Until recently, developers in Dubai were only offering these on a building or two
Dubai: Dubai South has become the first master-development in Dubai to launch rent-to-own schemes, as the state of the Dubai property market has developers come up with reworked selling strategies.
The schemes have a 10-year payment plan. People who sign up are under no commitment to purchase. Those choosing to avail the offer will receive two months of free rent at the start of their contract.
In this particular offer, tenants/buyers can make quarterly payments.
There is also no down payment.
“Given the current environment, we are highly conscious of the challenges faced by many and have created a scheme that gives tenants the assurance of owning their own property without any major up-front investments,” said Mohammed Al Awadhi at the company.
This means Dubai South will offer rent-to-own – where you pay a small down payment and then monthly instalments – across its vast residential clusters.
Rent-own-schemes are once again popular in Dubai after nearly 10 years, but so far, these offers have been limited to a building or set of buildings rather than across a massive destination.
Space and time
The timing could prove particularly beneficial for the developer.
The destination is likely to see more projects getting completed before the year is out. Plus, with the Expo 2020 now scheduled for next year, it gives the master developer – and other developers with projects there – to work on their plans. The likes of MAG and Emaar have ongoing projects there and which were well-received by buyers at the time of their launch.
It was also the location where developers experiments with offering townhouses under the Dh1 million range.