How will the lifting of sanctions open new opportunities for Iranian real estate buyers?

Introduction

In the early 21st century, Western countries, including Europe and the United States, began to impose a wide range of economic restrictions against Iran. These sanctions affected various sectors of the economy, including the export of goods and financial activities. However, Iran found itself in a unique position compared to other states subjected to similar measures.

The restrictions affected not only companies and individuals involved in nuclear technologies but also ordinary citizens, which significantly complicated their lives. Iranian citizens faced difficulties obtaining visas for travel to European Union countries and the United States, as well as encountering banking issues when trying to open accounts in banks in those countries.

Lifting of sanctions

In January 2016, a decision was made to partially lift sanctions from the U.S. and EU against Iran, which concerned issues related to the nuclear program. This decision gave Iran access to frozen assets that exceeded 100 billion dollars, as well as opportunities to increase oil exports.

As a result, many wealthy Iranians have had the opportunity to start investing in foreignreal estate again.

Real estate market analysis

With forecasts suggesting the outcome of easing international restrictions, Iranians will begin to actively explore the residential and commercial real estate market, primarily in the Middle East and Europe.

Key directions in the Middle East

• Turkey
• United Arab Emirates

These countries interest Iranians due to their cultural and geographical proximity. With the lifting of sanctions, Iranian businessmen plan to strengthen their positions in Dubai by acquiring luxury real estate and opening new offices.

Economic relations with Europe

As for Europe, cultural and economic ties with Iran remain at a high level. The UK and Germany have been among the top priority countries for Iranian migrants for many years. After the easing of sanctions, a significant increase in interest from Iranian buyers in the real estate market in these countries is expected, which will have an impact on the prices and availability of housing.

Partnership with the UAE

In the Middle East, Iran has strong trade ties with the UAE. The main partners of Iran remain three emirates:

• Dubai
• Abu Dhabi
• Sharjah

These emirates together rank second among Iran's trading partners after China. According to Forbes, there are about 375,000 Iranians living in the UAE, most of whom have settled in Dubai, where about 9.5 thousand Iranian companies are registered. With the end of sanctions, Iranians will again be able to take a strong position in the Dubai real estate market.

Prospects in the Dubai market

Additionally, it is expected that Iranians will intensify the process of opening offices in the emirate, which was a common practice before the newly introduced restrictions. Currently, thousands of investment opportunities are available in Dubai, highlighting the attractiveness of this region for investments.

• Investment apartments with a yield of up to 9%
• New residential complexes with the possibility of obtaining a residence permit
• Areas with developed infrastructure and high investment return potential

Conclusion

Thus, after the lifting of sanctions, Iran is likely to become one of the most active participants in the international real estate market. This will have a positive impact on the economy of both Iran itself and the countries willing to cooperate with it. The opening of these new opportunities will serve as a foundation for further interaction and growth in various sectors.

A unique opportunity is opening up in Dubai to purchase a luxury apartment for $588,000. This property has the potential for a return of up to 7.5% and is part of the exquisite Erin project, located in the prestigious City Walk area. The living space of this property is 121 m², making it an attractive option for investors in this rapidly developing emirate.

In addition to this, developers are offering other interesting options:

• Construction of a luxurious residential complex by the Swiss brand Franck Muller will begin in Dubai Marina, offering designer interiors and breathtaking views from above. Prices here start at $773,000, with completion scheduled for 2027.
• Another intriguing project is the new Armani Beach Residences, which will be located on the stunning Palm Jumeirah island and will offer residents their own beach as well as swimming pools. The complex is set to feature 53 apartments, with starting prices at $2,768,000. The project is expected to be completed in 2026.
• Next on the list is the new Eywa luxury residence being built in Business Bay, which will include pools, lounge areas and water cascades. Expected completion date is 2026 and condo prices start at $269,000.

In addition, a new Cello residence will be built in the prestigious JVC area, featuring a variety of amenities, including swimming pools and convenient access to major highways.

