Dubai's Fact File Revealed
Author: Simona Coates

In 1966, the United Arab Emirates discovered oil, after which a
period of rapid expansion and development that set up the
fundamentals for today's modern society. The oil revenue in
Dubai has been wisely spent on infrastructure and to further
promote Dubai.

In the early 1970s, a 5 Billion dollar commercial harbour for
oil and other such large vessels was design and constructed. The
Jebel Ali harbour was the first of the innovative, visionary
construction that would usher Dubai to its current level as a
global player in the property market.

In 1985, Dubai made the most of its strategic position in the
Eastern world by offering "Free Zones" to international
companies to set up offices and use tax-free Dubai as the centre
of their Middle Eastern operations.

The UAE and Dubai in particular has never been involved in any
conflict whatsoever. It is of no wonder that in this immensely
diverse and harmonious population is in fact crime-free. Dubai
has even been voted by Interpol as the safest destination in the
world for four years running.

In spite of the huge demand for properties in Dubai from the
international community, property prices are still lower than
other major cities. According to property trend analysts, Dubai
properties have been known to sell `3, 4 or even 5 times at
profit over a two-year period. Some Villas on the Palm Jumeirah
are now selling at over 200% Premium!'

A major drawing card for Dubai must be the fact that there is
zero capital gains tax, stamp duty or VAT, allowing for genuine
returns from investment.

It is only in the last 2 years that legislation has come into
place to permit the purchase of freehold property by non Dubai
Nationals.

An example of the rapid rate at which property in Dubai is
being snatched up can be clearly seen by the fact that upon
release, the first Palm Jumeirah (Jum-er-a) sold 4000 units in 4
days. Agents in Dubai (without Promotion) took 10,000
reservations against 4000 units.

The government has intervened for the past three years to
prevent the aggressive rental market spiralling out of control,
thus avoiding unsustainable inflation in the economy. The
current rent cap is 5%.

"The projected expansion in Dubai's population will create
demand for more than 43,000 additional residential units
annually through to 2010", according to the Dubai Chamber of
Commerce and Industry (DCCI)".

There are numerous projections expected in Dubai, these
include:

** Dubai Healthcare City will employ around 20,000 staff

** Dubailand will be home to 300,000 employees

** Halliburton will employ over 45,000 employees across 70
countries), whilst moving their Corporate HQ from Houston to
Dubai

** Dubai World Central will have one million employees in total


** The current population of 1.6 million is set to double to
3million by 2010, of which 75% will be ex-pats

** Tourism is expected to triple over the next 5 years to
15million from 2005 to 2010

The fact that Dubai is a tax free society, with zero stamp
duty, zero capital gains and income tax is a major factor in
businesses seeking to relocate to Dubai.

Another positive factor in Dubai is the fact that Economic
growth ranks amongst the highest in the world. This is fuelled
by the every increasing growth in Dubai's property market, the
current figures indicating a growth of between 20-50% per annum.


The rapid property market growth can in large be due to the 40+
Billion USD invested by government in Dubai's Real Estate.

As Dubai boasts easy accessibility to Asia, The Middle East and
Europe, international investors are clambering to be the first
in line to acquire accommodation in Dubai.

Dubai welcomes, on average 857 new residents arrive daily,
although inflation has accelerated to 10.1% in 2007 (UK was
approx 4.2%), this has not stopped the influx of people flocking
to Dubai.


About The Author: Property Select http://www.propertyselect.com
offers a comprehensive selection of overseas Property in Dubai,
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