- Prices in luxury home units expected to increase 13.5 per cent next year, says Knight Frank study
- Property investors can explore short-term rental business to yield ROI
Dubai, UAE, 24 March 2023: Nasma Luxury Stays, a division of Al Tamimi Investments and a specialist in vacation rentals, forecasts accelerated growth in luxury home investments in Dubai in 2023 in light of stronger global interest in the market.
Nasma expects considerable investments in Dubai’s high-end residential sector as unit prices are seen to surge 13.5 per cent next year, which is reported to be the strongest growth globally as per the latest Knight Frank study. The report credited the growth to sustained interest from ultra-high net-worth individuals who are looking for their second luxury homes.
“The local luxury residential market continues to attract foreign investors worldwide. The subsequent higher investment inflows will provide more growth opportunities and further boost Dubai’s status as a preferred destination for international property investors. Investments will be especially high in premium areas such as the Palm Jumeirah as stated in the latest research,” Dani Tabbara, COO of Al Tamimi Investments.
According to Nasma, one growth opportunity that property investors can explore is entering the short-term rental market, a highly in-demand segment of the hospitality industry fueled by staycationers as well as remote and hybrid workers.
“Short-term rentals enable property owners to offer their second homes to those seeking to enjoy all the luxuries associated with a 5-star hotel within a comfortable, warm home environment. Despite their property being leased, the owners will still not lose access to their property during their holiday break or whenever they want to use it,” Tabbara said.
Nasma provides end-to-end property management solutions to luxury owners, overseeing issues such as property damage and maintenance to take worry out of the equation and make everything as hassle-free and transparent as possible for them.
In addition, the company offers an attractive profit-sharing model in which 80% of the profit goes to the property owner to ensure they enjoy better rental yields. Part of its services as well is providing its clientele with a 12-month revenue forecast and interior design solutions for a more effective business strategy and higher market value of the properties.
Nasma manages luxury holiday homes at the Palm Jumeirah, Jumeirah Beach Residence (JBR), Dubai Marina, Downtown Area, Dubai International Financial Centre (DIFC), City Walk, Blue Waters, Dubai Harbour Creek, Dubai Hills, and many more.
“Amid the global demand, the short-term rental segment is poised to open attractive return on investment for property owners to enjoy. With Nasma as their partner, they can be assured that their properties will be taken care of with utmost care and meticulousness through our holistic solutions and services,” concluded Tabbara.