The trend of increasing Iranian investments in real estate

In recent years, there has been an increase in the number of investors from Iran interested in purchasing real estate in Turkey. This trend has particularly intensified following the partial lifting of international sanctions. Similar changes are also observed in other Western countries, such as the United Kingdom and Germany.

Many Iranians are beginning to realize the potential risks associated with changes in government policy that could lead to the reintroduction of restrictions. This is forcing them to seek safer ways to preserve and increase their capital, making European countries, especially those like the UK and Germany, the most attractive for investment.

Statistics on residence permits

Clear examples of statistics from Eurostat confirm that this trend does not go unnoticed: Iranian citizens annually receive about 18-20 thousand residence permits in the European Union, and more than 40% of them fall on Germany and Great Britain.

• Germany - 5186 permits
• The United Kingdom - 3218 permits
• Sweden - 2796 permits
• Denmark - 1445 permits
• Italy - 1,414 authorizations
• Netherlands - 1000 permits
• Austria - 662 permits
• France - 565 permits
• Hungary - 552 permits
• Spain - 527 authorizations

In total, 19,320 such permits were issued in EU countries over the year.

Prospects of Iranian investments in London

According to experts, Iranian investments could take a significant place in the London real estate market. Forecasts from the firm Rokstone indicate the possibility of a 25% increase in the number of Iranian homebuyers in the British capital by the end of 2016, which confirms the growing interest.

Babak Emamian, who heads the British-Iranian Business Association, reports that there are currently about a thousand wealthy Iranians whose incomes exceed£100 millionactively seeking investment opportunities in the United Kingdom. According to estimates by RE/MAX Property Group, over the next 5-10 years, the volume of Iranian investments in commercial and residential real estate in this country could reach5 billion pounds sterling.

Interest in different types of real estate

Iranian investors are showing interest in both commercial and residential properties, considering not only the possibility of purchasing ready-made real estate but also financing new construction projects.

The areas of London that are particularly in demand are those where Iranians actively purchased property in the 1960s and 1970s. These places include:

• Mayfair
• Knightsbridge
• St. John's Wood
• South Kensington

The area of interest is not limited to London; there is also high demand for luxury real estate in the surrounding areas, such as:

• Buckinghamshire
• Berkshire
• Kent
• Sussex
• Hertfordshire
• Essex

The Cluttons agency notes that among Iranian buyers in London, the greatest interest is in residential properties, the cost of which ranges from2 to 5 million pounds sterlingwhich confirms the interest in investing in quality real estate.

Conclusion

In conclusion, I want to emphasize the relevance and importance of the changes that have occurred in Iran's relations with Western countries, especially in the context of the lifting of sanctions. These events open new horizons for Iranians, who will finally be able to restore their financial connections and start making active investments abroad, primarily in real estate. With each passing year, the need to renew economic ties only grows, and Iran, possessing significant resources and capital, is once again stepping onto the international stage.

Prospects for investments

As I have found out, the Emirates and Turkey are becoming the most attractive destinations for investment. Marketing strategies, cultural interaction, and geographical proximity make these countries ideal for Iranian businessmen and citizens who are looking not only to preserve their capital but also to multiply it. Thus, we can expect a renewed interest in these regions, especially in Dubai, where Iranians may once again take a prominent place among foreignreal estate buyers.

Economic ties of the Middle East

Certainly, the atmosphere in the Middle EastHistorically rich in cultural and economic ties, it creates unique opportunities for further cooperation. It is also important to keep in mind that one should pay close attention to changes in legislation related to real estate acquisition, especially in countries like Turkey. Iranian citizens need to stay informed about all current requirements to avoid unnecessary complications.

Key findings

• Lifting of sanctionswill be a key step towards stability and prosperity for Iran.
• Iran will open new opportunities for mutually beneficial cooperation on the international stage.
• Iranian businessmen and citizens will continue to actively invest in real estate.

Thus, we can confidently assert that the lifting of sanctions will be the basis for long-term economic growth and recovery of Iranian business. I believe that Iran has many successful deals and bright prospects ahead of it in real estate and beyond.