Our Bureau
New Delhi
Wealthy Indians are increasingly choosing Dubai over Delhi NCR for real estate investments due to several compelling factors. Dubai’s tax-free environment, which includes no capital gains or income tax, significantly contrasts with India’s complex tax regime that imposes various levies on property transactions. This financial incentive makes Dubai an attractive option for Indian investors seeking to maximize returns on their investments.
The rental yields in Dubai are notably higher, ranging between 7.5% and 11%, compared to just 2% to 4% in major Indian cities like Mumbai and Delhi. Prime locations in Dubai, such as Downtown and Dubai Marina, offer even more lucrative returns, making it appealing for those looking for passive income.
The UAE dirham’s peg to the US dollar provides a stable investment environment, especially amid the depreciation of the Indian rupee. This stability reassures investors that their assets will retain value against currency fluctuations. Many premium properties in Dubai are priced 20% to 25% lower than comparable options in Indian metros, yet they offer superior construction quality and amenities. This price advantage is crucial for investors seeking value for money.
Dubai’s proximity to India—a 4-hour flight from major cities—enhances its appeal as an investment destination. The city boasts excellent connectivity through global airlines, making it easy for investors to manage their properties while staying connected to their roots.
The multicultural environment in Dubai, with a significant Indian expatriate community, provides a familiar atmosphere for Indian families. The availability of Indian schools, restaurants, and cultural hubs makes it an attractive place for long-term residence. As wealthy Indians continue to diversify their portfolios in search of better returns and lifestyle enhancements, Dubai emerges as a resilient investment haven amidst global uncertainties.
