise me to invest in one?

A Real Estate Investment Trust (REIT) is a trust company that accumulates a pool of money through an initial public offering (lPO) which is then used to buy, develop, manage and sell assets in real estate. The IPO is identical to any other security offerings with many of the same rules regarding disclosure and reporting requirements and regulations. The investor, instead of purchasing stock in a single company, is buying a unit which is actually a portion of a managed pool of real estate. This pool of real estate then generates income through renting, leasing, selling and financing of property and distributes it directly to the REIT holder on a regular basis.

Units held in a REIT can be bought like a stock on a stock exchange. The REIT invests in real estate directly either by buying, selling or leasing properties or .by investing in property mortgages. Individuals can invest in REITs either by purchasing their shares directly on an open exchange or by investing in a mutual fund that specializes in REITs that are listed on the stock exchange. Among other things, REITs invest in shopping malls, office buildings, apartments, warehouses and hotels.

Investing in REITs is a liquid, dividend-paying means of participating in the real estate market. REITS allow the average investor the ability to invest in real estate without investing large amounts of capital or devoting a lot of time in directly managing a property portfolio.

Ask the agent

I have properties in Dubai Marina and Downtown Dubai and wish to acquire more. What areas in Dubai will have good investment potential?

Given that you are already exposed to the more upmarket areas, I suggest you use your next investment activity to diversify your property portfolio. There are some lucrative opportunities in the affordable housing segment which stand to benefit greatly from Dubai’s well-chronicled economic and population growth over the next five years. I suggest you look at the apartments in Queue Point in Liwan, Skycourts, Ajmal and Windsor Residence located in Dubailand. lf you.wish to diversify asset types, consider the recently launched Pacific Village located adjacent to the renowned The Villa Project, City of Arabia and Falcon City of Arabia. This project offers high quality, spacious villas and townhouses. All the above recommendations will provide you with good rental and capital appreciation returns.

We’re a family of five with three dogs relocating from New Zealand, with UAE work to be based in Business Bay. Which villa communities would you recommend for people like us?

You need not look further than The Villa Project. An easy 20-minute commute to Business Bay, it offers affordable and spacious living within a secure gated community complete with 24-hour security. The project was designed and inspired by Spanish architecture and is ideal for family living. It offers affordable free-standing 4, 5 and 6-bedroom villas set among lush and expansive landscapes ideal for exercising your dogs, and is located within easy driving distance from some leading schools. Amenities include a mosque, children’s nursery, playground, a community center and a new tennis academy. Spinneys s currently under construction and plans are underway for a new health club. Shopping is not a Issue with Dubai Outlet Mall only 10 minutes away, Mirdif City Centre 15 minutes away and The Dubai Mall 20 minutes away.

I heard about the Andalusia Collection at The Villa Project, can you please tell me what makes these villas more special when compared to other villas within Dubailand?

The Andalusia Collection consists of 69 ready-to- move-in premium limited edition villas renowned for their unique design, levels of grandeur, quality and value. It boasts some of the biggest plot sizes while the villas have been fitted with high quality features and fittings. Other features include marble flooring, designer staircases, an overflow swimming pool, decorative fencing, a fully enclosed and air-conditioned central courtyard and unique Andalusian archways connecting large living areas, some adorned with wooden beams. The project has proven very popular.lf you are interested in owning one, you better hurry because they are as popular as they are rare, and they are currently being offered with a 3-year in- house payment plan for a limited period.

I would like to buy an apartment for investment purposes. Do you advise I buy in the main areas of Dubai or should I consider the projects located in the outer rings of Dubai?

I suggest you consider the more affordable areas. Properties in International City, Dubai Sports City (DSC), Discovery Gardens and JLT have benefitted from a “trickle down” effect as the market has recovered and more people are now seeking more affordable accommodation. A wide variety of apartments in Skycourts and DSC achieved YTD average growth of 20.5%, 23% and 21%, respectively with demand being driven mainly by first-time home buyers and investors such as you. International City and Discovery Gardens have shown a 23% and 26% increase in rental income since the 3rd quarter 2012, respectively. I also suggest you check the apartments in Queue Point in Liwan, and Ajmal and Windsor Residence in Dubailand. They are all expected to perform very well going forward as the demand for affordable properties continues to grow.

