(AFP) – After a six-year slump, Dubai’s real estate market is taking steam amid the rush of wealthy foreigners to the Gulf, which is escaping locking and other health restrictions and reviving the economy.
Luxury villas, if possible with a golf course, are the best shopping and many Europeans are setting their sights on an artificial island Palm Jumeirah in the shape of a palm tree.
Although magnified homes and gigantic towers usually appear on Dubai’s “skyline” in one of the region’s largest real estate markets, many properties have not found buyers until now, and have been in the industry since 2014.
Closing the border due to the Govt-19 epidemic halted sales, “but we saw an increase in the volume of transactions as soon as it was controlled.
Unlike others in the Gulf, Dubai, one of the seven members of the United Arab Emirates,’s economy is not based on black gold, but on tourism, trade, finance and real estate, which account for more than 7% of GDP in 2019.
In the first six months of 2020, the U.S. economy fell by about 10%, according to official figures. The real estate sector (about 8% of GDP) recorded a decline of 3.7%.
Officials are betting to reopen the audience in July 2020, promoting a lot of influencers on social networks and one of the world’s most serious vaccination campaigns in conjunction with strict health measures.
– “Containment Freeloaders” –
Despite the outbreak of lawsuits after the Christmas holidays, life in the Emirates continued without much restrictions, with restaurants and hotels reopening.
“Having free-riders from other countries, we see a lot of them here,” Mr. Sochinke confirms that it is easy to obtain citizenship status and that foreigners now have the opportunity to own 100% of the company in Dubai.
The IHS said the arrival of the visit particularly boosted tourism and helped return to the pre-business Govt position in April. Market said.
In the same month, the number of real estate transactions for assets worth more than 10 million dirhams (approximately 2.23 million euros) rose to 90, according to Property Surveillance, which typically records 350 to 400 similar transactions per year.
In April, 81 properties found buyers in Palm Jumeirah alone, up from a total of 54 in 2020. A mansion sold for nearly 25 million euros, a record in recent years on a man-made island.
– Villa, 1,309 m2, for sale –
Now the first gem on the market, the modern 1,309 sq m Italian style villa – 60 m beach, white marble, infinity pool and home cinema – located at the end of a palm grove is still looking for a seeker for 22 million euros.
“I think people are starting to realize that Dubai is no longer a construction site. Ten years ago the city set a world record for cranes,” said Matthew Pat, owner of Blackbrick, an agency trying to sell property.
According to him, buyers are now setting up their primary home in Europe, North America or Asia while managing their business remotely.
But will the recorded increase continue after imprisonment? The market is far from the records it reached before 2014 and the apartment segment lags behind in luxury, with many towers half empty despite the construction frenzy.
Morgan Stanley analysts are optimistic, however: “Strong demand, peak supply and delivery times for new projects, could stifle the market more than expected in the coming years.”
According to a recent report by the Bank of America, with the “wave of government reforms, attractive real estate rates and a change in the structure of demand due to Govt-19” the stars are being aligned to make the Emirates Dinzel continue to shine.