Predict the prices in 2010

[savais]

Hi,

I know this is one of those "who knows" answers, but what is everybody's guesses to what the price per sq ft will be in the following locations in 2010?

(1) Dubai Sports City
(2) Jumeirah Village
(3) City of Arabia

And what would the prices of current locations be by then?

(1) Greens
(2) Dubai Marina
(3) Old Town

Cheers,
Savio

 

[Wannaberich]

Hi,

I know this is one of those "who knows" answers, but what is everybody's guesses to what the price per sq ft will be in the following locations in 2010?

(1) Dubai Sports City
(2) Jumeirah Village
(3) City of Arabia

And what would the prices of current locations be by then?

(1) Greens
(2) Dubai Marina
(3) Old Town

Cheers,

Savio

All of the above,500aed sq ft.DSO on the other hand 3000!

 

[mpat]

My guesses :
1. DSC 1200 PSF
2. JVS 1100 PSF
3. COA 1200 PSF

Greens , Marina and old town should be around 2000 PSF.

DSO , if its leasehold only around 1000 PSF.

Best Regards

 

[Sixgun]

mpat,
Thats a bit of a depressing answer,
I'm buying into Sports city now at around 1200, and it's just a hole in the ground.
When the tower is actually there for all to see, and liveable, with stadiums and malls around it, dont you think there should be some capital growth??

i hope you answer soon as I'm about to pay a 30% wedge

 

[sval]

My predictions:
JVS - 1500/SQ FT
DSC - 1800/SQFT
COA - 1800/SQ FT
DSO - 1500/SQ FT

 

[Wannaberich]

My guesses :
1. DSC 1200 PSF
2. JVS 1100 PSF
3. COA 1200 PSF

Greens , Marina and old town should be around 2000 PSF.

DSO , if its leasehold only around 1000 PSF.

Best Regards

dso is already 1000 for many buildings

 

[Wannaberich]

(1) Dubai Sports City = 1700
(2) Jumeirah Village = 1700
(3) City of Arabia = 1700


(1) Greens = 2000
(2) Dubai Marina = 2500
(3) Old Town = 2500

 

[Wannaberich]

mpat,
Thats a bit of a depressing answer,
I'm buying into Sports city now at around 1200, and it's just a hole in the ground.
When the tower is actually there for all to see, and liveable, with stadiums and malls around it, dont you think there should be some capital growth??

i hope you answer soon as I'm about to pay a 30% wedge

U will make money from SC so I wouldnt worry.Once all the stadiums are up
and sporting events going on your'll make your money.

 

[mpat]

mpat,
Thats a bit of a depressing answer,
I'm buying into Sports city now at around 1200, and it's just a hole in the ground.
When the tower is actually there for all to see, and liveable, with stadiums and malls around it, dont you think there should be some capital growth??

i hope you answer soon as I'm about to pay a 30% wedge

Hi sixgun
I m sorry to make u worried, but I generally try to be on the lower side so that even if it happens so , we are prepared for it and dont feel a shock. Otherwise if we predict the price to go upto 2000 PSF ( which looks very possible also in the present condition ) and what if by 2010 , supply meets demand and prices start to stabilise or downward.ITS ALWAYS GOOD TO FEAR THE WORST SO THAT IT BECOMES EASY TO DIGEST LESSER RETURNS that is my principle.
I dont think that you need to worry about the prices in 2010.Presentf inflation and other situation tells that prices will go up and up.
Best luck

 

[mpat]

dso is already 1000 for many buildings

Do buy

I m expecting that prices will slightly go down by 2010 since supply demand ratio will be met by then.

What you think ? ? ?

 

[Sixgun]

Actually, realistically,
I would imagine the prices may become their lowest, relatively, just before completion.
isn't this where a high percentage of investors will try to sell, rather than meet the final payment.
Also many people who intended to hold on may have found their circumstances changed and try selling. (Distress sales as I have heard it called here.
So for a short period, wont it be a buyers market?
I aim to hold on for at least a year or two, get a more realistic view of its worth.
Does any of above seem reasonable?

 

[Sixgun]

Also,
How will it all be affected by developers actually setting the prices.
As a personal example, I almost bought in the IMPZ zone, (lago vista)and the two-room apt was 2,075,000 dhm.
In the space of 3 short months, Damac have hiked that buy-in price twice, and someone wanting same place today would have to pay over 2,700,000.
Thats about US $200,000 more !!!
The units and one-rooms went up almost the same, making the % increase even more dramatic.