Question of the week

How do I select the best real estate broker to represent me in buying my family home in Dubai?

For you, the homeowner, there are many considerations to take into account and what follows are just a few things to watch out for.
Look for an experienced and passionate team. The best way to find such is to ask around. Seek out friends or peers who have recently conducted a real estate transaction and listen to the positive as well as negative stories.

Look for an agency that exhibits breadth and depth of industry knowledge and expertise. Where conducting initial meetings, make sure you assess how much the agency or its brokers actually know.

Look for longevity. Those that survived the recent recession must be good.

Seek an agency with a strong network of contacts. Agencies with good relationships with key industry stakeholders such as major developers or authorities such as DLD, RERA. DEWA or the Economic Department will be able to operate more efficiently and effectively.

Finally, look for an agency that has received some form of industry or peer recognition. These are the hardest plaudits to get.

توافره يعالج أهم العوائق في سوق التمويل ال

‏‏‏توافره يعالج أهم العوائق في سوق التمويل العقاري ويعزز أداءها
خبراء: تأمين تعثر الديون العقارية شبه معدوم في الإمارات‏
إطلاق برامج للتأمين على القروض العقارية ولو جزئياً يعزز من أداء السوق العقارية. الإمارات اليوم
‏‏أكد خبراء في مجال التأمين، أن منتجات التأمين ضد تعثر سداد القروض العقارية شبه معدومة في الدولة، نظراً لعدم وجود استعداد من قبل شركات التأمين لتغطية مسائل التعثر، خصوصاً تأمين الديون العقارية، إضافة إلى أن وثائق هذا النوع من التأمين عادة ما تُسعّر بقيم مرتفعة، ما يجعل من غير الممكن أن تكون في متناول المقترض.
وأضافوا لـ«الإمارات اليوم» أن هذا النوع من التأمين يحمي البنوك من تعثر المقترضين إلى أن يتم تحصيل الدفعات المتأخرة، أو التنفيذ على الضمانات الموضوعة للقرض، مشيرين إلى أن التأمين ضد التعثر في سداد القروض العقارية مربح جداً لشركات التأمين في أسواق أوروبا وأميركا.
وأكدوا أن شركات التأمين لا تشارك البنوك في تقييم الموقف المالي للعميل، وبالتالي فإن البنك يتحمل وحده مخاطرة عدم سداد العميل لأقساط القرض العقاري.
من جانبهم، قال مختصون في قطاع العقارات، إن إطلاق شركات تأمين، برامج تأمين على القروض العقارية، ولو جزئياً، يعزز من أداء السوق العقارية، مع تقاسم تحمل مخاطر عدم السداد بين البنوك وشركات التأمين، مؤكدين أن توافر هذا المنتج سيعالج واحداً من أهم العوائق المهمة في سوق التمويل العقاري�).
وأضافوا أن توفير منتجات تأمين على مخاطر عدم سداد القروض العقارية، سيشكل حافزاً أمام البنوك، لضخ سيولة للمشترين للحصول على وحدات سكنية من دون مخاوف من التعثر.
تغطية حالات التعثر
وتفصيلاً، قال مساعد مدير شركة «تكافل ري» لإعادة التأمين، تامر ساهر، إن «شركات التأمين في الإمارات لم تشارك مسبقاً في تغطية حالات عدم سداد القروض، لأنها لا تشارك في تحليل وتقييم الموقف المالي للعميل، وقدرته على السداد، الذي يتم في إدارة الائتمان في البنك المعني، لكنها تغطي حالات الوفاة والعجز»، لافتاً إلى أن «بعض الشركات لاتزال تغطي حالات فقدان الوظيفة في نطاق ضيق، نظراً لزيادة مخاطر وقوع هذه الحالات في ظل ظروف الأزمة الاقتصادية».
من جانبه، قال مدير عام شركة الوثبة الوطنية للتأمين، بسام جلميران، إن «منتجات التأمين ضد تعثر سداد القروض العقارية شبه معدومة، لعدم وجود استعداد من قبل شركة التأمين لتغطية مسائل التعثر، خصوصاً في موضوع تأمين الديون، إضافة إلى أن هذه الوثائق عادة ما تُسعّر بقيم مرتفعة، ما يجعل من غير الممكن أن تكون في متناول المقترض».
وأضاف أن «البنوك تمول العملاء على مسؤوليتها، وفي حال تعثرهم، فإنها تكتفي بالاستحواذ على الأصل العقاري لبيعه»، مشيراً إلى أن «هذه الوثائق متوافرة في أسواق خارجية، لكن انحسارها أخيراً يعكس الأزمة المالية العالمية التي كانت نابعة أصلاً من التوسع في هذا النوع من الإقراض».
وقال إن «هناك شركات تأمين كبرى تعرضت لخطر الانهيار لأن مخاطر هذا النوع من التأمينات عادة ما تكون عالية، حيث تعتمد درجة الخطورة على الوضع الاقتصادي عموماً، ومدى انتعاشه».

