Investing in Vacation rentals is clearly a best investment to make in 2023 since the rising demand in Holiday homes and vacation rentals in Dubai is not stopping soon and it is tend to grow in upcoming years.
With that in mind, letting out properties through short-term rental management companies like cosmos living can be a great opportunity to generate high rental yields, especially as you are in the midst of a booming economy, with properties generating both high occupancy rates and skyrocketing potential rental income.
So, it’s clear that investing in a short-term rental can be rewarding with the right combination of factors. But what are these factors? And how do you know which Dubai holiday home is worth investing in?
There are 5 factors you should consider while you invest in the holiday homes in Dubai
- Location.
- Appeal of the Property.
- Facilities in the property & Amenities Around.
- Connectivity.
- Knowledge about the Market.
Let’s see how these factors are effecting the holiday rental business!
Location
Dubai is home to many bustling, popular communities that accommodate different types of guests. To name just a few, some good spots for Vacation rentals include Downtown, Dubai Marina, JLT, Business Bay, JBR, and Palm Jumeirah, each of which holds its own charm and caters to an array of lifestyles.
f your short-term rental is centrally-located, or in the vicinity of the top tourist attractions like the ones that I mentioned above, you’ve won the investment lottery already!
Connectivity
When you are choosing the location, make sure that the location has an easy connectivity from the rest of the city. Most popular locations with the best connectivity are situated along the Sheik Zayed Road with access to Dubai Metro Line & Sheik Zayed Highway easily.
Appeal of the property
Holiday homes with high visual appeal get the most bookings through the booking platforms like Airbnb, Booking.com, VRBO, Expedia, TripAdvisor, etc. as great views, attractive lighting, and well-designed apartments are sure to draw in guests. If a property lacks in appearance, chances are it simply won’t get booked from the online booking portals.
Facilities & Amenities
Amenities and facilities is crucial for the AirBnB Properties, because each added convenience may very well be a deciding factor for a typical guest. Many guests are after accessible facilities, with nearby amenities and links to beaches, malls, restaurants, recreation centers, and entertainment venues. The facilities your property offers can make the difference between a guest choosing to book your property over another property in your area. The basic facilities, like a fully-equipped kitchen or laundry appliances, linens & towels would make your property feels like home to the guests.
Knowledge about the Market.
search the markets and check out similar properties in the area before investing in holiday homes in the particular area. How much are they charging? What amenities and facilities do they offer? What does the property look like? What are the costs involved, from property management and maintenance to air conditioning and Wi-Fi? Consider your property against other listings to determine if your property has competition. Also, ensure that occupancy rates are good, as they can be pretty inconsistent for short-term rentals. Still, prime properties, with good proximity to the beach and other tourist hotspots, generally generate higher and more stable demand throughout the year, regardless of the season.
In a nutshell
Investing in a Dubai holiday home can certainly make for a low risk investment with high profits as rental yields are higher for holiday homes than for a typical investment property, especially in peak seasons! As always, remember to put yourself in guests’ shoes and take note if you’re happy with the: location, appeal, and amenities – all while doing your research and due diligence along the way.
What’s the 1st step to learn about the Investment Property ?
Contact us to get more isights about the market and we help you to find the best property that can yield a whooping profit without any hassles.
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