A rise in Dubai house prices as a result of improving economic conditions is “imminent”, it has been reported.
Recent trends in equity and oil markets and the limited supply of new completed units suggest an increase in Dubai property prices soon, according to a Reidin/Global Capital Partners report, titled A Tale in Three Markets.
It says a previous lack of correlation between oil and property prices has changed in the past six months due to concerns over the effect of petrol prices on the property market, reported The National.
The housing market faced a "perfect storm" of lack of demand and huge oversupply, according to Sameer Lakhani, the managing director of Global Capital Partners, who said developers had recently been more restrained in terms of releasing supply.
"This time around, they are more responsive,” he said. “If they see a market that is softening, they pull back not only in terms of the number of units but also the number of units they are completing."
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