Investors' faux pas in Dubai

Let's analyse the most common faux pas - mistakes
1. You invested in a pit, but construction was delayed for a year or more. The price went up, and 20 more skyscrapers have risen in this location during this time. There is competition in the rental market, the expected profit is much lower, and you can only sell at a discount. Buying an apartment during the construction phase looks attractive: cheap, with growth potential. But sometimes it is just a contribution to a dream that will never come true.

2. I bought an apartment and was hung up in the air because I live in Europe, my English is not so good, it seems difficult to organise the lease, move in at a distance, and manage it while I was looking for a property manager, writing to her, wasting time, and a competitor building with better conditions grew up. Because Europeans often hesitate, and they can lose profit, because without a strategy, without a management company, without knowledge of the local market, the apartment is empty, and only utility bills fall on the account.

3. Bought the wrong thing, not there, not then. Tempting projects in areas that do not yet have infrastructure are often overpriced - they look nice on paper, but no one needs them in real life.
In Dubai South, apartments for the Expo were actively sold. Rents are low and demand is sluggish. Those who bought are now selling at a discount.

4. Did not take into account taxes and legal nuances. Dubai does not mean ‘free of everything’. There are registration fees, maintenance costs, and the nuances of taxation in your home country.

Example:
I started renting an apartment without tax advice. Two years later, I received a letter from the German or Swiss tax authorities asking me to ‘explain my income’.

5. Invested because ‘a friend told me to’
Your friends bought earlier and sold at a profit, so you bought too. But they had a strategy, a plan, and experience. And you just had a desire to ‘keep up’ as a result:
Your apartment is not for rent, it is difficult to sell, your income is low. And your friend is a little less of a friend.
Dubai is not roulette, it's chess. If you play without a strategy, you are left without pieces.

Profitable investments are possible here. But without trusted partners, proper registration, calculations and healthy scepticism, it's a lottery.