KHALED AL KHAWALDEH (ABU DHABI)
The UAE has been ranked among the top 12 global destinations for real estate investment in 2025, according to a recent report by UAE-based real estate site, Bayut.
The report, which compared rental yields and average costs per square metre for apartments, found that the UAE was one of the most lucrative and cost-effective markets alongside Cyprus.
According to Bayut's data, UAE property investors got an average of 5 to 8% as rentals which cost them between $189-$1,472 per square metre, whilst those in Cyprus yielded 4.54% with an average cost of 293.38 per square metre.
The list also contained Greece, Turkey, Panama, Spain, France, the USA, Shanghai and Singapore, all with relatively high yields but with substantially higher purchasing costs.
The report highlighted the UAE as an ideal location for purchasing high-value properties, noting the growing prime real estate opportunities in Dubai, Abu Dhabi, and other emirates.
"If you are looking for luxury properties with an affordable price tag, the UAE is one of the best countries to invest in real estate," the report said.
"The country offers a higher rental yield, thus allowing you to reap the most benefits from your investment. Plus, it's tax-free, which means you get to pocket all the accumulated rent."
Since the introduction of the UAE's freehold ownership laws, which allow foreigners to purchase properties in designated areas, the country has seen a surge in real estate investment, with Dubai and Abu Dhabi becoming major property markets for the global elite.
Economic and political stability, a flourishing tourism sector, and robust demand for short-term rentals have in turn created a highly attractive investment landscape.
The report highlighted other thriving global markets for property investment, including Spain, which offered high-quality coastal properties and a central European location, and Turkey, which provided high returns and long-term capital appreciation.