Real estate investor mistakes that will cost millions

Dubainvest

We talk a lot about investing in the UAE real estate and give examples of successful cases. However, some investors suffer personal failures and large monetary losses. You can prevent this by avoiding common mistakes when investing. Which ones? 

Here are the top 6 real estate investor mistakes. 

Bad location 

The best-selling areas are seaside districts or ones within walking distance from the Persian Gulf. You should also take into account the entire canter, Downtown, Business Bay, Meydan. If you plan to invest in a promising area, learn its master plan. 

No clear strategy 

Some investors buy properties because of the attractive price, without thinking through the overall strategy and getting full understanding of how they are going to make money on real estate. If you plan to rent it out at the end, choose projects with fully furnished units. And if you are going to resell it, choose a convenient instalment plan. 

Out-of-date building 

Sometimes a good location and a clear strategy may not be enough, because the “filling” of the project also matters. Future tenants or new owners may be less willing to enter the deal if the complex just comes without a green courtyard with recreation areas. Trees, flowers, shrubs are especially valuable in Dubai. 

Empty area 

You should not choose projects with nothing around but sand. Even if the area is promising, infrastructure development doesn’t happen overnight. And for a full life, you need to have schools, hospitals, playgrounds, and malls at hand. strategy and getting full understanding of how they are going to make money on real estate. If you plan to rent it out at the end, choose projects with fully furnished units. And if you are going to resell it, choose a convenient instalment plan. 

Out-of-date building 

Sometimes a good location and a clear strategy may not be enough, because the “filling” of the project also matters. Future tenants or new owners may be less willing to enter the deal if the complex just comes without a green courtyard with recreation areas. Trees, flowers, shrubs are especially valuable in Dubai. 

No broker 

Buying an apartment for investment without a broker is like playing roulette: you either win or lose. After all, thoughtful investments require comprehensive expertise: knowledge of the area history, price dynamics over the past 3-4 years, local market features, and even common cultural practices that can also affect your investments.