What are your thoughts about the Dubai real estate market in the short, medium and long-term?

Discussion in 'Dubai property' started by totallyproperty, Mar 29, 2014.

  1. totallyproperty

    totallyproperty Administrator Staff Member

    The Dubai real estate market has been on something of a rollercoaster since the turn of the century. How you see the market performing in the short, medium and long-term and what will be the major influences?
  2. Angela Davis

    Angela Davis Banned

    In the credentials of an eventful season of impressive industry efficiency and the Expo 2020 win, Dubai is coming into the new season with amazing useful feeling. The perspective for 2014 is very useful as residence costs are required to sustain their way up style, with more generates organized for the next 12 a few a few several weeks or so. Dubai's residence industry has been seeing a impressive development rate, which professionals believe will be effective even in 2014, and will proceed until 2020 at the least. Dubai obtained a further enhance due to the World Expo 2020 bid win - a meeting that will extensive variety 20 thousand visitors yearly and make 277,000 tasks.
  3. stephenshilstone

    stephenshilstone New Member

    I think rentals will continue to climb this year but not with the same yoy increase as the first half, and then top out near the end of the year. Sales will continue to slowly grow, all areas are showing slow growth, this should continue.
    Long term everything centers around the expo win, a lot more accommodation, a lot more Hotels, Retail units in the new malls, but after Expo, who knows???
  4. Khairallah

    Khairallah New Member

    Markets are heading towards correction, before expo we feel markets will drop sharply and recover with sustainable growth.
  5. Prosper H.

    Prosper H. New Member

    the market is taking a new dimention
  6. Khairallah

    Khairallah New Member

    UAE Real Estate legal mechanism is becoming mature, that will gain investor confidence. In couple of years from now, there will be investor friendly laws. Any Real Estate Market to attain sustainability requires strong investor protection under the legal system.
  7. Land Sterling

    Land Sterling New Member

    Dubai Real Estate is getting better you just need to be supported by a good Real Estate who can give you the best advice and prices.
  8. JadenS91

    JadenS91 New Member

    I think short term won't change too much. In the medium-term I think that the price of property will grow as the country deals with their oil shortage and in the long-term it will start to balance out when Dubai begins to become more stable economically once all the oil is gone
  9. azanali

    azanali New Member

    The government's decision to diversify from an oil-based economy, and to make Dubai the main hub of tourists in the world, has made and other developmental projects such as Dubailand, more
  10. aainakhan

    aainakhan New Member

    Market analysis over Dubai property

    With reference to towards contributing to better standardize nations then charging rental arcade, the Real Estate Regulatory Agency (RERA) was instigated a couple of years ago to issue a three-monthly rental directory that registers the top and bottom of the average market value of a rental property based on size and location. The directory was up to date to regulate the huge rental intensifications that had been taking place in the previous years, and put a cap on them. Hence, things are coming up in your goodwill in the course of your track on Dubai properties for rent.

    Thank you
    Last edited by a moderator: Nov 17, 2014
  11. garima0312

    garima0312 New Member

    Dubai real estate market is seeing good phase, now if you talk about short, medium and long-term investment in Dubai, surely all have great return on investment. In Dubai, owners get a net rental revenue of about 5- 8% of the value of their property, additionally they can also enjoy high yield in terms of capital appreciation on the resale price. Beside, here investors are free of all the capital gain taxes, and the government permits complete ownership on freehold properties.
    Last edited by a moderator: Dec 1, 2014
  12. azanali

    azanali New Member

    However, talking to experts at Dubai’s biggest property show, Cityscape Global, it appears that signs of overheating have now started waning.
  13. dzdxb

    dzdxb New Member

    Dubai property prices are currently flat and I predict a drop in the coming months with the new mortgage cap (25% deposit minimum, and if the property's worth more than AED5 millions then you will need 35% deposit).
  14. georgihh

    georgihh New Member

    In a short to medium term I expect the prices to drop by 20%.
    The expensive $ and the cheap petrol will drag the market down.
    I hope it is not going to be another disaster as was 4 years ago.
  15. naktipanchal

    naktipanchal New Member

    For some investors is medium and for some its long term investment. If you are looking to invest in dubai property and thinking to short term return its will only possible to new properties. For long term investment is like renting a property which give you long term return.
  16. shivanand

    shivanand New Member


    Hi all,
    currently dubai real estate market is falling down due to high prices of properties.