ولفت إلى «انخفاض نسبة مساهمة البنوك في القروض العقارية من 85٪ إلى 70٪، فيما يُموّل المقترض النسبة المتبقية، نظراً لارتفاع المخاطر في القروض العقارية».
وأوضح أن «هناك نوعاً شبيهاً بتأمين التعثر في سداد القروض العقارية، تسمى بـ(بوليصة تأمين على الحياة)، توفرها شركات تأمين بالتعاون مع بنوك في حالة الوفاة أو العجز الدائم، حسب عُمر الشخص ووضعه الصحي، وبموجب هذه البوليصة، يتم دفع المبلغ المستحق أو المتبقي من قبل شركة التأمين للبنك».
وثائق غير إلزامية
إلى ذلك، أكد مدير عام شركة دبي للتأمين، عبداللطيف أبوقورة، أنه «وفي ظل التوسع الكبير في الإقراض العقاري، لاحظت بنوك أن حالات التخلف عن السداد، أو التعثر من قبل مقترضين، عادة ما تكون بنسب قليلة جداً، لذلك فإنها لم تجد حاجة كبيرة لطلب التغطية التأمينية عليها، كي لا تضيف أعباء إضافية على المقترضين وعملائها».
وأوضح أن «البنوك أدركت في الوقت ذاته، حجم الخطر في حال وفاة المقترض، ولهذا طلبت وثائق تأمينية تغطي مخاطر السداد في حال الوفاة»، لافتاً إلى أن «شركات التأمين لا تمتلك خبرة فنية كافية وقدرات تؤهلها لتسويق هذه المنتجات في السوق».
وأضاف أن «معظم وثائق التأمين على الديون والقروض ليست إلزامية، ولا تطلبها البنوك، نظراً لأنها لم تتعرض لحالات عدم سداد أو تعثر كثيرة».
تأمين مربح جداً
بدوره، قال خبير التأمين، مدير عام شركة (وايت لو) لتقدير الخسائر والأضرار، يوسف جبور، إن «هذا النوع من التأمينات في السوق الإماراتية قليلة، إلا في حالات استثنائية جداً يجلب وثائقها بعض وسطاء التأمين من الخارج»، لافتاً إلى أن «نسبة هذه الأقساط من إجمالي أقساط التأمين في الدولة تقل عن 1٪».
وأوضح أن «البنوك ترى في العقار ضمانة، يمكن بيعه في حال التعثر، لذلك لا تطلب من المقترضين هذه الوثائق، إضافة إلى أن إمكانات شركات التأمين في المنطقة محدودة جداً، ولا تتوافر لديها خبرات وكفاءات قادرة على إدارة هذا النوع من التأمينات».
وبيّن أن «التأمين ضد التعثر في سداد القروض العقارية، مربح جداً لشركات التأمين في أسواق أوروبا وأميركا»، مستبعداً حاجة السوق الإماراتية لهذا النوع من التأمينات.
وأضاف أن «قيمة قسط التأمين على قرض عقاري بمليون دولار، يصل إلى نحو (1.5 أو2٪)، وفي حالات نادرة إلى 3٪ من القيمة الإجمالية للقرض في الأسواق الأوروبية والأميركية، حيث انه كلما ازدادت قيمة القرض، قلت النسبة التي تُحصلها شركات التأمين من المقترض».
تعزيز للسوق العقارية
وفي السياق ذاته، قال المدير العام في شركة هاربور العقارية، مهند الوادية، إن «إطلاق شركات التأمين، برامج للتأمين على القروض العقارية ولو جزئياً، يعزز من�أداء السوق العقارية، مع تقليل تحمل مخاطر عدم السداد بين البنوك وشركات التأمين».
