Smith & Ken Real Estate is an innovative real estate consultancy and brokerage firm, offering a one-stop-shop for real estate purchase in Dubai and internationally.
Press Release (PressBurner) Jul 15, 2010 - Smith & Ken one of the leading property agencies in the UAE, has launched a unique Real Estate Recovery Scheme to help investors who have lost their money and life's savings on off-plan property investments in the UAE. Smith and Ken's Real Estate Recovery Scheme (RERS) is designed to help investors recover the monetary value of their real estate investments through a like for- like credit note to the value of what they have already paid against one of Smith & Ken's properties.
Announcing the scheme, Benjamin J Smith, CEO, Smith & Ken, said: "There is always an element of risk involved when investing in off-shore development plans even though you do a thorough background check on the developer and the property. There are situations that are beyond one's control like worldwide economic challenges or the developer going bust. Smith and Ken's Real Estate Recovery Scheme (RERS) aims to help investors in such unfortunate circumstances. Whether they have put down a 10 per cent deposit on the property or paid up a larger percentage, we will help them to recover their money by swapping units in most delayed or cancelled developments for thriving completed properties in prime UAE and international locations."
Once an application for RERS is approved by Smith & Ken, the company invites the investor to choose a new property, and once it is done, Smith & Ken deducts the amount the investor has already paid from their new apartment, office space or plot of land.
"Apart from more financing options and government regulations, innovative schemes like RERS are key to a recovery in the property market, "Smith added.
"There have been many distressed cases since property value fell by almost 50% by the end of 2008. But there is hope, and signs of recovery are already there. Average residential property prices in Dubai rose by 2% in the first quarter of 2010 compared to the same period last year. Prices have now risen 4% since the last quarter of 2009 creating confidence in the market.
"Economic prospects are looking better. According to the International Monetary Fund, the UAE, after a small contraction in 2009, will likely post positive growth in gross domestic product (GDP) this year. The National Bureau of Statistics expects GDP to touch 3.2 per cent. Dubai is also all set to house the Gulf regional branch of the world's first specialized real estate exchange operated to serve the Middle East and North Africa. Developments like these are a welcome boost for investors in Dubai."