May 30, 2023

Dubai Week

Complete Dubai News World

Sale of villas thanks to prisons

Luxury villas sell (almost) like hot cakes in Dubai. – AFP

After a six-year slump, the real estate market Dubai Steam thanks to the urgency of wealthy foreigners to this Gulf emirate, which will escape
Imprisonment And other health restrictions, thus reviving the recovering economy. Luxury villas, with golf courses if possible, top the shopping list and many Europeans set their sights on
Palm Jumeirah, Artificial island in the shape of a palm tree.

Although magnified houses and gigantic towers usually appear on Dubai’s “skyline” in one of the region’s largest real estate markets, many properties have not seen buyers until now, and the sector has been dark since 2014. Boundaries caused by the Govt-19 epidemic halted sales, “but as soon as it was locked we saw an increase in the volume of transactions. It has not stopped since, ”said John Sochinke, managing director of Property Monitor, a Dubai-based analytics firm.

Tourism and real estate based economy

Unlike others in the Gulf, Dubai, one of the seven members of the United Arab Emirates, says its economy is not based on black gold, but on tourism, trade, finance and real estate. In the first six months of 2020, the U.S. economy fell by about 10%, according to official figures. 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 drastic health measures. Despite the eruption of lawsuits after the Christmas holidays, life in the Emirates continued without much restrictions, with restaurants and hotels reopening.

In April, the number of real estate transactions for assets worth more than 10 million dirhams (approximately 2.23 million euros) soared to 90, typically recording 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.

Strong demand

According to Matthew Pat, owner of real estate firm Blackbrick, buyers are now setting up their primary home in Dubai, while remotely managing their business in Europe, North America or Asia. 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.

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