Real Estate Boom in Dubai
The growth of the Real Estate market in Dubai is largely protected from whatever fluctuations might occur in oil prices based on short and medium term. In fact, it is estimated that higher prices will only spur on the growth to higher speeds. The value of some of the Real Estate projects in GCC, Iran, and Iraq has already crossed $750 billion. Nearly 33% of this is concentrated in the United Arab Emirates with Dubai contributing the maximum. This figure is higher than the combined GDP in the same region, which is lower than $700 billion. According to expert estimates this trend will continue despite the fact that the oil prices are expected to fall in the short and medium term.
One key thing to note is that so far the growth of Dubai has been consistently defying all analysts. Since the past 5 years all sorts of experts have been saying that it is about time the Real Estate market in Dubai stopped being so profitable but so far the bubble has not burst. Though such growth has never been sustainable before no one is able to explain why it continues to thrive in Dubai. The GCC has the 17th largest economy in the world comprising of 500,000 high income earners and a GDP of $525 billion. The total ½ trillion dollar economy creates more than $500 billion in revenue that is used for investment. This volume is believed to boost the Real Estate and construction sector in Dubai.
With a growth rate of 25% per year the UAE GDP is expected to reach anywhere from Dh 500-900 billion by the year 2010. The UAE has already surpassed Egypt as the 2nd largest economy in the Arab countries. It is now second to Saudi Arabia which is going through its own explosive growth period. The projects in UAE total at around $225 billion with Dubai holding nearly $125 billion.
The population of Dubai is also expected to go from the current 1.1 million to 4 million by the year 2017 and by 2020 it may exceed 5 million. This growth is expected to put a great strain on the infrastructure. The government has already spent $2.5 working on the road network covering 9,600 kilometers.
Dubai has always been the most popular place to buy investment property in the UAE because of its visitor friendly policies. There are many investment opportunities available to people in Dubai. In the past 2 years other emirates have also noticed the profitability from Real Estate development and they are also beginning to contribute to the growth of the region.
Because of the heavy investment in the tourism, infrastructure has further encouraged the growth of the Real Estate market. The increase in the Abu Dhabi population has increased the cost of rentals there. In fact, Abu Dhabi has all the potential requirements for avoiding the issues that are threatening to hinder the growth of Real Estate market in Dubai. These issues include shortage of man power and large scale construction projects that take too long to complete. The other question is just how sustainable is this development? Perhaps in the short term but overall, we see problems looming and are uncertain the projected population increases are sustainable long term.
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quisiera saver todo aserca de dubai.
sus mayores ingresos, sus economias y todo
officials have recently announced that $14 billion are to be spent on the infrastructure in dubai, im wondering how will they do it without disrupting the everyday life of the residents
UAE real estate’s last blog post..Cityspace AD sells out !!!
very wonderfull is a dubai. but can someone to help me to put the picture about the panorama dubai. But the size is big and clear and not just focus in burj arab. And can you send into my email in : mohammad_ugm@yahoo.co.id
HOWDY, dubai reminds me of the good ol USA but not as good
Dubai, e maravilhosa um lugar dos sonhos arabes. gostaria de ter oportunidade de trabalhar neste lugar prospero.
sem mais obrigada.
cristiany
De donde sale tanto dinero para crear semejante trabajo?
A mi tambien me gustaria saber de donde sale tanto dinero
I believe I am a silent investor!!!!
Certamente o dinheiro provem do petróleo que sai das profundezas da terra (incluso o mar), e vai para as grandes empreiteiras que com tecnologia hiper avançada transforma áreas desertas em verdadeiros oasis. Façamos todos um grande brinde à tecnologia a serviço da engenharia e arquitetura.
Iam a truck driver and i´m locking for a job in Dubai.
bravo poure tout les projet .jeunne 28 anne monateure de surf est fondateure de planete responssable enverenment tel 0021248516441 merci bay
ESTO ES FANTASTICO, LO QUE HACE EL DINERO Y LA INTELIGENCIA…
YYY EL PETROLEO……..
FELICITACIONES A LOS CREADORES DE ESTE HERMOSO PROYECTO…
Paradise!
See Dubai too in the Blog do Varejo http://www.varejototal.zip.net
Tks,
Eduardo Buys
Im from colombia south america i want to work in one of your hotels.
el rascacielo no contrasta,es muy lindo el rascacielos pero pareciera como si fuera un ciudad fantasma.en todo caso es genial,un pais arabe asi. bye
Love my city
I`m 63 and after I saw by TV and interner the palm tree complex, my heart jumped ,what a wonderful place!really,
my dream would be to go there,but I leave in Argentine ,it is very difficult that the dreams “se hagan realidad”I hope that Aladino and his magic floor carpet to come by me.
