UAE Tenants have the reason to cheer but not for the Owners

[Harish]

As per the recent report released by Asteco, the villa & apartment rents have been decreased by 2% and 3% in the Second Quarter with annual declines of 10% and 12% respectively. Though the government has implemented some rules like 100% foreign ownership of companies outside free zones, 10-year visa for investors & specialists etc.. still the effect isn't seen yet. It would be interesting how investors react to the current scenario

 

[realdeals]

I thought I read about rents softening in another report as well but someone else on the forum was suggesting that property values were rising and demand was increasing - didnt make sense to me.

 

[Harish]

I thought I read about rents softening in another report as well but someone else on the forum was suggesting that property values were rising and demand was increasing - didnt make sense to me.

Well, everyone has their own opinion. But, just a couple of days back I have found this article. I guess, this makes sense

https://www.thenational.ae/business/property/where-dubai-and-abu-dhabi-rents-have-risen-and-fallen-q2-2018-1.759703

 

[PostBrexitInvestor]

So are house/flat prices rising in value, leading to lower rental yields, or are rental yields simply under pressure? I am a little confused.

 

[FWL]

So is the UAE property market moving up or down? I am confused

 

[Harish]

So is the UAE property market moving up or down? I am confused

Looking at the current scenario it seems moving down. But you can't judge by taking only the current scenario because every market faces this situation at one point in time. I feel, UAE is facing it now. The situation can be reversed at any time. Who knows?