وأكد أن «إتاحة منتجات التأمين على مخاطر عدم السداد للقروض العقارية، سيشكل حافزاً أمام البنوك، لضخ السيولة أمام المشترين، للحصول على وحدات سكنية من دون مخاوف من عدم السداد»، لافتاً إلى أنه «يمكن لشركات التأمين أن تضع بعض الضوابط بالتعاون مع البنوك، لضمان أفضل تطبيق يجعل من هذا النوع من التأمين محفزاً للقطاع العقاري الذي ت�*زايد فيه الفرص، مع تراجع الأسعار بشكل ملحوظ خلال السنوات الماضية».
وأوضح أن «فقدان السيولة بسبب الأزمة المالية، أدى إلى معاناة نحو ثلثي بلاد العالم من الركود الاقتصادي»، مشيراً إلى أنه «وبحسب تقديرات الأمم المتحدة، فإن أكثر من 90 مليون شخص، يقعون في خانة الفقراء نتيجة للأزمة، كما تراجعت التجارة العالمية بنسبة 10٪ للمرة الأولى منذ ثلاثة عقود».
وتابع «تبلغ قيمة ديون البنوك في العالم نحو 4.6 تريليونات دولار، فيما يتطلب العودة إلى النمو زيادة معدلات الادخار»، لافتاً إلى أن «عدم وفاء المصارف بالتزاماتها في الوقت المناسب، يمكن أن يتحول إلى صدمة كبيرة، ويؤثر في وضع البنك وسيولته محلياً وخارجياً، ولذلك يجب أن تكون المصارف مستعدة للتعامل مع الصدمات غير المتوقعة من السيولة».
وأضاف أنه «يمكن للبنوك تأمين أموالها عن طريق شركات التأمين، التي بدورها تعيد التأمين لدى شركات إعادة التأمين»، موضحاً أنه «إذا واجه البنك مستثمراً متعثراً غير قادر على سداد التزاماته لأسباب خارجة عن إرادته، مثل الإفلاس، فإنه يلجأ إلى المفاوضات أو التسوية لحل الوضع، أو إلى بيع أو رهن الاستثمار».
وقال إن «البنك يقوم بجميع المحاولات لاسترداد أمواله لمدة ستة أشهر، وهو العرف المتبع، ومن ثم تتدخل شركات التأمين، لتقوم بعمليات تحقيق خاصة بها قبل تغطية المبلغ المفقود».
مخاطر طبيعية
من جانبه قال المدير الإقليمي في شركة «جونز لانغ لاسال» للاستشارات العقارية، فادي موصلي، إن «شركات التأمين المحلية تؤمن على القروض العقارية ضد مخاطر الوفاة، أو الحريق، أو المخاطر الطبيعية الأخرى، التي تتعرض للعقار، لكنها لا تؤمن ضد مخاطر عدم السداد»، مشيراً إلى أن «بعض الجهات الحكومية تنفذ هذا المنتج التأميني، عند توزيعها للوحدات السكنية للمواطنين، لكن ذلك غير ممتد للعقارات الخاصة، ولا تقوم البنوك بهذا الإجراء».
وأضاف أن «البنك هو الجهة التي تختص بالنظر في القوة الائتمانية للعميل، وتحدد ما إذا كانت ستمنحه التمويل العقاري أم لا، وبالتالي فإن البنك يتحمل وحده مخاطرة عدم سداد العميل لأقساط القرض».
وأوضح أن «شركات التأمين تعمل في التأمين على المخاطر العشوائية، لكن عدم سداد القرض العقاري يعد مخاطرة غير عشوائية لا تغطيها شركة التأمين»، مبيناً أن «توافر هذا المنتج سيعالج واحداً من أهم العوائق المهمة في سوق التمويل العقاري، لكنه يعتبر أحد العوامل غير الأساسية لتحريك السوق العقارية في الدولة».

