Why is investing in finished real estate more profitable and reliable than in off-plan?

01.12.2023
5 Minutes
Alex Miroshnichenko, Kir Tkachuk
Investments are always about numbers. So, let's move away from beautiful renders and unfounded loud promises and simply do the math.

When offered to buy off-plan real estate, agents usually promise a 30% capital growth in 2 years. Let's imagine that you were advised to buy a real property with a growth potential of 30%. Make sure to read the article on how to avoid deception and unprofessionalism when investing in off-plan real estate.



Okay, you've been offered a good property - great!

Now, let's talk about finished real estate. Not all ready properties are suitable for investment. Usually, 90% of what's on the market has a low yield below 5%.

We don't just want to tell you what's better. We want to teach you our technology so that you can analyze and make decisions yourself.



The Masterpiece technology is based on the 13-year experience of the company's founder, Alex Miroshnichenko, and allows selecting high-liquidity real estate that brings a 9% annual rental yield and grows at least 5% every year.
Part #1
The technology of successful investments.
Step 1: Choosing districts
The rental real estate market is divided into classes: "A", "B", "C". Class "A" is the most expensive real estate, class "C" is the cheapest.

What happens when a crisis occurs (and it always will)? People start moving to areas (and apartments) that are cheaper. Class "A" shifts to "B", "B" to "C". Therefore, we initially focus on class "C" real estate, which is the most in demand. It is in demand now and will always be in demand. In a growing market, people will come and rent housing, and in a crisis, people will move from more expensive apartments.



Areas with the best class C real estate:
  • Jumeirah Village Circle
  • Arjan
  • Dubai Creek Harbour
  • Dubai Sports city
  • Discovery Gardens
Part #2
The technology of successful investments.
Step 2: Selecting a property
How to choose secondary real estate objects:
  • ROI not less than 8%. To do this, look at the selling price of the apartment and the highest rental value of the apartment. Then subtract ownership taxes, management, and all expenses, and divide by the cost of the apartment. If we get a value above 8%, then this is the property for you.
  • Uniqueness of the apartment. The property should stand out among similar ones with higher quality or a special concept. It should be a scarce offer in the market.
  • Location of the apartment in the building. Good floor, pleasant view from the window, high ceilings, harmonious layout, and a favorable location on the floor.
  • Full basic amenities. Pool, gym, SPA, children's room, concierge, security, parking.
    Interior. High-quality finish, furniture, and appliances from leading global manufacturers.
  • For secondary real estate, developers do not play a significant role.

* Now you understand the criteria for choosing

Part #3
So let's talk about the key point
Even if you have been offered a good off-plan property, it will yield the promised returns only if the market remains the same as at the time of purchase. But no one in the world can know the future and, moreover, guarantee that everything will be the same as it is now, even in a month.

Recent examples with Russia's war with Ukraine, Palestine's war with Israel, and the situation with the coronavirus all remind us that the future is unpredictable.


Therefore, we adhere to a safe investment strategy that will generate returns even in a crisis. This is ready class "C" real estate to which we provide a 9% guaranteed annual income in the contract. For 13 years, we have seen astronomical market growth, a deep crisis, and we are sure that this is the strategy that will make you money in any circumstances.
Part #4
Let's consider the most negative scenario
that due to some global situations, the market in the Emirates went down, followed by a decrease in property prices. What do we have? All off-plan properties lose value, and you lose your money. Developers cannot complete their projects on time or cannot complete them at all. It's all just a risk.

And if a crisis begins, the situation with the studios of our investors in class C will be completely different - we will earn even more.




For clarity, let's compare off-plan properties with our ready studios of class "C"

Comparing off-plan, which grows by 30% in 2 years, and a ready studio apartment that yields 9% from rent and grows by 5% per year. The cost is the same - $200,000.
Big differencе?
And now?
That's why all our investors follow our strategy and steadily increase their capital without a gray hair.

Be among them