Dubai & Abu Dhabi Look Ahead to Booming Real Estate
Dubai & Abu Dhabi Look Ahead to Booming Real Estate
The property market in the United Arab Emirates, among the hottest on the planet, is set to continue until 2015 and beyond, according to new reports. Real estate and construction markets in the UAE are mostly concentrated on Dubai, which is booming for several years, and the more modern marketplace of Abu Dhabi.
Two recent studies by HSBC and Damac Capital International of Dubai equally imply that supply won't catch up to need for some years, keeping the markets compelling. Traditionally the most well-known places with second-home buyers and British investors are Spain and France, but Dubai is starting to rival them. Dubai investment property is appealing because of the tax-free standing, outstanding facilities, and low crime rate.off-plan property dubai
Global investors purchasing property in Dubai need to concentrate on their search for properties in Dubai to the many Freehold Spots in Dubai. Recently Dubai developers have had to comply with a brand new piece of legislation Law No 8. This makes escrow accounts mandatory for all Dubai off-plan improvements, with cash released only on the purchase price of the Dubai Land Department. This move marks an end to the days when any programmer could establish a project and collect deposits without a warranty that the funds would be utilized properly.
Many pundits feel that this could slow the Dubai market, but Boost confidence with investors Middle East online news site Gulfnews.com reports that Dubai will continue to be an active real estate market, while Abu Dhabi is set to take off. Rental yields in Abu Dhabi are expected to be more than 7% until at least 2013 and perhaps beyond.
According to Damac Capital's analysts Hany Seif and Pamela Chikhani, Dubai will remain a major Gulf property marketplace for many years to come. By some estimates, over the next decade, both international and local property investors will pump almost $300 billion into Dubai's property improvements. By HSBC's real estate analysts,
Walid Khalfallah and Majid Azza, Abu Dhabi is becoming a major regional housing marketplace. "The Abu Dhabi narrative is gaining credibility. Following a slow start to the year, revenue activity has picked up in the second half of 2007. The market remains extremely tight, and with stronger-than-expected expansion in imports [22 per cent] and costs [18 percent]," they explained in a recent report.