آثار قريبة وبعيدة المدى تتحقق عند التطبيق

آثار قريبة وبعيدة المدى تتحقق عند التطبيق
السوق العقاري يتفاعل إيجاباً مع خطوة “إعادة الهيكلة”

أوضحت مصادر أن السوق العقاري والعاملين فيه قد تفاعلوا بايجابية مع مقترح كل من “دبي العالمية” و”نخيل” لاعادة جدولة ديونهما، الأمر الذي سينعكس على مستقبل القطاع بشكل مباشر وغير مباشر في الوقت ذاته على المديين القصر والبعيد .

وأضافت المصادر أن الآثار الحقيقية على القطاع ستتبلور مع اعلان الجهات الدائنة قبولها للمقترح وما سيتبعه من مراحل التنفيذ، مشيرة الى أن النتائج الأولية للمقترح تنحصر في محيط دائرة عودة الثقة والتفاؤل للجهات العاملة في مختلف المجالات العقارية، أما فيما يختص بمنحنى الأسعار فترى المصادر أنه لن يتفاعل بنفس الوتيرة مع هذه التطورات، حيث إن المسألة هي عامل زمني يرتبط ارتباطا وثيقا بمعادلة العرض والطلب، وهذا ينطبق في الوقت ذاته على مشاريع “نخيل” أيضا .

وأوضح فادي موصلي، المدير الاقليمي في “جونز لانغ لاسال”، أن الاعلان عن تفاصيل الخطة الشاملة لاعادة الهيكلة التي تشمل كل من “دبي العالمية” و”نخيل” كل على حدة، من شأنها أن تعطي دفعة قوية عنوانها الثقة والتفاؤل لجميع العاملين في السوق العقاري في الامارة من جهة وحركة البيع والشراء من جهة أخرى على المدى البعيد وليس القصير .

وأضاف موصلي أن تطبيق هذا المقترح، الذي تقدمت به كلتا الشركتين، سيدفع بصورة أقوى في اطار اكتساب دبي المزيد من المصداقية والشفافية التي كانت قد تأثرت في الفترة السابقة، وليبدأ العاملون في السوق باختلاف قطاعاتهم باعادة ترتيب أوراقهم وخططهم المستقبلية بناء عليه .

وأفاد موصلي أنه من الواضح أن السوق والمستثمرين قد استقبلوا هذا الخبر بايجابية، الأمر الذي انعكس بنفس الاطار على أداء الأسواق المالية، وأسعار الفائدة الائتمانية على ديون دبي، الا أننا نرى أن هذا التأثير يكمن على المدى القصير، أما البعيد فيرتبط بالمزيد من الوضوح والشفافية بشأن هذا المقترح الذي جاء أفضل من المتوقع، وننتظر رد الجهات المقابلة من الدائنين لقبوله .

وعلى صعيد نتائج هذا المقترح على السوق العقاري، يقول موصلي أنه من المرجح أنه يحتاج لكفايته من الوقت لحين أن يلمس نوعا من التحسن، في الوقت الذي بدأ المستثمرون التعامل بفعالية بعد طول انتظار لحل المشكلة الأولى في السوق المحلي بدبي .

أما مشاريع نخيل العقارية التي تعد ذات الصلة الأولى بهذا المقترح، فنجد أنها شأنها شأن جميع المشاريع في الامارة والتي تخضع لقاعدة العرض والطلب، فلن تتحسن أسعارها أكثر من غيرها، الا أن المعنى العام يصب في الشعور الايجابي للمقترح ككل من شتى القطاعات .

من جهته أوضح عمر عايش، رئيس مجلس ادارة “نوبلز” القابضة، أن اعلان كل من دبي العالمية ونخيل عن خطتهما الشاملة لاعادة هيكلة الديون ستؤثر بشكل ايجابي وبطريقة مباشرة في بعض القطاعات وغير مباشرة على قطاعات أخرى، والتي ستصب في النهاية في تحريك العجلة الاقتصادية من دائرة التباطؤ الى التسارع .

