Hassle-free Property Ownership in Dubai
Interested in getting in on the Dubai condo hotel trend? Perhaps you’ve heard all the excitement about Dubai as an investor’s dream.

Or you think this new type of vacation home ownership sounds right for you. After all, a condo hotel unit, or “condotel,” is typically located in a great vacation destination. It’s in a four- or five-star property. And a management company takes care of all the hassles typically associated with ownership, including maintenance issues, operation of the amenities and services, and finding hotel guests.

Buy Dubai Condo Hotels in Pre-construction Phase
With many new condo hotel properties coming on the market in Dubai, when is the best time to buy? The answer is easy; in early preconstruction phases.

Most developers in Dubai begin selling their condo hotel units long before the property is built, and often before even the first shovel-full of dirt is overturned. The idea behind a preconstruction purchase is that you’re buying tomorrow’s property at today’s price.

A Deposit Holds Your Dubai Condo Hotel Unit
In most cases, you reserve your condo hotel unit with a deposit of about 50%. That may sound high, but remember prices for Dubai condo hotel units are about one third the price of comparable U.S. units.

The deposit goes into an escrow account of the developer. The balance is due when construction is done and you close on your unit. Some developers do require payment in full before building completion.

The Construction Process
How long does it take to build a condo hotel? The weather, availability of building supplies and the city’s permitting process are key factors. Generally, the construction process takes two years to complete. The developer or your salesperson should keep you apprised of the building’s progress.

Appreciation Makes Preconstruction Appealing
Some people wonder why they should buy in preconstruction phases in Dubai. After all, your deposit monies, 50% of the purchase price or more, are tied up for one to two years. The answer is you get in on the ground floor when prices are lowest and unit selection is greatest.

As the condo hotel is being built, it is gradually appreciating. And in a place as favorable as Dubai, that appreciation can be significant, certainly well into double digits for each year that passes. Additionally, developers implement planned price increases at various stages of the selling process, often as many as three to five price hikes.

If you purchase your Dubai condo hotel unit at a preconstruction price, it potentially could be worth significantly more at completion. When you sell, that translates into a higher profit for you. The actual profit of course depends on the general market conditions, interest rates and competition.

Work with an Industry Expert
If buying a condo hotel unit in Dubai in the early preconstruction phase is best, how you do you find out about projects? After all, if you’re like most investors considering Dubai these days, you’re not living in the city. And even if you were, it’s not as if there’s a building structure to catch your eye as you drive by.

Your best bet is to find a realtor who specializes in Dubai condo hotels. He or she can keep you informed of new condo hotels coming on the Dubai market and tell you which ones he would recommend, and which ones you should avoid, and why.

He can provide you with enough data to comparison shop, ensuring you compare apples to apples. He may be able to offer better choices for your consideration than the Dubai condo hotel you may have heard mentioned by a friend or in a newspaper article.

The specialist whom you choose should be familiar with Dubai’s condo hotel developers, building trends and unique buying requirements. He will represent your needs first and foremost, not the developer’s, and will successfully guide you through the buying process, answering all of your questions and ensuring that all of your needs are met.

For more information, contact Joel Greene, President of Condo Hotels Dubai and Condo Hotel Center (www.CondoHotelCenter.com). He specializes in the sale of condo hotels and is the foremost U.S. authority on Dubai property. Joel can be reached at info@CondoHotelsDubai.com or call (305) 450-1929.