Real Estate growth for property for sale in Dubai

If you are looking to make a quick buck in any industry aboard, Dubai is the to-go place for you. With superlative infrastructure, booming media houses, rising demand for advertizing, and real estate that sells like hot cakes, Dubai is the center of it all. The number of property for sale in Dubai saw a welcome leveling off during the last few months. With the global economic meltdown of 2008/09 now a thing of the past, Dubai has suddenly emerged as the hottest property market on the globe.

Market player in the sector have conducted analysis and after a lot of market research, have reached to the conclusion that the market will see disruptions every 7-8 years but real estate will bounce back to normal since the supply has to meet the demand. And with more and more people shifting base to this rich land, it has to ensure proper living conditions for the migrating population. According to industry experts, 2015 will be the peak time for real estate companies in Dubai as property sales will be at an all time high. Residential property values increased in the past one year but have now reached a normal level due to better government regulations in place.

The significant increase in property prices in Dubai back during the meltdown in 2008/09 was the result of highly unpredictable activities. Lack of regulations was the major contributor resulting in the fall of real estate market back then. With people just paying the minimum deposit with no intention to buy the property, these payment were later due that led to the crumpled state of the market. The damage was seen in 2009 when rents decreased by 44% and property price went down by almost 50% making this the worst time in the history of real estate for Dubai.

According to statistics, the average achieved apartment prices in Dubai increased by 6% where as rental apartments increased by 3%. Average apartment sales prices in posh areas showed no increase in price whatsoever, but it did become a two-tier market with many more established locations increasing price by per sq.feet while prices grew more and more at cheaper locations due to more demand in the market. Rental apartments in Dubai saw a massive surge in demand when property prices started slowly coming back to level. Now although the market is slow, rent inflation has slowed down due to ambitious expectations that pushed rents beyond affordability constraints.

According to Forbes list, Dubai is ranked as the 2nf hottest market to buy property, 2nd only to Hong Kong which came in first with a whopping 23.6% increase in property sales last year. The average house price in Dubai rose by 19% with increase in the number of property for sale in Dubai. If it continues to grow at this rate then Dubai will soon became the no.1 market for real states. While property prices went down by almost 60% after the 2008/09 economic meltdown, such a travesty will not occur in the future as real estate agencies have adopted a strategic approach to the planning process.

Sponsor Ads

• Ad Space Available - Rent it Now!

Report this Page

Created on Dec 31st 1969 18:00. Viewed 0 times.

Share on APSense

Comments