وأضاف عايش أن المقترح الذي تقدمت به الشركتان كل على حدة سيخلق دفعة معنوية على صعيد هامش الثقة لكافة العاملين في السوق المحلي بدبي من خلال ضخ مياه الحيوية والنشاط على مستوى شتى القطاعات الاقتصادية .

وأشار رئيس مجلس ادارة “نوبلز”، الى أن دبي كانت ولا تزال تتبوأ مركزا متقدما كبيئة استثمارية جاذبة لرؤوس الأموال وكبرى الشركات، وها هي تفاجئنا بقرارها الصريح الذي يعد من أفضل الأخبار التي نسمعها على الرغم من الظروف الحالية التي تشهدها كافة الأسواق العالمية في ظل الأزمة المالية العالمية، بأن يأخذ كل ذي حق حقه وهذا يزيدنا ايمانا بقدرة الامارة على تجاوز أسوأ التحديات والمصاعب .

أما مهند الوادية، المدير الاداري في شركة هاربور للوساطة العقارية فقال من جانبه: “ان هذا الالتزام الجديد التي قدمته “دبي العالمية” يعد خطوة ايجابية نحو التزامات عديدة في المستقبل، فهو بالتأكيد يعزز الثقة بالبيئة الاقتصادية والاستثمارية في مدينة دبي وفي قطاع العقارات بشكل خاص . فدفع المبالغ المستحقة سيخلق أثرا ايجابيا مضاعفا على جميع أصحاب المصالح وسيساعد على تخفيف حدة التوتر القائم” .

وأضاف الوادية أن هذا الخبر الجيد يؤكد مرة أخرى أن دبي تتمتع ببنية تحتية اقتصادية متينة وقادرة على الصمود في وجه العاصفة الاقتصادية بثقة ومرونة، ووفرت من خلاله شعورا بالتفاؤل تفاعلت معه الأوساط العقارية لما له من الأثر الكبير والواضح على جاذبية الامارة على الصعيد العالمي .

عبدالمجيد اسماعيل الفهيم، رئيس مجلس ادارة دبي بيرل “لؤلؤة دبي”، قال من جهته عبر اتصال هاتفي خلال جولة ترويجية لمشروع لؤلؤة دبي في الصين وبعض دول آسيا، انه لا شك أن قيام حكومة دبي بتقديم دعم مالي لاعادة هيكلة ديون مجموعة دبي العالمية ونخيل، سيكون له أثره المباشر على ازدياد معدلات الثقة في الأداء الاقتصادي لدبي على المدى المتوسط والبعيد، ويضفي حالة من الاستقرار والاطمئنان على أداء كافة القطاعات الاقتصادية ليس على مستوى امارة دبي فحسب وانما على مستوى دولة الامارات بشكل عام .

وأضاف بعد لقاء مع شركاء أعمال في شنغهاي: “لقد كان لهذا القرار أثره الفوري على أداء أسواق المال في الدولة والتي استقبلته بفرحة عارمة ترجمها ارتفاع مؤشرات التدوال بشكل سريع، وأقفلت الأسواق على ارتفاع طالما اشتاقت اليه الأسواق، وبعث السرور والسكينة في نفوس جميع المتعاملين . كما أن هذا القرار ستكون له انعكاساته المباشرة على القطاع العقاري الذي هو بحاجة ماسة لمثل هذه المحفزات” .

وقال ان هذه الخطوة تمثل رسالة واضحة الى كافة أسواق العالم أن دبي قادرة على الايفاء بالتزاماتها برغم أي ظروف، وأن نهجها الاقتصادي التطويري ماض الى ما لا نهاية، وأن على الجميع أن يتعامل معها على هذا الأساس، وألا يراوده أي شك في أن المستقبل المشرق مازال فاتحاً ذراعيه لدولة الامارات لتحقق المزيد من الانجازات على سلم التطور الحضاري طالما أن قيادتها قادرون على توجيه الخطى الى الأمام بصدق ويقين وعزيمة .

