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Rents falling

Discussion in 'Dubai property' started by georgihh, Feb 9, 2009.

  1. georgihh

    georgihh New Member

    Why the rents are falling down with the speed of the light?
    Is it because the people are leaving the country, or they just don’t want to upgrade?
    If this process doesn’t stop I will be able to rent DM one bedroom for 50k in the next 2 months
  2. DAYFox

    DAYFox New Member

    Things have to get worse before they can get better again! Normal thing, everybody knows, nothing special! No need to come up with a new thread for that...
  3. financier888

    financier888 New Member

    rents decline

    The only way Dubai will ever attract business and people back here - is if the commercial and residential rents fall and come into line. In some areas, the rents were higher than Manhattan and as fashionable and modern as Dubai is, it's hardly comparable to a city like NYC that has over 8 million people and many more opportunites for business and work. Also the slow down in summer combined with Ramadan shortens the business cycle.. Algthough it reduces the ROI for investors, I see as a positive sign of the times
  4. badrah

    badrah New Member

    what is the current rent for studio in karma/bur dubai?
  5. naxal

    naxal New Member

    I think that rents ,if fallen ,have dropped only for hi-profile areas such as written above ,i.e. DM .
    But for low-profile ,after it has risen ,it has stayed almost the same as of now .
    Hope this also falls HEAVILY !
  6. sasherwani2

    sasherwani2 New Member

    The reasons rents havent fallen much in Bur Dubai, Deira, Sharjah etc is because of two reasons 1) People who have been laid off are trying to find a new job before they leave 2) A lot of "families" who are now unemployed will wait till their children's school year is finished (May, June) before they leave the country. I am sure many people will not waste their kid's school year and thats why they are still sticking to this place. Its funny that the rent for a one bedroom in "Ghusais" is almost the same as a one bedroom in Marina (i.e. 80k). These are weird times. It will take 3-4 months before rents reach a new scale all over the northern emirates.
  7. financier888

    financier888 New Member

    I think you are right - by the time may rolls around - ALL the rents will start dropping like a stone in the creek. I have found more and more units available now in Satwa / Bur Dubai - offering 12 checks! with more units coming on the market - the rents have to come down or remain vacany. This is only Feb - the dust hasn;t even begun to settle yet..
  8. naxal

    naxal New Member

    Sash ........ I dont agree with your above reasons .
    By saying the above ,do u mean that the people living in elite locations such as Jumeirah Islands or Green Community ,haven't been sacked WHEREAS they were the first to be laid off ........... AND they are also cautious of their kid's future .
  9. sasherwani2

    sasherwani2 New Member

    Absolutely not. What I meant was New Dubai had more newer developments coming up compared to areas like Bur Dubai, Deira etc. These new developments were the first ones to drop rents as there were many vacant flats in these areas (Note how DG, Marina were the first ones to drop rents). These flats were vacant either because the fitouts were being finalized or the owner was waiting for the property prices to rise before they sell them out. After the crash, they had no choice but to rent these out at lower rents since the ask price didnt match their bid price even remotely.
    Deira, Bur Dubai etc had very high occupancy already. Flats there are already occupied and even though you see many TOLET signs there, these areas are still densely populated. People in Dubai are getting laid off regardless of their residential locations ofcourse but the panic will hit the newer and less developed areas first because those new areas are mostly freehold properties owned by investors waiting to get a taste of ROI on their capitals.
    I dont know if I was able to make myself clear this time.

    Even Govt owned entities are laying off employees (and im not talking Nakheel or Emaar here). Check this out

    Dubai-run conglomerate cuts 10 percent of staff - International Herald Tribune
  10. Wannaberich

    Wannaberich New Member

    Property prices are dropping,rental prices are dropping.People will come as its cheaper.Econonmy will recover.More and more people will come because of the cheap prices.Availability will start to get tight,prices will therefore be pushed up again.Prices will stay high because the developers will not come to Dubai like before so not enough units will be built.Dubai will be a great city where many will want to live.
    Property owners and landlords will all be happy again.
    Its all good.
    Last edited by a moderator: Feb 11, 2009
  11. sasherwani2

    sasherwani2 New Member

    Springs Villas, S.P. AED 1.4M. Contact 050-9021206.

    If property prices are falling down to half, ofcourse the rents too shall come down drastically.
  12. badrah

    badrah New Member

    I've seen another add for aed 1m only same springs 2 bd +maid villa
  13. naxal

    naxal New Member

    Does anyone know where exactly is the West Parallel Road (or the dual carriageway) is being built in Springs ?Which sector of Springs will be facing the carriageway ?
  14. waynef

    waynef New Member


    Come on guys this is exactly the kind of mis information which fuels the fire, makes people start to doubt themsleves and does nothing and I mean nothing but make an already bad situation much worse. Maybe the fact that the price of rental for some locations in the springs is that they are now located on what will be one of the busiest roads in Dubai equaivalent to that of Emirates or Al Khail roads!! where does the current economic situation factor into this???
  15. sasherwani2

    sasherwani2 New Member

    JLT rents 30% down (Call 050-9229968 for confirmation)
    Marina rents 30% down (Call 050-4264872 for confirmation)
    Discovery Gardens rents 40% down (call 050-9456957 for confirmation)

    These developments dont have a carriageway passing through them. Rents havent fallen in all places , so far only the newer developments have been affected. The rents shall fall all over UAE by summer of '09 from 50-60% lower than Dec '08 rents.
  16. aveshbachav

    aveshbachav New Member

    what is the current rental of one bedroom in IC clusters for one cheque?
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