Explosion In Dubai
With a massive range of developers, both large and small, entering the Dubai property arena and property prices still climbing, is it any wonder that in less than 20 years, the Dubai property market has exploded from this:
to this:
Dubai has seen around 40 towers, and other property complexes developed at Dubai Marina, with a similar number of properties nearing completion at the nearby Jumeirah Lakes. Jumeirah Beach Residence project last year saw the completion of 40 towers.
Development is well underway in Dubailand with several projects currently up and running including Al Sahra Resort, Dubai Sports City and the Dubai Autodrome and there are now 4 major Palm projects (Palm Jumeirah, Palm Jebel Ali, Palm Deira, and Palm Universe). Development is also well under way at Dubai Waterfront, Arabian Ranches, The World, Burj Dubai, Jumeirah Islands, Silicon Oasis, Business Bay, Discovery Gardens, International City, with many other developments ongoing.
There are many other Dubai property developments on the horizon including the $11 billion Arabian Canal project, which at 75 kilometres will be one of the world’s longest man-made waterways. The Arabian Canal project will flow from Dubai Waterfront to Palm Jumeirah, passing east of the planned Al Maktoum International Airport and will be home to an estimated 1.5 million residents.
June 3rd, 2008 - Posted in Forecasts, Uncategorized, dubai property | | 0 Comments
Dubai Property Growth Driven by Foreign Investment
The property market in Dubai is largely being driven by foreign investment, with 60-70% of freehold properties currently being purchased by foreign property investors and individuals, according to a recent study.
Despite rising costs and shortage of contractors, the property sector in Duabi is still one of the most important investment areas in the UAE. Investing in property for sale in Dubai is seen as safe and financially rewarding and currently better than investing in bonds or stocks, with the return on the investment reaching as high as 40 per cent - an impressive figure.
With property developers in Dubai having around USD 100 billion worth of new development projects in hand, foreign investment by both developers and buyers remains vital for the continued growth of the property sector in Dubai.
Investors from Europe, Asia and China as well as emerging markets such as South Korea and Brazil are now increasingly showing interest in the lucrative property market of Dubai.
May 28th, 2008 - Posted in Forecasts, dubai property | | 0 Comments
Property Prices in Dubai Soar - And Set to Soar Higher
With the loosening of monetary policy in the US as a response to the collapse of house prices, and the price of oil topping $128 a barrel, Dubai property prices are beginning to soar.
A reported price gain of between 10 and 15% in the past 60 days (a figure which could soon double) sends a very positive message to the worldwide property investment community. This is probably the highest rate of change in Dubai property prices since the Dubai freehold property revolution began in 2002.
The collapse of house prices in the US, the recent sub-prime mortgage crisis and the Federal Reserves lowering of interest rates has had the side-effect of pushing up commodity price inflation, most particularly in the oil market. For an oil-exporting emirate like the Dubai this means huge additional liquidity flooding the banking sector with money supply rising to 37%.
The UAE has its currency pegged to the US dollar. This means that the nation has to track US interest rates downwards, causing interest rates to fall at a time of rising inflation, basically meaning the economy is effectively paying you, the property investor, to borrow money. Is it any surprise then that Dubai property has seen a huge dislocation of funds, further increasing property prices?
With Goldman Sachs predicting oil prices pushing upwards to $150-$200 within the next 18 months, we at Sandcastles would suggest that investors looking at properties for sale in Dubai could see a good return on investment due high property prices being obtainable and more than likely sustainable at least within that timeframe.
With the Dubai property market still forecast to grow then what more reason do investors need to invest in Dubai property
May 22nd, 2008 - Posted in Forecasts, dubai property | | 0 Comments
Dubai property market still forecast to grow
The Dubai property market still has significant growth according to a recent article by Gulf Weekly. The report goes onto to say it expects growth to continue for years if not decades.
Described as a ‘city for the future’, due to the thriving business community, particularly with expats from Britain and Europe - the thriving tourism industry is seen as a major catalyst to the ongoing success of Dubai and its property market.
A quote from the Gulf Weekly article went on to say - “One of the incredible things about Dubai is that the growth to date has been based on promises alone.
“Now we are starting to actually see delivery.”
May 19th, 2008 - Posted in Dubai Property News, Forecasts | | 0 Comments
Why its good to buy property in Dubai
With much of the UK and Europe in the grip of a financial slowdown, many developers are having to work a lot harder to find not only a good property, but also a good sector in which to invest. Whilst other locations may have slowed down, it appears investing in a property in Dubai may still be good for your bank balance, particularly if you are looking at your purchase as more of a long term investment and with the rental market in Dubai in mind.
Last week, the Deutsche Bank announced it was relocating more staff to its offices in Dubai, a move expected to be mimiced by other competitors, as many financial organisations look to exploit the boom in the oil industry. Many of these financial professionals are used to paying a premium for property, particularly given that most of these expatriates are often moving from other high cost financial centres such as London and Barcelona.
In keeping with recent trends, the rental market in Dubai is still fairly buoyant at present. This presents the opportunity of a reasonable rental yield particularly in the short to medium term.
As usual though it pays to be careful with your property purchase taking into mind, location and your target market.
May 12th, 2008 - Posted in Forecasts, Uncategorized, dubai property | | 0 Comments
