hello ,

I currently live in the UK and have a budget (no morgage) which i would like to invest into buying finished 2 units of 1 bed flats in IC. I may consider studios if the price is right and there is a potential to let them quickly.
If anyone out there has something finished they can contact me with their terms, how long does it take to transfer this(appointments with Nakheel) in short all the information that goes with it,eg documents required, etc etc.
At the moment i will just release my email address and all emails will be replied. You can contact me on sizzlers44@yahoo.com

REGARDS.

Hi All,

Why are so many people panicking and renting their apartments too low?
I have two 1-Bed apartments on rent at AED 54,000 UNFURNISHED each, both went within a couple of days. It is a very simple case of supply and demand, and the simple fact is that you cannot find a 1-Bed apartment of this quality at this price anywhere else in Dubai. And the demand is growing as there are many people from Sharjah looking to relocate to avoid the horrendous traffic, and International City is proving to be one of the most sought after locations. It will become better still, when the TOLL comes into force on Sheikh Zayed Road. Those who are renting too cheap will ruin for everyone.

So how much can I expect for my studio in the England sector?

Hi Dianelouise,

Did you rent out your apartments yourself or have you got them with an agency? What sectors are they in? And how many payments is the rent divided up over the year? I didn't know about the toll on the road; that is good news for IC regarding rental income.

Sorry for all the questions but this is the only place that I can get any up to date information.

Thanks

Ian

Hi I have one Bedroom 749 SQ Feet, first floor for rent, expecting it to be ready from 1st of July I am not agent so please contact me direct on 0506158948
regards, Irfan.

Ask Nakheel.........They promote I.C. as an investment then undercut the market rate, big time, for example Studio Apartment starting at 32,000 AED.

Had Nakheel not done this then rental yields would be a lot higher and more in line with what every one else had been paying.

Not only did Nakheel undercut the Market you had further project delays, unsatisfactory answers if any answer at all and Service Charges that just do not add up further compounding the problem.

For a development that is charging over 10.5 AED per sq foot and not throwing in A/C I do not see much for my money. Hardly any greenery around, lots of piles of dirt and rubbish. Shortage of parking facility for shops and in the future tenants.

The Service Charge is just a cover for making money at the investors expense as there is no way of Independently Auditing the process, and until this is put in place I remain sceptical on the whole Service Charge Concept.

I was just doing my sums and they are very simple. For an investor who invests in a 1 bed flat of lets say 716 sqft which are flogging for between 490-540dhs any sector in the IC development.Lets assume they are rented out quickly for dhs54k, not guranteed,it could even take 1 month b4 it goes.
Now, i will employ an agent as i live in the UK, so the fees of 10% is gone straight away. Then there is maintanence of 10.5/ sq ft,which works out to 7518 dhs , which is a standing charge irrespective of wheather you have a tenant or not. The capital growth is Dubai is more likely to become stagnant with so many properties and projects that will flood the market. When one is renting the property the income is taxable anywhere in the world unless you live in Dubai, and that is @ 20% minimum in the UK after taking into account all ur expenses, hmmm, Now, if you want to keep that at a minimum you would need a buy-to-let mortgage, which at the lowest rate today would be about 7.1-7.8% . I still haven't taken into account the ticket costs,staying in Dubai,contract completion expenses..etcetc...remember this is an investment everything is accountable when calculating a return.

Now 54,000 gross income....minus 10% management fee,standing charge of 7518= that gives us a net of 41k, that gives us a return of abt 7.5% if you buy the 1 bed @ dhs540,000.
Studios, i won't even bother with it, as they are saturated and there is nothing left for capital growth in it. With, nakheel holding so many and renting them out for 32k and this rent will be the norm for atleast 2 years with the new ruling where rents can be increased by 7% after that or yearly(not sure on that), they are a waste of time.I think people should cash them in.
I haven't even taken into account my ticket cost,completion,stay in dubai,financial set up costs..etc etc.
Assuming i get a mortgage , the cheapest rate is about 7% on a buy-to-let, maybe these borrowings are cheaper in Dubai,not talking about morgages on property where you live, which maybe cheaper(UK) . If you see where i am coming from it is a loss on your return,unless you live in dubai and you manage your investments, cut corners with furnishings(another cost not accounted yet),no voids etc etc.
I think, this isn't an investment, its more like a loss. People who bought earlier are reaping a nice capital return,BUT ONLY FOR THOSE WHO BOUGHT IN DOLLARS , but nothing special, when this project was launched, the pound was close to dhs5 to £1. Today, £1=7.23.
Thats over 40% decline in the value for those bought when the project was launched.I still haven't taken into account Inflation(loss of value of the dollar worldwide,which has dragged the Dirham with it) and loss of interest over the 3-4 year period for completion of this project. This whole work out is done over my bruch in like 10 minutes, so please correct my mistakes and do comment on this.

regards.

Wayneis,

How many apartments are Nakheel actually renting out at that price, I was told it was a bit like an easyjet sale...only 1 seat is actually at 99p

you are looking to rent out your flat of International City, please do not hesitate to contact me on my mail with the complete details of your apartment (s) at my e-mail: ssaleem0209@yahoo.com. We are well established Real Esate company by name HRE Home Real Estate, Dubai
having our office in UK as well. I f you are interested pls let me know about your details further I will forward you the complete details of our office and name of the contact person in UK as well.

Thanks and lloking forwarding to receive your favourable reply.

S. Hussain
E-Mail: ssaleem0209@yahoo.com

Hi All,

For all those who have asked, both my apartments are top floor in Persia sector, I rented direct (no agent) & I took four cheques for rent plus a deposit. I offered them at 50,000 1 cheque, 52,000 2 cheques and 54,000 4 cheques. I heared Nakheel were offering them for less, but it is almost impossible to get a 1-bed apartment from them. Don't know about studios.