However, choosing accommodation and things to do in Abu Dhabi for tourists is not a problem. Apartments for rent are available short-term because the capital emirate has numerous properties for holiday seekers. Vacation homes can be searched by visitors, business persons, vacationing families, and city persons who need city weekend getaways.
This makes vacation homes a profitable investment because of their high demand from consumers. There are several of the main points that are within the offer of such apartments – rental income and capital appreciation.
Let’s go through the advantages of investing in Abu Dhabi holiday homes.
Benefits of Investing in Abu Dhabi Holiday Homes
Recently, there has been an increased interest in taking vacation homes in Abu Dhabi as there are vacation villas in Dubai. In 2020, the Abu Dhabi Department of Culture and Tourism (DCT) started with vacation rentals.
This extension aims to provide a fair environment for the hotel industry as well as continue to develop and improve the appeal of the city to tourists. Further, Farmhouse owners are also set to monetize free from renting their farms to tourists in Abu Dhabi due to DCT liberalization of farmhouses to be sold as holiday homes in 2023.
These are the main benefits and reasons why people buy vacation rentals in Abu Dhabi.
Ease of Taxation
Investing in real estate in Abu Dhabi has its advantages, which are minimal in their disadvantages. Due to the easy process of taxation, it is one of the most attractive options to invest in holiday homes in Abu Dhabi. The UAE does not politically impose property tax, which enhances the investors’ sentiments.
Nevertheless, while letting out a vacation house, the visitors are expected to pay the DCT within 60 days from the invoice significance which is equivalent to € 6% of the cost for tourism. Before one can list a property as an Abu Dhabi short-term vacation, the owner must part with AED 900 for a DCT license.
High Rental Yields
Apart from the two, it enjoys a very good economic base and more importantly a steady stream of visitor traffic. This increases the need for short-term lettings in Abu Dhabi even further. However, the no-income taxes have also made investing in vacation homes even more appealing as a form of income.
Capital Appreciation
Another advantage associated with the Colorado property investment is the steady and sustainable capital appreciation of vacation homes in Abu Dhabi. Real estate sales in the city are expected to post a steady growth mainly due to factors such as diversification of the economy, government support, infrastructure development, and so on. Also, because of their location, the value of houses that are vacation houses such as those located in Yas Island, increases over time.
Diversity and Amenities
Holiday lettings in Abu Dhabi offer lots of services and accommodations. Starting from the working place neighborhood flats to lonely condominiums in Abu Dhabi, they satisfy the demands of different types of guests. Moreover, business travelers, couples, and families are attracted to such amenities as gyms pools, and other additional services. Furthermore, investors can increase their possible rental income by working with property management companies in Abu Dhabi to enhance the visitor experience.
Plethora of Listing Options
Once an investor has secured a permit to operate a holiday home in Abu Dhabi, they can advertise this property in several markets online. Short-term rental property is best listed in the United Arab Emirates through the most efficient classified site, Dubizzle. In a similar mean, you can benefit from rental yields and list your house on DirectSB.
Personal Use
The possible benefits of vacation rentals in Abu Dhabi include; financial prospects and seasonal and personal opportunities. Owners can lease their vacation homes or tiny houses for a weekend or more, and enjoy the beautiful sea beaches and the vibrant cultures.
As for vacation homes, owners and visitors also have freedoms. Another unique feature of access rents is that owners may enjoy rents from their property while probabilistically using them for personal purposes. Meanwhile, the guests can benefit from the property alternatives and the free and open booking option.
FAQs
Where can I find short-term lettings in Abu Dhabi?
Some of the most trending areas in Abu Dhabi for short-term accommodation are Yas Island, MBZ City, and Al Nahyan.
What is the cost of the Abu Dhabi vacation house permit?
The fee required for a DTC Vacation Home permit is 900 AED. Interestingly, the permit renewal charge is also AED 900, which is the same as the license fee.