Real estate sector in Dubai is truly international
While there has been speculation and counter speculation regarding the current health of the Dubai property market, there is no doubt that the sector is truly international as a recent report confirmed. At this moment in time there are 2238 real estate brokers operating in Dubai with 676 either from India or Pakistan, 177 from the UK, 134 from Egypt with other countries such as the Philippines, Iran and Russia represented. There are very few international real estate markets which can demand such worldwide coverage but why is the Dubai real estate market of such interest to international real estate agents?
Many people who look at the Dubai real estate market will have in mind the situation prior to 2008 which was effectively a free for all. There was little in the way of regulation, the banks and property developers ruled the roost and the relatively inexperienced local authorities made many mistakes. However, the situation is very different today which is perfectly reflected in the number of international participants.
New legislation
One factor which has emerged over the last few years is legislation and laws which effectively protect real estate brokers in Dubai because they are a vital element of the market. The local authorities very quickly realised that without the assistance of real estate agents it is very difficult to move markets, very difficult to influence demand and prices which are some of the more basic levers available to government officials around the world.
Quote from PropertyForum.com : “I served notice to my tenant to move out but he refuses to. He has not paid rent after end of contract and continues to remain in my property. Please advise what I can do to evict him and regain my property?”
Unless you take a very in-depth look at the Dubai property market you may not be aware that there have been many changes. The authorities have got more control over funding, there is more protection for investors and indeed the authorities are still trawling through an array of disastrous property developments from 2008 onwards with the intention of compensating those who were perhaps let down by the system. The reality is that the new legislation and the new support for the real estate sector in Dubai has led to an increase in both local and international investment which has pushed prices to potentially uncomfortable levels.
More changes to follow
One interesting fact which the Dubai real estate agents report highlighted was the fact that men outnumber women by a scale of 5 to 1. There are those who will suggest culture may have something to do with this large weighting towards male real estate agents but whatever your opinions on the local culture it is more accommodating of Western ideals than many would have you believe. That is not to say everything is perfect and women are encouraged as much as they could be, but it is certainly moving in the right direction.
If we take a step back and look at the overall Dubai real estate market the array of recent changes to local legislation have injected more confidence into the sector and attracted a growing number of international investors. While some investors may still be troubled by issues back in 2008, when the Dubai property market collapsed, in many ways international investors have very short memories when markets turn. They are often quick to write off historic issues to “experience” and surprisingly able to look to the future without undue influence from the past.