So (a) is it realistic, and (b) is it good for neighbouring areas like DSC.?

Surely the disparity of similar size flats in same area couldn't continue forever could it?
I realise Damac have a solid reputation, but still...canit be so different??

 

[savais]

Hi,

I know this is one of those "who knows" answers, but what is everybody's guesses to what the price per sq ft will be in the following locations in 2010?

(1) Dubai Sports City
(2) Jumeirah Village
(3) City of Arabia

And what would the prices of current locations be by then?

(1) Greens
(2) Dubai Marina
(3) Old Town

Cheers,
Savio

I might as well put in my own predictions:
DSC=1400
JV=1250
COA=1400

G=1400
DM=1800
OT=1600

Keep in mind, I tend to be pessimistic for the same reasons as mpat mentioned. For the optimists, they can point to the fact that the cost of building has gone up and shows no signs of slowing down. New buildings are going to be more expensive than ever. Yes, when supply meets demand and surpasses it, the prices will stabilize and even decrease a little, but the cost to build new buildings will still be high, so I can't see it decreasing by too much.

If prices go up another 15-30% and then tail off, I won't be too disappointed.

 

[savais]

Actually, realistically,
I would imagine the prices may become their lowest, relatively, just before completion.
isn't this where a high percentage of investors will try to sell, rather than meet the final payment.
Also many people who intended to hold on may have found their circumstances changed and try selling. (Distress sales as I have heard it called here.
So for a short period, wont it be a buyers market?
I aim to hold on for at least a year or two, get a more realistic view of its worth.
Does any of above seem reasonable?

Agreed that once all the properties come online, investors will try to sell off, and it could end up being a buyers market. Yet, it will not be lower than the prices currently, because there is still a couple of years before supply crosses demand, so prices will go up by another 30-40% before coming down by 10-15% in a few years' time.

Anybody know the current price per sq ft at different locations?

 

[Wannaberich]

Do buy

I m expecting that prices will slightly go down by 2010 since supply demand ratio will be met by then.

What you think ? ? ?

I'm no expert but most predictions are that they will start to level off and possibly start to go down around 2010/2011.If u consider the amount of properties that will be ready by then I think thats right.
However,it all boils down to how many people move to dubai.If more come than is predicted than the slowdown could be delayed.Also labour and material shortages will slowdown completions which in turn will slow down oversupply.

 

[petrometro]

Do buy

I m expecting that prices will slightly go down by 2010 since supply demand ratio will be met by then.

What you think ? ? ?

You should subscribe to Emaar, Gulfnews and arabian business feeds. Burj Park V just sold out at between 3600 and 4800 AED. Old Town is now over 3000 and rising especially if you have a garden flat. Sports City locations now selling at 1800 in the serviced apartments. Burj Dubai sells today at 12000.
No sign of demand abating and supply of completions is down on targets needed this year.
This will run and run.

 

[savais]

I might as well put in my own predictions:
DSC=1400
JV=1250
COA=1400

G=1400
DM=1800
OT=1600

If prices go up another 15-30% and then tail off, I won't be too disappointed.

Just thought I would put in some current prices (just taken sample properties):
DSC (Oasis Tower 2)=1150
JV(Serena Residence and Maimoon Towers)=1000-1250
DM(Harbour Residences)=2000

 

[Wannaberich]

Prices from one building to the next in the same area seem to vary wildy so makes it more difficut to predict.In DSO Deeyar have just launched at around 1300sq ft yet others have recently launched at around 800/900.

 

[petrometro]

Just thought I would put in some current prices (just taken sample properties):
DSC (Oasis Tower 2)=1150
JV(Serena Residence and Maimoon Towers)=1000-1250
DM(Harbour Residences)=2000

If you can find me someone who is prepared to sell OT at 1600/sqft I'll fly out tomorrow to do the deal!
One has to remember that the new Downtown is to be around the Burj and DIFC. Marina, Waterfront, Al Farjan and Sports City are still a long way away and won't come into their own until worldport is completed. Would your tenant want to live under the flight path of up to six active runways by the marina?

 

[Sixgun]

If you can find me someone who is prepared to sell OT at 1600/sqft I'll fly out tomorrow to do the deal!
One has to remember that the new Downtown is to be around the Burj and DIFC. Marina, Waterfront, Al Farjan and Sports City are still a long way away and won't come into their own until worldport is completed. Would your tenant want to live under the flight path of up to six active runways by the marina?

The flight path being where exactly?, its only a small area in general, but which specific areas are you referring to regarding disturbance?
IMPZ and DSC look indirect fire,