Predict the prices in 2010

[Dubai0Guy]

things to think about when buying property in Dubai.

Banks in the US are struggling, people loosing jobs

183,000 americans moved into UAE banking proffesions and investment companies. As the world crisis stuffs up the rest of the world those people move to dubai and all need places to live. So the demand inflates everytime something bad happens anywhere else in the world. Where else can you have tax free earnings.

You wont see 70% growth anymore. You will guaranteed, no questions about it get a deffinate 15% growth per annum and 15% of the value of your property in rental returns. thats 30% per annum. where else in the world will you get a safe, secure, protected, government regulated, lawful investment. Nowhere. Dubai is the last growing city. All the rest are suffering. The way the finiancial system is done. The projects going on and the new airport to accomodate the millions of passengers coming into dubai EVERY DAY. when is demand ever going to fall below supply levels. Yes your going to see some slowdowns. ure going to see some ups and downs but at the end of the day your money is safe and is growing more than in a bank. invest your money in all these places in confidence. all these people pridicting crashes have been yabbering like this for the past 5 years and we see 70% every year.

 

[Wannaberich]

Regars oversupply.Read on another forum,RERA are telling agents on training courses that
the boom will last another 7 years.Much of this down to the fact there is an agreement with the Chinese goverment to send over 1 million people to Dubai.200,000 don't count as they are labourers,however 400.000 are middle income workers,the other 400.000 am not sure.
Someone estimated 51.000 units per year just to house these people.

 

[Dubai0Guy]

That was quite a good peice of information Dobuy, Is there any resources that will back that up before i use it in my sales platter?

 

[Wannaberich]

"China Security & Surveillance Technology (CSST) will list on the Dubai International Financial Exchange (DIFX) on 13 October, in a move considered to be the first in wave of dual-listings in the region by firms from the Far East"

No other info Dubai0Guy apart from this.

 

[Dubai0Guy]

Brilliant. thanks Dobuy

 

[Roshan]

things to think about when buying property in Dubai.

Banks in the US are struggling, people loosing jobs

183,000 americans moved into UAE banking proffesions and investment companies. As the world crisis stuffs up the rest of the world those people move to dubai and all need places to live. So the demand inflates everytime something bad happens anywhere else in the world. Where else can you have tax free earnings.

You wont see 70% growth anymore. You will guaranteed, no questions about it get a deffinate 15% growth per annum and 15% of the value of your property in rental returns. thats 30% per annum. where else in the world will you get a safe, secure, protected, government regulated, lawful investment. Nowhere. Dubai is the last growing city. All the rest are suffering. The way the finiancial system is done. The projects going on and the new airport to accomodate the millions of passengers coming into dubai EVERY DAY. when is demand ever going to fall below supply levels. Yes your going to see some slowdowns. ure going to see some ups and downs but at the end of the day your money is safe and is growing more than in a bank. invest your money in all these places in confidence. all these people pridicting crashes have been yabbering like this for the past 5 years and we see 70% every year.

Prices will not go up forever. Corrections are predicted and expected. The 70% increase in past years can be attributed to speculators.

Till now nobody would ever know the exact cost of property in Dubai. The prices just increase when property changes hands...and that does not tell you the exact price of the property.

In time to come you will see a lot of distress sales. Keep your money ready....as the pundits say....buy when everyone is selling.

Regards

Roshan

 

[petrometro]

prices in 2010

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

old town is currently 3250 in reehan, slightly less in zafaraan and yansoom. I own a ground floor flat in reehan and would have no problems selling at 2.75m AED

 

[HaiderAli]

Prices will not go up forever. Corrections are predicted and expected. The 70% increase in past years can be attributed to speculators.

Till now nobody would ever know the exact cost of property in Dubai. The prices just increase when property changes hands...and that does not tell you the exact price of the property.

In time to come you will see a lot of distress sales. Keep your money ready....as the pundits say....buy when everyone is selling.

Regards

Roshan

Hello,

Thank you for your feedback but why one will buy if the property prices will not be going up forever...???

Anyways, in your opinion what is the average current rates per sqft. in areas like DSC, JLT and Marina? I know, no one knows for sure but whats your guess??

 

[Roshan]

Hello,

Thank you for your feedback but why one will buy if the property prices will not be going up forever...???

Anyways, in your opinion what is the average current rates per sqft. in areas like DSC, JLT and Marina? I know, no one knows for sure but whats your guess??

A speculator would like to see prices going up forever. Bricks & mortar ( real estate for us ) is considered the safest investment when held for long term.

Property markets are cyclical and whatever goes up has to come down. Similarly whatever is down has to come up.

I am in no position to give prices. Would not like to mislead.

