Episode 32: Building an AED 10M Portfolio Strategy

Building an AED 10M Portfolio Strategy: Strategic allocation 60-40 (60% AED 6M mid-market for rental income, 40% AED 4M luxury for capital appreciation), mid-market component AED 6M (JVC AED 2.5M: 2-3 properties 1-2 beds, 7-8% yields, 5-8% price growth 2025; Business Bay AED 2M: 1-2 2-beds near metro, 6-8% yields, 4-6% growth; DSO AED 1.5M: 1-2 properties, 6-7% ROI; combined rental income AED 400K-450K annually 6.7-7.5% yield), luxury component AED 4M (Palm Jumeirah: AED 3M-5M 2-3 beds, 8-10% appreciation, 5-6% yields; Dubai Hills Estate: AED 3M-5M villas/townhouses, 7-9% appreciation, 5-6% yields; Arabian Ranches: AED 2.5M-4M villas, 6-8% appreciation, 4.5-5.5% yields; Downtown Dubai: AED 2.5M-4M apartments, 5-7% appreciation, 5-6% yields), portfolio mix example (mid-market: 3 JVC AED 2.5M income AED 180K-200K, 2 Business Bay AED 2M income AED 130K-150K, 2 DSO AED 1.5M income AED 100K-110K; luxury: 1 villa Dubai Hills AED 4M income AED 200K-240K OR 2 apartments Palm Jumeirah AED 2.5M + Downtown AED 1.5M income AED 210K-240K; total 8-9 properties, annual income AED 610K-700K, 6.1-7% overall yield), 5-year returns (Year 1: AED 610K-700K income; mid-market 25-35% appreciation AED 6M to AED 7.5-8.1M; luxury 35-45% appreciation AED 4M to AED 5.4-5.8M; total portfolio AED 12.9-13.9M; cumulative rental AED 3.1-3.5M; total return 59-69% over 5 years, 12-14% annually), financing strategy (mid-market AED 6M: 40% down AED 2.4M, 60% mortgage AED 3.6M; luxury AED 4M: 40% down AED 1.6M, 60% mortgage AED 2.4M; total equity AED 4M, control AED 10M assets, 2.5x leverage, ROE 25-30% annually after mortgage payments).

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