Real Estate - What’s in store for 2012

[kabirmulchandani]

The UAE real estate industry has been on a roller coaster ride for the last 5 years or so. Amazing boom-times followed by a massive crash in 2008. Since the crash, there remains uncertainty on the future of the real estate industry in the Emirates and the deliberation continues on how best to steer the economy along the path of recovery.

A few things seem to be on the cards next year that may help uplift the real estate market in the country. As written in the Gulf News, the real estate community in Abu Dhabi is expecting the most significant piece of real estate legislation to be issued since it introduced its first real estate laws in 2005. The much anticipated real estate law is expected to introduce measures to support the real estate development market, particularly in the investment zones such as Saadiyat Island, Reem Island and Al Raha Beach.

In Dubai, a new visa rule that will allow foreign investors who own properties worth more than Dh 1 million to be entitled to three-year multiple-entry visit visa is something that may really woo real estate investors as their entry-and-exit to and from the city becomes more flexible. In terms of protection of rights of all parties in any real estate transaction with a broker, all these are great steps towards encouraging people to invest in real estate in this market.

All in all, the real estate market in the UAE appears to have bottomed out. However, significant progress has been made in restructuring and in governance within the industry, steps that are encouraging for the industry’s recovery. They say that a key catalyst of the projected solid growth in 2012 is the expected turnaround in the real estate market. Let’s keep our fingers crossed!

Happy New Year.

Kabir Mulchandani

 

[James Greg]

Agreed! The new visa policy would attract people to buy property just to avail the relaxation. The roller coaster ride seems to coming to an end and the market seems to find a level. Bad times are over and so are the after shocks. The new year looks promising for the real estate sector and trust seems to be rebuilding.

 

[Brendan R]

oversupply is still in the cards.

US/Iran tensions with the strait of Ormuz a big big issue.

RERA a big joke.

The market will not bounce in 2012.

 

[Number49]

Prospects for Dubai's Real Estate

In addition to the many positive trends we are witnessing there has been a rulng below which should boost investor confidence:


Court of Cassation (Final Instance) awarded an investor a court order an to SEIZE EMAAR's HQ.....upon which EMAAR IMMEDIATELY REFUNDED THE INVESTOR.

http://www.arabianbusiness.com/buyer...html?message=3

There is still the problem of over supply and it is a mistake to try and predict Dubai's real estate market as a whole. Inevitably, certain developments will do better than others and no doubt 2012 will see some developments actually increase in value whilst others will continue to lose out.
As they say in the property market it's "Location, Location, Location"! Which is why Palm Jumeriah will continue to thrive whist Dubailand and Sports City will continue to struggle.

 

[James Greg]

I am impressed by the discussion on this topic. Theses are the predictions that 2012 will be a good year for Dubai property sector. There is a good improvement in Dubai rental apartments projects. People are taking interest at this side that can be helpful for economic growth. Dubai Marina and Discovery Gardens are also doing well in this regard to target more customers for their apartments.