Investment Property in Sharjah

Investment Real Estate in Sharjah

Investment Property in Sharjah
Investment Property in Sharjah

Sharjah property investment can be a worthwhile venture if you are selective with the areas you choose to invest in. If not, you could find that your investment suffers due to low rental yields, dwindling demand, and slow property price growth in many parts of Sharjah.

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Search Map of Sharjah Investment Real Estate

Sharjah (Arabic: ٱلشَّارقَةaš-Šāriqah; Gulf Arabic: aš-šārja) is the third-most populous city in the United Arab Emirates, after Dubai and Abu Dhabi, forming part of the Dubai-Sharjah-Ajman metropolitan area. The emirate of Sharjah borders with Dubai to the south, Ajman and Umm Al Quwain to the north and Ras Al Khaimah to the east. It is the only emirate that overlooks the coastline on the Persian Gulf to the west and the Gulf of Oman (Indian Ocean) to the East, with the eastern Sharjah coastal towns of Kalba and Khor Fakkan.

Sharjah is the capital of the emirate of the same name. Sharjah shares legal, political, military and economic functions with the other emirates of the UAE within a federal framework, although each emirate has jurisdiction over some functions such as civil law enforcement and provision and upkeep of local facilities. Sharjah has been ruled by the Al Qasimi dynasty since the 18th century.

The city is a centre for culture and industry, and alone contributes 7.4% of the GDP of the United Arab Emirates. The city covers an approximate area of 235 km2 and has a population of over 800,000 (2008). The sale or consumption of alcoholic beverages is prohibited in the emirate of Sharjah without possession of an alcohol licence and alcohol is not served in Sharjah hotels, restaurants or other outlets due to the Muslim majority in the area. This has helped Sharjah increase the number of Islamic tourists who visit the country.
Sharjah has been officially named as a WHO healthy city. The 2016 edition of QS Best Student Cities ranked Sharjah as the 68th best city in the world to be a university student. Sharjah is regarded as the cultural capital of the UAE, and was the Islamic culture capital in 2014. Sharjah was named World Book Capital for 2019 by UNESCO.

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The financial stability of Sharjah has translated into a real estate market that rewards forward planning and a willingness to look beyond areas of traditional affluence.

Buy to Rent in Sharjah

Renting out your Sharjah buy-to-rent investment property can grow wealth and income.

Whatever your goals with investment property in Sharjahare – preparation is key.

  • Set goals based on how much rental yield will be required and the local rental yield rates in Sharjah and be prepared to change your initial outlook.
  • Thoroughly research the Sharjah location with a special emphasis on fringe areas outside the main Sharjah metropolis that may be valued lower than their better-known neighbours. Rental yields of around 5% are still attainable in certain areas of Sharjah.
  • Ensure that your target investment property in Sharjah appeals to professionals. This is a demographic that ensures maximum income and low voids.
  • Finding and vetting suitable tenants is a job ideally left to the professionals. Working with an established letting agent such as Physis Realty with local knowledge and experience of property legislation will give you the best chance of success.
  • You may think that managing your Sharjah properties yourself is an easy option, but are these savings justifiable when you run into Sharjah red tape? Physis Realty Sharjah office in downtown provides you with peace-of-mind and leaves you time to plan your next move in the growing Sharjah buy-to-rent sector.

With our expert guidance, investing in Sharjah provides the secure knowledge that your money is working harder than it would in a local Sharjah bank and that future generations of your family will be left with substantial capital growth assets.

We are always happy to advise on buying investment property in Sharjah, where we have been established for over 35+ years. Physis Realty has been a firm fixture in the Sharjah property market through good times and bad. Our experts have seen it all and our portfolios continue to outperform.

Flipping Investment Property in Sharjah

Flipping property in Sharjah

Flipping property is when we advise clients to buy a Sharjah property below market value, renovate it and then make a profit by selling it at a higher price, all within a few months, and often before the Sharjah market has a time to react to the renovation.

The Flipping Strategy in Sharjah

Investment property flipping in Sharjah is a simple strategy. You find a property that is in need of renovation from our list and purchase it for a low price. These type of Sharjah real estate investments are sometimes referred to by professionals as ‘distressed’ Sharjah real estate.

What is distressed Sharjah property:

  • Sharjah property in need of renovation
  • Sharjah real estate with a change of puropose and use
  • Oversold Sharjah property
  • Bank repossessions in Sharjah

Put simply, long term investors in Sharjah purchase the property, renovate it and make it a lot more attractive to potential buyers.

Calculate profit that you make from Sharjah investment property flipping:

Final Selling Price less Cost of Purchase less Costs = Profit

Here is an example:

Sharjah property purchase price: $220,000

Renovation costs: $20,000

Other costs: $25,000

Property sale price: $400,000

Profit: $135,000

Experienced property developers in Sharjah use a minimum profit value of 22% when looking at potential Sharjah projects. The reason for this is because there are lots that can go wrong in Sharjah property flipping and working on a potential margin of 22% should still leave a good margin of error.

Luxury Property in Sharjah

For luxury property investors hoping to add a superb property in {AsainCity} to their luxury real estate investment portfolio, Physis Realty is a trusted partner.

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A world leader in luxury real estate with a portfolio comprising some of the most sought-after real estate in Sharjah, Physis Realty caters particularly to high net-worth individuals and families in Asia. A luxury real estate investment in Sharjah should be entrusted to only the highest-quality agency.

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