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Showing posts from July, 2012

International City: A Promising Investment Opportunity in Dubai's Real Estate Market

Introduction: Over the past four years, Dubai has experienced a challenging period, but as the dust settles, one area is emerging as a lucrative investment option with impressive returns: International City. This article explores the factors that make International City an attractive investment opportunity, including its affordable prices, high liquidity, rental demand, reliable brokers, improved services, ongoing developments, and the potential for price appreciation. Affordability and Attractive Prices: International City offers some of the most affordable apartments in Dubai, making it an appealing choice for both local and international buyers. The competitive prices allow investors with limited budgets to secure stable returns. Even compared to London's property market, it is difficult to find properties at a similar price range with comparable rates of return. High Liquidity: Liquidity is a crucial consideration for any investment, and International City excels in this aspect

A Comparative Analysis: Dubai vs. London Property Market

Introduction: On July 10, 2012, The National published an article titled "Dubai puts London in Shade when it comes to rents yield," which provided an interesting comparison between property markets in Dubai and London. As an avid follower of both markets, I appreciate Cluttons' valuable insights into property prices in Dubai. The timing of the article couldn't have been better, prompting me to reflect on the stark differences between these two real estate landscapes. Dubai vs. London: Divergent Priorities: Even back in 2008, certain areas of Dubai offered significantly higher rental yields compared to London. While I closely monitor the London property scene, it's important to acknowledge that investment motivations in the two cities differ greatly. Rental yield is not necessarily the primary focus for investors eyeing London properties. Fundamental Differences: London's mature market provides a sense of security for investors, with high demand for rental prop

The Impact of Inflation and Currency Devaluation on Small Businesses in Pakistan

Introduction: In Pakistan, where employment opportunities are scarce, many individuals opt to start their own small and medium-sized businesses. With low setup costs for certain ventures, entrepreneurship becomes an attractive avenue for earning a livelihood. However, a significant number of these businesses face challenges, and a major contributing factor to their failure is the lack of financial education. While factors such as a weak economy, low demand, and poor marketing are commonly known reasons for business failure, the detrimental effects of inflation and currency devaluation are often overlooked by small business owners. The Hidden Culprits: Inflation and Currency Devaluation A considerable number of SME owners in Pakistan are unaware of the risks posed by high inflation and currency devaluation. With the government frequently printing money and devaluing the currency, SMEs lack the necessary knowledge to protect their businesses and investments from these risks. A Lesson fro

Understanding Currency Risk: A Lesson from a Property Purchase in Pakistan

Understanding Currency Risk: A Lesson from a Property Purchase in Pakistan Introduction: In this blog, I would like to share a story about one of my friends who made a property purchase in Pakistan. This tale holds an important lesson for everyone, regardless of their background in economics or finance. As an individual fortunate enough to have studied economics at a top university in London, I aim to explain the concept of currency risk and its impact on my friend's property investment. The Property Purchase: During the prosperous times in Dubai, my friend decided to invest in a property in Pakistan. At that time, property prices in Pakistan were also on the higher side. Here are the details of the transaction: Property Price: Pak Rs 25,000,000 Price in AED @ 16.5 AED 1,515,151 (property value in Dirhams) Initially, it seemed like a good deal. However, during a recent conversation, my friend mentioned that the property value had increased. The current value he shared was: Property

Leveraging "Good Debt" for Profitable Property Investments: A Lesson from Robert Kiyosaki

Introduction: As a passionate follower of Robert Kiyosaki, the renowned author of "Rich Dad Poor Dad," I have been inspired by his unique perspective on money and the flaws in our education systems. While his investment strategies primarily revolve around the USA market, our shared love for properties unites us. In this blog, I aim to discuss the concept of "good debt" versus "bad debt," as highlighted by Kiyosaki, and showcase a potential property investment scenario where good debt can be acquired. Understanding "Good Debt" and "Bad Debt": In his books, Kiyosaki emphasizes the importance of making clever decisions when it comes to debt. He distinguishes between "good debt" and "bad debt" to help individuals make informed financial choices. To illustrate these concepts, let's explore two scenarios. "Bad Debt": Imagine purchasing an expensive watch using your credit card and being unable to pay off the

Dubai Investment

Having served the Real Estate Industry in Dubai for the past seven years, I have accumulated valuable experiences and insights into the thoughts and preferences of customers when it comes to Dubai properties. It has been a thrilling journey, with its fair share of ups and downs. Reflecting on the past, I recall our staff meetings six years ago, where our focus was primarily on short-term plans that spanned no more than six months. However, the crisis and subsequent drop in property prices prompted a significant shift in our approach, leading us to embrace long-term growth strategies. In light of my experiences, I strongly emphasize the importance of adopting a long-term perspective and making strategic decisions. To illustrate this point, I would like to share the success story of a friend living in the UK. Back in the early 90s, he purchased his first property in London, securing a business loan from a bank. As the property value increased over the years, he capitalized on the opportu