Stable prices push sales up at Springs, Meadows

Communities have highest sales and leasing activity due to stable prices and rentals, say agents.

Prices of villas in Emirates Hills range between Dh10 million and Dh25m. (SATISH KUMAR)

The Springs and The Meadows have seen the highest sales and leasing activity within Emirates Living since the beginning of this year owing to stable prices and rentals, according to real estate agents.

Vineet Kumar, Head of Sales, Dubai, Asteco Property Management, said: “The Springs and The Meadows have seen increased sales and leasing activity since the beginning of this year as ongoing sales prices and rental rates for these properties have been stable for the past two months.”

According to Mohanad Alwadiya, Managing Director, Harbor Real Estate, between January 1 and March 18, The Springs and The Meadows recorded 66 sales transactions, marking a 50 per cent increase for the corresponding period in 2009.

He said between January 1 and March 18 last year, The Springs and The Meadows saw 44 sales transactions and during October 1 to Dec 31, 2009, 89 sales transactions were recorded.

Sales transactions up

Alwadiya disclosed that The Greens, The Lakes and The Views recorded 79 sales transactions between January 1 and March 18 this year, marking a 103 per cent increase over the corresponding period last year. “The Greens, The Lakes and The Views recorded 39 sales transactions between January 1 and March 18 last year and a total of 109 sales transactions in these communities between October 1 and December 31, 2009,” he said.

Paul Musson, Residential Sales Consultant, Better Homes, said current sale prices for a two-bedroom and three-bedroom apartment with study and maid’s room in The Springs were at Dh1.1 million and Dh2.2m, respectively. “In The Meadows, current sale prices for a three-bedroom and five-bedroom villa with a study and maid’s room are around Dh2.8m and Dh5.4m,” he said.

“In The Lakes, prices are currently at Dh3m and Dh4.5m for a three-bedroom villa with a study and maid’s room and for a five-bedroom villa with a study and maid’s room, respectively,” he added. In Emirates Hills, prices of villas range between Dh10m and Dh25m, but Musson said the villas are not selling at Dh25m. In The Greens, a one-bedroom apartment is currently selling for Dh680,000 while a three-bedroom apartment is selling for about Dh2.8m.

Musson said the bottom-end of the apartment market is still falling slightly in the studios and one-bedroom apartment segments. “The two-bedroom apartments are still holding up.”

He said demand from buyers in the market today was largely for villas and was no longer just price-driven. “Villas are what buyers want now and not just at the best price. Early this year, buyers were only looking for the best price, now however, end-users want the best unit for the best price.”

Rentals on a slide

Tamara Stubbs, Residential Leasing Consultant for Better Homes, said: “Annual rentals in The Springs range from Dh90,000 for a two-bedroom villa to Dh150,000 for a full lake-view three-bedroom villa.”

She said in The Meadows, rents ranged from Dh180,000 per annum for a standard three-bedroom villa to Dh375,000 per annum for a five-bedroom to six-bedroom villa. In The Lakes, annual rents for a three-bedroom townhouse were at Dh130,000 while for an upgraded three-bedroom villa, rents were at Dh160,000.

In Emirates Hills, annual rents are at Dh280,000 for a four-bedroom villa and at Dh400,000 for a four-bedroom to five-bedroom villa. In Dubai Marina, annual rents are at Dh60,000 for studios to Dh250,000 for a four-bedroom penthouse. In The Greens, annual rents are an approximate Dh40,000 for studios and Dh120,000 for a four-bedroom villa.

Stubbs added: “You can get higher rents for different units depending on the finishing and interiors.”

Alwadiya said the current rental prices within the development are lower than those prevailing six months back by an average of five per cent to 10 per cent. “Sale prices in The Greens and The Views are lower by 13 per cent to 15 per cent. But for villas, prices are slightly higher by around five per cent.”

He added: “Due to the decrease in rental and sale prices by around 35 per cent and 45 per cent that this area witnessed during the past 15 months, we have noticed an increase in demand for all the communities within Emirates Living with a focus on The Greens, The Views and The Springs. This trend was carried over during the first few months of 2010.”

