According to the latest rankings from real estate advisory firm Savills, the United Arab Emirates is the second best country for residential investment in the world. In a report from Arabian Business, topping the list is the United States and Singapore coming in a distant third.
The basis for the ranking is each country's economic growth and market recovery. The UAE, according to the firm, has great domestic wealth creation capacity together with a growing population both locally and regionally puts the country as one of the best choices.
One of the key areas of the country is Dubai, where robust demand has replaced speculative overseas investment, which was commonplace just a few years back. With prices softening in the area, this would be a good time to invest in properties, at least for the next five years.
Core CEO David Godchaux said, "We expect prices in Dubai to rebound in 2016 as the UAE gears up for Expo 2020." Core is the Savills associate firm in the Emirates.
He added, "The property market has matured a great deal after the government took measures to stamp out short-term speculators. We are confident that investors looking for long-term gains will do well as Dubai is a safe and established global business centre in the Middle East which has broad appeal to a range of buyers from the region and far beyond."
The Savills World Residential Investability Ranking ranked the US as the top destination for residential investment. In a report from the National, the top US cities for investment are Los Angeles, Miami, New York and San Francisco. Dubai then came next. Despite being in the same country, the divide between cities in the same country is wide.
According to Savills Director of World Research Yolande Barnes, "There is a world of difference within the USA between top tech cities and languishing Rust Belt ones."