This is JSF I told you Dubai fucked USA
Those islands are just amazing the person who came up with that idea is brilliant.
I am a little more impressed with the Ras Al Khaima Island development. They seem to be a little more ecologically friendly.
The Dubai project of the Club Nautic in Dubai it is wonderfull.
Actually I work in a Club Nautic in Mallorca, Spain, and I would like to receive information about a job there, about the cost of the life, the conditions etc.
If there is somebody who can help me, please send me an
e-mail.
Thank you in advance
Spyros
isto é um sonho, é um filma em realidade.
wanna spent my honeymoon in dubai
I like dubai it’s my best city in the world
wait me dubai i’m coming>>>>>kokdr
I think it’ll turn bad one day, too much of everything, too much useless things, no real worth, so, one day it will fail i guess.
Isso é uma maravilha que poucos conhecem. Para quem vê de passagem não acredita que é uma realidade
Gostaria de contribuir musicalmente com o progresso de Dubai.
salut et bravo avotres creation bonnes continuation!!! a biento!!lili
Im from brazil and I work with industrial instrumentation and process analyzers. I really want to work there.
I worked in Iraque Railwail, I would like work in Dubai. I come from to Brazil. Dubai is the best of the world.
Dubai land of dreams i hope visit it one day if there someone there can help me please answer me i am from Algiers-Algeria
whois saying that too much of everything isn;t good,that;s right but Dubai is a nicecountry and i hope to visit it by God;s grace
Hi, I am fatima g. suson, I saw your place in the internet it is like a paradise I dreamed of seeing that place some hope you help me pursue my dream, tks
im 47 , i work in marsa Dubai
near al 3arab tower , fantastic , im a projict manager civil engineer , and the work here is wonderful , it was my dream
i was in palestine but i came here so , i make all my dreams
and Dubai will fuck USA
Ayman -
What a stupid comment.
Dubai will be lucky not to belong to Abu Dhabi in a couple of years. And you will be lucky if there are any civil projects left in 2009.
what a wonderful place full of big buildings and more jobs.
Rose –
Jobs? Are you insane? The developers are firing staff all over the place and jobs are going to be as scarce as water.
I ‘m a bartender and i ‘m looking for a job in Dubai.
My email is rjiannis@hotmail.com
Im from South Africa!
So how would you go about selling property?
Drop the price to a realistic level and advertise it here – free property listing site.
Hmmmm… interesting how this compares to the news found on this Dubai property investment website. It says the market in RAK is to grow 10% in 2009, even with all the recession going on! amazing!
By “amazing” I assume you mean “Bullshit”
Am deeply impressed by what i saw but my problem is falling into the hands of fraudstars because i want to invest heavyly here thanks
Great information about Dubai Property. Dubai is really a great place for investors. No doubt that Constructional work in Dubai is increasing day by day.
You are kidding right? Construction in Dubai is almost at a standstill, credit is unavailable and prices have fallen as much as 70%.
As this post says that the population of Dubai is expected to go from the current 1.1 million to 5 million by the year 2020,so i don’t think that real estate market in Dubai will face any threat in near future , still the best place for real estate investors.
Things have moved on now Mr Pakistan Property,
The chances are good that Dubai’s population will fall through the next two years or so.
Dubai has always been the most popular place in the UAE because of its visitor friendly policies. There are many investment opportunities available to people in Dubai. In the past 2 years other emirates have also noticed the profitability from Real Estate development and they are also beginning to contribute to the growth of the region.
Hi Arcus Properties. Dear oh dear.
HI Arcus Properties!
that’s right as the recent inflation in property & real estate market is going down in down but their are still many chances of investments in Dubai as the steps taken by the Govt of UAE are very appreciable.
Dubai is really a great place for investors. I don’t think that real estate market in Dubai will face any threat in near future.
Oh – you mean it will not collapse any further? I think you are sadly mistaken.
Real estate markets keep collapsing and then rebuilding, i was specifically talking about threats in near future, doesn’t seem to be any in the plain sight. I can see you take pleasure in denouncing Dubai property? It seems as if there’s some personal heart-breaking investment-gone-wrong story behind it? Mind sharing it with us?
Hotels Pakistan´s last blog ..Restaurants in Karachi – Some food places to Eat Out
Oh – not in the slightest. I got out of Dubai several years ago. More a case of despair at the government and banks taking the small investor for a ride.
And yes – the near term threat is the massive amount of inventory in the pipeline which will continue to drag values and returns down for the small investor over the next several years. Combine this with the continuing abuse of tenants and small buyers by the developers and a lot more people are going to lose their investment. Thousands of small British investors have lost everything they put in. Hundreds of small contractors are still unpaid. I think it will get a lot worse yet.
When it will hit bottom? Hard to say. Will it recover? Probably not in my lifetime.