Dubai off-plan buyer weighs selling at 20% paid

At a glance	Details
Buyer	Ghery, Dubai
Property	Two-bedroom apartment at Terra Gardens
Purchase price	Dh2.237 million
Paid	20% plus the 4% DLD fee
Completion	Around 2030

A Dubai buyer who paid Dh2.237 million for an off-plan apartment at Terra Gardens has completed 20% of the purchase price and is considering whether to sell before reaching 40% to 50% or hold until completion around 2030.

The buyer purchased the two-bedroom, first-floor unit from Emaar at Expo City in February for approximately 1,100 square feet (The National). They have also paid the 4% Dubai Land Department fee. The buyer said they had spent four to six months researching the purchase before buying in February and were reconsidering it amid geopolitical uncertainty and concern about property prices.

Should the buyer sell after paying only 20%?

The columnist recommended against selling now, citing the low point reached in the payment plan, potential selling costs and the discount needed to attract another buyer. Selling because of uncertainty would also mean crystallising the Dubai Land Department fee.

The columnist based the recommendation on whether the buyer could comfortably continue the scheduled payments without financial pressure. A buyer unable to reach 40%, 50% or completion without stretching their finances would have a different decision from one who can meet the obligations comfortably.

How does the purchase price compare with current pricing?

The purchase works out to roughly Dh2,030 per square foot. Current two-bedroom pricing at Terra Gardens was reported at approximately Dh2,100 to Dh2,200 per square foot, although individual units differ according to building, floor, layout and view.

On the secondary market, sellers were asking between Dh2.09 million and Dh2.5 million for similarly sized units. These were asking prices rather than completed transactions, so the columnist advised monitoring the prices at which comparable apartments actually transact rather than relying only on advertisements.

What could justify leaving the investment?

The columnist identified two circumstances: a fundamental change in the buyer’s own finances or in the investment itself. Financial strain was presented as the more practical test because completing the remaining payments had to remain sustainable.

Selling and replacing the apartment would involve potential selling costs, while the 4% Dubai Land Department fee would become a realised cost. The replacement investment would therefore need to offer a sufficient improvement to justify the exit, according to the advice given.

What should be monitored before completion around 2030?

The suggested indicators were comparable two-bedroom sale prices, Expo City’s development, infrastructure, new commercial activity and Emaar’s delivery around the project. The underlying thesis had been Expo City’s development over the remainder of the decade, which the columnist said was too early to assess in September 2026.

Does Boston’s apartment market show the same uncertainty?

A separate report published by Banker & Tradesman documented investor hesitation in Greater Boston as interest rates and inflation raised concerns about valuations and financing. That report covered a different market and does not provide a Dubai valuation, but it illustrates the pressure associated with changing rate expectations.

After the Federal Reserve’s first interest-rate increase in more than three years in September, the benchmark 10-year Treasury note topped 5.2%. CBRE’s Simon Butler described the change this way:

“Things were going pretty smoothly up until two months ago, when interest rates starting climbing” — Simon Butler, vice chairman and managing director at CBRE in Boston.

The Boston report said approximately $757 billion in multifamily mortgages were due to expire between its publication and 2028. Apartment values had fallen more than 20% nationally since 2022.