Sahali Saleem, Residential Leasing Consultant, Al Barsha, Better Homes said among the communities, The Greens and The Springs had the lowest number of rentals when compared to the other sub-communities in Emirates Living because of the ongoing road construction.”

Occupancies within the Emirates Living district vary from one community to another. According to Harbor Real Estate, occupancy in The Greens is highest at 85 per cent, followed by The Springs with 80 per cent occupancy levels.

The Views and The Links have about 75 per cent occupancy followed by The Meadows which have 80 per cent occupancy. The Lakes currently has about 60 per cent while Emirates Hills has about 55 per cent occupancy levels.

“The rate of people moving in and out of the development is almost equal. Emirates Living did not witness a sharp drop or a drastic increase in population compared to the same period last year. This was mainly fuelled by the influx of new tenants who upgraded their homes taking advantage of the newly reduced prices,” said Alwadiya.

High occupancy levels

According to Asteco, occupancy levels within Emirates Living have been given a push and currently stand at 75 per cent overall levels as many owners held back selling their properties and instead looked to lease them. “Occupancy is quite high as a majority of inventory has been handed over for more than a year. In our estimate, the occupancy level is above 75 per cent as a lot of inventory has been held back for sale and owners have decided to lease their villas. This has given a push to occupancy levels,” said Kumar.

The villas only pay community fees for the use of common facilities such as parks, pool, landscaping, use and upkeep of roads. “This fee ranges from Dh7,500 to Dh16,000 a year. Maintenance of villas, like any other property, is on the owners’ account,” added Kumar.

Alwadiya said: “The community service fee charges for villas and townhouses are more or less the same. For The Greens, service charges continue to increase. However, the option of payment over four instalments was highly appreciated by many owners in the development.”

Asteco said the overall buyer profile of Emirates Living was a mix of families from all over the world. “The development has a strong presence of clients from Europe, Asia, the GCC, Lebanon and Iran,” said Kumar. “The community is ready and offers convenience for occupants. Villas of two-bedrooms to five-bedrooms are popular for family living.”

Alwadiya said: “For The Lakes, The Meadows and The Springs you cannot define a buyer profile. Nowadays we see different nationalities with different professional and income profiles moving into these areas.”

In Emirates Hills, high demand continues from wealthy South Asian, Russian and GCC nationals. “All of these buyers come with very high budgets and ready cash to pay for their luxury dream homes,” he said.

Master plan overview

Emirates Living comprises The Springs, The Meadows, The Lakes, Hattan, Ghadeer, Montgomery and Emirates Hills. The Emirates Living district also comprises The Views and The Greens.

The Greens are mid-rise apartment blocks comprising nine projects in all – Al Sidr, Al Jaz, Al Nakheel, Al Ghaf, Al Samar, Al Dhafrah, Al Arta, Al Thayyal and Al Ghozlan.

The Views are apartment buildings comprising eight projects in all – Arno, Travo, Turia, Una, The Fairways, The Links, Golf Towers and Mosela.
The Springs comprises townhouses built around man-made lakes. The properties in The Springs range from two-bedroom to four-bedroom townhouses and are located close to The Greens, The Lakes and The Meadows.

The Meadows are detached villas offering double-storeyed villas from three to seven rooms, each surrounded by a garden and garage.

The Lakes are detached villas and townhouses comprising Deema, Furat, Maeen, Zulal and The Ghadeer which was the last to be handed over recently. The Lakes has been built around a lake, located near the Emirates Golf Club and The Greens development. Initially, properties in The Lakes were only for rent, but in 2007, Emaar offered freehold titles to the properties, with first refusal granted to the then existing tenants.

Emirates Hills are luxury-detached villas that have been sold as plots to investor to build their properties on.

The community also includes schools such as the Dubai International Academy, Emirates International School, Dubai British School, Regents School, a community centre, restaurants and supermarkets, children’s playgrounds, and communal swimming pools

Emirates Living residents also have access to the Emirates Hills’ Montgomerie Golf Course and its Golf Academy which includes a clubhouse and other facilities.