UAE investors eye US, Australia, UK and Germany

UAE residents favouring real estate investments ahead of trading stocks, shares or bonds collectively

UAE investors are looking at pastures new, are are increasingly investing in property oversees.
UAE investors are looking at pastures new, are are increasingly investing in property oversees.

The US, UK, Australia, Singapore and Germany are the top five destinations for UAE residents looking to invest in property overseas, according to a YouGov survey commissioned by IP Global.

Hotelier MIddle East previously reported that UAE's Lulu Group had acquired real estate in England along with Al Habtoor Group snapping up key hotels around the world.

IP Global's survey indicated that the US topped the list, with 21% saying they would consider investing there. The UK with 19%, and Australia with 16%, were the second and third most popular choices respectively.

Did you like this story?
Click here for more

Singapore and Germany rounded out the top five, with 13% of respondents choosing these countries as preferred investment destinations.

The UAE was one of five countries where the survey was conducted, as part of IP Global’s research to identify investment trends in real estate across key markets. Hong Kong, Singapore, the UK, and South Africa were the other four countries.

When it comes to selecting assets to invest in, property in the UAE was the most popular asset class for UAE investors. More UAE residents currently invest in property (42%) than stocks, shares or bonds (30%), underlining the continued appeal of real estate as an asset class that provides stable returns.

The survey of more than 1000 UAE adults found that 41% of respondents identified tax as a reason that would prevent them from investing in property assets overseas.

33% of respondents said a lack of understanding of foreign laws in the country where property is located is also an investment obstacle.

Richard Bradstock, director and head of the Middle East at IP Global, said: “As the results show, the US has proved the most popular market for UAE potential investors. This shouldn’t come as a surprise as both Miami and Chicago offer potential for investors. Miami has achieved its second consecutive year of over 20% house price appreciation, and Chicago offers average yields of 7.9% according to Zillow.”

“The UK has always been a popular market to invest in, but outer London and regional cities such as Manchester and Birmingham, due to their robust economies and growth opportunities, have definitely seen increased attention from foreign investors. According to JLL, Manchester prices are forecast to grow 26.4% between the years 2016 to 2020, presenting incredible potential for investors.”

 

For all the latest hospitality news from UAE, Gulf countries and around the world, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page.

Most Popular

Newsletter

Reports

Human Capital Report 2017

Human Capital Report 2017

The second annual Hotelier Middle East Human Capital Report is designed to explore the issues, challenges and opportunities facing hospitality professionals responsible for the hotel industry’s most important asset – its people. The report combines the results of Hotelier Middle East's HR Leaders Survey with exclusive interviews with the region's senior human resources directors.

Hotelier Middle East Housekeeping Report 2016

Hotelier Middle East Housekeeping Report 2016

The Hotelier Middle East Housekeeping Report 2016 provides essential business insight into this critical hotel function, revealing a gradual move towards the use of automated management and a commitment to sustainability, concerns over recruitment, retention and staff outsourcing, and the potential to deliver much more, if only the industry's "image problem" can be reversed.

From the edition

From the magazine