    According to current scenario of dubai market if you go for long term investment in real estate then it would good ROI after 2020.

    Thank you.
  17. rooftopdubai

    rooftopdubai Banned

    Property or real esstate is on a real high in Dubai. Dubai is one of the business and entertainment hub of world. Thus in coming years too, this market is likely to go up.
  18. Amr Yussif

    Amr Yussif New Member

    It All Depends,

    When speaking of short term I assume it means min. of 5 years. As in nowadays Dubai market, there's no big room for flipping anymore. Most of developers restrict flipping and 4% transfer fees makes everyone think twice before buying a (second hand -off plan property).
    So I would break it down like this:
    - As a short term : Rental yields will remain around 4-5% in most popular areas, 6-8% in eccentric areas like IMPZ or Dubai land. While sale prices will remain in the positive sides, in Dubai market, location matters to most End Users and this will keep the mature communities going while investors will start migrating to city border for higher yields.
    - Med term: All over Dubai, all mature communities like DT, Emirates Living will start noticing of price drops as new supply floods the market late 2015 and 2016. End users will find more modern units for cheaper prices. Rentals in the mature communities will remain on growth, supported by corporate tenants( specially for small units ) while border areas will definitely rise supported by migration from expensive areas by non corporate tenants.
    - Long Term ( 10 years): Market will face a correction movement again in Dubai based on qualifications of developers and demand of affordable accommodations. Considering Expo 2020 jobs supply, it will push a lot of demand in the market more towards affordable accommodation which will be around borders( Sport City, IMPZ, DIP, JVC).

    Basically investment in Dubai now is kind of limited to off plan properties with fair payment plans. Investors tend more toward this direction as a guaranteed form of investment in selected projected either by location or quality.

    hope this helps!
  19. DubaiBlue

    DubaiBlue New Member

    Agree with Amr. All good points. I think we are unlikely to see rapid capital appreciation as witnessed between 2007 - 2008 and 2012 - 2013.
  20. Saad Arif

    Saad Arif New Member

    With market going through a correction process right now followed by a huge increase in prices not more than one a half year ago below is what i think about Dubai's Real Estate market.

    Short Term: There isn't much excitement or hype and the market will keep moving at this steady pace while corrections are happening. Prices are coming down, sellers are available in the market but buyers are awaiting right moment. Things will remain like this for at least 8-12 more months.

    Medium Term: Starting from mid of 2016 until 2020, i see a huge demand of occupancy arriving in the market and developers need to be ready to make sure they can supply as per demand. That will be a good time for investors to make money as more sellers will be easily available in the market.

    Long Term: well it depends on the policies of Dubai Government that what they have planned in the pipeline. How market will shape up and behave after Expo 2020 is what I'm waiting to see.
  21. empireprestige

    empireprestige New Member

    Dubai is the hottest property market and we don't ignore it
    There are few Reasons which makes Dubai a popular investment destination are
    1. Most stable economy in the gulf
    2. Wealthy population, no terrorism history, and no sectarian tensions.
    3. Strong relations with the US.
    4. TAX Free Income.
    5. Visa eligibility process also linked with property investments.
    6. High Rental value
    7. Robust growth
    8. Well regulated market.
    9. Modern infrastructure, cosmopolitan environment.
    10. Lesser property transaction cost
    11. Strong Investor sentiments
  22. Manoj_Vyas

    Manoj_Vyas New Member


    Hi All, I am completely agreed with Amr. I think Dubai is better option for long term investment as per current scenario and one more thing is that we can get high ROI if invest in commercial property like office, retail spaces, etc...

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