Motivated by regional oil exporting is how Dubai made it to what it is today, the United Arab Emirates boasts one of the world’s fastest-growing economics worldwide and a lot of people are looking to invest here. The first world countries refer to Dubai as the “Dream”, the world’s new version of the spent American dream. Dubai’s free trade zone, and magnified commercial real estate market, and financial services make it the best powerhouse that is available to all. This growth was fueled by oil revenues, but now has a momentum of its own and the best thing about Dubai is that for the past 20years it has just been developing and has not looked back since then.
Everything about Dubai speaks good news! There really seems to be an all-positive country change that has enveloped the world!
Dubai’s real estate sector does not challenge developers as the land’s uniqueness speaks for itself and enables developers to make wonders of their own. The sector has all the ingredients that will keep it sustainable and growing, says Schön Properties Vice-President Asher Schön Husain. There are many real estate markets around the world that facing a financial crisis, Dubai property market stands like a brightest star in the middle of the sky for many investors, end users and developers, with demand in the market still higher than supply. The recent Cityscape Dubai 2008 saw the presence of diverse kinds of visitors and investors who wanted to buy property in Dubai, which is really amazement to many but yet it is the truth and facts can be proven from this. Nevertheless the question that seeks attention is whether the financial crisis has affected Dubai and if so how?
Amazingly through UAE/Dubai is the least affected country by the financial crisis, the country hold it integrity tight and keeps blossoming through many ways that the financial crisis has barely affected them.
The market is growing rapidly and its believed by many that we are still undervalued. We believe there is still much capital appreciation to take place in the market in Dubai, as it has never let anyone down thus far. The bases of the market are way too strong for any amendments to take place. The whole demand-supply factor keeps the market flourishing. I believe there is a lot of supply to meet demands that have been growing and growing. We believe that more than one million people will relocate to Dubai over the next five years as the reasons are obvious in that there are so much more to look forward in Dubai. Although there was the financial crisis Dubai was the country that was least affected, people are still investing and it’s wise of them to invest in this country that keeps blooming
The global financial crisis has not affected the Dubai property market at all. Borrowing, by percentage, is much less compared to the global market. The majority of investors who purchase property here use in-house financing facility, which is interest free and available from the developer itself s this gets them to save their cost. There has also not been a high level of borrowing from financial institutions as its really not all that necessary because the properties are really affordable although comparing with all the facilities available. Thus the financial crisis barely had an effect on Dubai especially with its flexible ways but yet intelligent ways of handling things.
We have not seen any impact on major financial institutions. But whether there will be any regulations or changes with regard to interest rates will only be apparent after next month.
In the event you are figuring out why a month, if you look at the property market, it goes through a cyclical period. For example, last year capital appreciation increased 90 per cent, which means property value went up by 90 per cent. I believe over the next three over month there will be a phenomenal growth.
The financial crisis thus does not really have an effect on the Dubai market!