Regards

Roshan

 

[HaiderAli]

A speculator would like to see prices going up forever. Bricks & mortar ( real estate for us ) is considered the safest investment when held for long term.

Property markets are cyclical and whatever goes up has to come down. Similarly whatever is down has to come up.

I am in no position to give prices. Would not like to mislead.

Regards

Roshan

Thanks for your reply..

 

[dxbgeorge0511]

My answers to the quiz

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 - 850
(2) Jumeirah Village - 785
(3) City of Arabia - NA ( will it be up???)

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

(1) Greens - 450
(2) Dubai Marina - 800
(3) Old Town - 1100

DXB George

 

[Serene]

I don't think that the overall picture in Dubai is all that great, I read that UAE Bank Shuaa Capital are forcasting that prices will fall 60% in 2009. Also Colliers International blames the rapid turnaround on speculative investors. Having bought property from developers, hoping quickly to sell it on for a profit, they are now unable to sell it as the credit isn't available for others to buy.

 

[PropGuy]

I don't think that the overall picture in Dubai is all that great, I read that UAE Bank Shuaa Capital are forcasting that prices will fall 60% in 2009. Also Colliers International blames the rapid turnaround on speculative investors. Having bought property from developers, hoping quickly to sell it on for a profit, they are now unable to sell it as the credit isn't available for others to buy.

tbh, developers were speculators too, imagine price psf in some of the projects went as high as 7,000 psf directly from the developer.

 

[georgihh]

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 - 850
(2) Jumeirah Village - 785
(3) City of Arabia - NA ( will it be up???)

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

(1) Greens - 450
(2) Dubai Marina - 800
(3) Old Town - 1100

DXB George

Why Greens is half than DM?

 

[financier888]

defining market

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 agree with your mpat but - 'who is going to buy all these units?' - It will take several years for the entire global economy to bounce back, although I recognize that inflation will kick-in - but there is sitll a lot of inventory with no buyers and few renters.. With massive job losses and Dubai still being expensive to live and operate a business - it's not going to attract a flood of investments. It was largely speculators that fueled the market for the past three years and they are gone....so who's left? You have an eight month year - taking into account the blistering summer months and Ramadan - and then there's still the visa issue if you are a buyer - six months won't attract families to move here or retiree's.

The Dubai govt has to seriously rethink the visa issue if they plan on attracting long term investors and end users. Now, even with mortgage money available - people are not running out and buying because they are not sure if they will have a job six months from now and if they lose their job - good bye! out you go.

Between inflation which is enivitable, which will increase the cost of consumables, more saliks on the way ! and in instances where the school tuition jumped 90% - who is going to move here? - it doesn't make a difference being tax free if most middle income families cannot afford to live here? Maybe several years from now (possbily 2-3) the tourism will pick-up but that will be seasonal. (you wont be going to theme parks in July and August!! (in fear that your kids may keel over from sun stroke....) They need to carefully re-engineer their plan in light of a new global paradigm..

We can all optimistically predict prices as posted but at the end of the day - 'who will these buyers be?' "where are these long term users coming from?' - with this current visa issue - don't hold your breath... Trillions have evaporated out of the world economy - an order of magnitude that is a 1st in global history. There's no quick fix for this. Dubai was a development born out of 'excess' and now we are in a global contraction. Expect more corrections in the prices... and in the months to come - more foreclosures as many unit owners will realize that with the mortgage being higher than the equity - and possibly years before it comes back - they'll have to walk away - How many buyers do you think will really be in a position to hold? In the USA or the UK it's different - you have a local market - a large population working and living there. Even if you lose your job - you can remain in your home till you find another source of income or sit back on your savings - you can't do that in Dubai...

Last but not least - with more developers defualting and investors losing their money with little in the way or real protection and a solid rule of law to protect them - Dubai will be receiving more bad press internationally - Wait a few more months and you will see what I mean. THere are plenty of developers out there right now that have violated and willfully ignored the escrow laws and spent the money and yet - they are still beyond the reach of the law ??? The Dubai govt seems to lack the Will to truly enforce the laws they established to protect investors and be more transparant. At the end of the day, it's seeming as if it was more of a PR ploy than actual protection under a rule of law... Investors and end users will be thinking twice after all this news finds its way onto the net and foreign media - The damage has been done and the errant developers are skating and eventually will skate to the airport with a one way ticket and leave a condolance card in the window of their S Class Merc at the airport... (which is probably owned by the bank anyway....)


Time will tell.

PS - I agree with Savais prices !

 

[manojdodeja]

Unless people stop panic ...and Dubai Govt takes over to fund key developers we can anticipate another 10 to 20% fall bring all 2008 prices to less than half.....