x Abu Dhabi, UAETuesday 25 July 2017

Dubai townhouses on sale for Dh100,000s more hours after buying frenzy

Buyers of Emaar townhouses that went on sale yesterday for less than Dh1 million are already trying to flip them online with premiums of more than 30 per cent.

People who queued for hours in the hopes of buying property had to be dispersed by police after huge queues caused chaos. Satish Kumar / The National
People who queued for hours in the hopes of buying property had to be dispersed by police after huge queues caused chaos. Satish Kumar / The National
Buyers of Emaar townhouses that went on sale yesterday for less than Dh1 million are already trying to flip them online with premiums of more than 30 per cent.
Three-bedroom townhouses in Emaar's Mira development near Arabian Ranches which went on sale to the public on Saturday are available for purchase on classifieds website Dubizzle.
A sale of 188 units beginning in the early hours of Saturday morning was mobbed by prospective buyers, many of whom had queued for days to purchase the under-construction properties. At one point, police were called to maintain order at Emaar Square.
The low prices attracted a substantial number of buyers, including many who came from overseas, said Munir Ul Haq, managing director of OSS Properties.
"Dh980,000 was nothing, we'd consider that peanuts in a strong market like just now," he said.
It is unclear when purchasers will be able to resell their properties. Buyers of the properties were issued with tokens on Saturday, but contracts which will determine when the townhouses can be transferred are expected to be finalised within the next two weeks, an Emaar sales representative said.
As the launch descended into chaos and the queues disintegrated, Mr Ul Huq said his agents who had arrived in the morning were able to get to the front of the line and snap up four properties.
They are currently listed on Dubizzle for Dh1.65m each, representing a potential markup of around 37.5 per cent on the company's purchase price from Emaar of Dh1.2m.
Another ad, listed by Appello Real Estate Brokers, advertises a three-bedroom villa on sale for Dh1.85m.
The marked-up prices were "not that overly exaggerated" and in line with market demand, said Appello's Suki Fraser, whose company is a registered agent with Emaar.

The sales were made on a first-come, first-served basis and limited to one per person. Few properties sold at the starting price of Dh988,888 each, the brokers said.
The properties are scheduled for handover in 2016.
An Emaar spokesman said on Saturday that the response had been "overwhelming", and the company had put more units on sale.
 
ghunter@thenational.ae