Ajman property prices are still the lowest…

Most investors know that high oil prices mean increased building costs, but Ajman property prices still remain the lowest in the UAE.

The Emirates by night

The cost of raw materials such as steel and cement which are extremely energy intensive to produce, have push up building costs throughout the world. These costs are in turn passed on to property purchasers.

Despite the recent increases, Ajman real estate is still an attractive option, particularly when compared to property in the rest of the UAE. Last year the average price of property in Ajman stood at around 400 Dhs per sq ft, now the price is nearer 600 Dhs per sq ft. However, when you consider that the average cost per square foot in nearby Dubai is approaching 1600 Dhs, you can why Ajman continues to attract buyers.

As the price of Dubai property becomes increasingly expensive, many locals are purchasing in Ajman and commuting to work in Dubai. Those who prefer renting are eschewing the high rents of Dubai in favour of Ajman where monthly rental costs are more affordable.

As a result of this switch in buying/renting patterns, property close to the Emirates Road which links Ajman to Dubai is becoming particularly sought-after.

Apartments at the newest developments such as the Burj ul Ain and the Lake Signature Tower can be bought for a fraction of the cost of similar apartments in Dubai, and their proximity to the Emirates Road mean they are ideally placed to take advantage of this new trend.

Ajman Property Report - 18th September 2008