The credibility of the real estate developer is the key to investing in luxury real estate in Dubai

A new survey of real estate brokers showed that global investors are greatly influenced by the reputation of the real estate developer and his record of achievements when purchasing luxury real estate in Dubai, and that the largest percentage of them want to live in the city, and not just own residential units.

The survey, conducted by Ketura Real Estate Company, in which 1,100 brokers representing 150 real estate agencies participated, revealed the maturity of the real estate market, as investors, based on a careful analysis of the market, make long-term investments, which indicates that buying real estate and speculating on it has become a thing of the past.

According to 36% of real estate brokers, the reputation of the real estate developer and his record of achievements are considered the most important factors influencing the completion of deals, followed by the quality of master planning and facilities (24%), then the price compared to similar projects (20%), while only 16% reported that capital appreciation in the short term is the main motivation.

Highlighting the changing criteria of buyers, 45% of them said that most of them are end users aiming to live in the city, while 40% of them deal mainly with long-term investors who have owned properties for at least five years.

According to 42% of brokers, data and accurate market information are now the primary driver of every purchasing decision. As Dubai is now considered one of the most dynamic real estate markets in the world, brokers cited investor confidence and transparency of regulations (15%), innovative projects and world-class infrastructure (15%), high quality (13%), and carefully planned luxury residential complexes (13%) as key factors.

Talal Al-Qaddah, CEO and founder of the luxury real estate brand Ketura, said: “This survey provides a clear indication of how investor standards in the luxury real estate market in Dubai are evolving as the market matures.”

“Buyers want to see proven performance records, not promises,” he added. They conduct in-depth studies on delivery capacity and financial strength. “What we are witnessing is sophisticated capital that makes long-term commitments based on solid foundations, not speculation.”

Al-Qaddah continued: “The dominance of end users and long-term investors, as opposed to short-term investors, reveals that this market is now for preserving wealth, not for quick profit.”

Al-Qaddah pointed out that buyers are looking for space, privacy, health, luxury, and design inspired by nature. “The survey showed what the most demanding buyers in the market are asking for, not what developers assume they need,” he said.

The survey showed how the quality of lifestyle has come to determine the criteria for purchasing luxury real estate, with 21% of participants citing “space” as a deciding factor for buyers, while another 21% preferred privacy and living in a low-density environment, 19% of them chose “luxury,” and 19% preferred a design inspired by nature and a modern lifestyle.

The survey also showed that determining real estate brokers, delivery dates and progress of construction work are buyers’ biggest concerns before making a purchase decision (40%), ahead of exit liquidity and resale demand (20%), the developer’s financial strength and credibility (15%), and long-term maintenance and project management (15%).

38% of real estate brokers view the growth of the luxury real estate market in Dubai positively, noting that this provides more options and better quality, while 31% of them believe that only experienced developers will capture the demand.

• 38% of real estate brokers view the growth of the luxury real estate market in Dubai positively.