Bahrain
Kuwait
Oman
Qatar
Saudi Arabia
UAE
Mobile
-
The Roubini Vs Rogers debate
2
22 Nov ' 09 at 06:30
What's not to understand.It's 1930s Hoover-Roosevelt liquidation.Are you really naive enough to believe that Andrew Mellon's... More » -
RTA to lease last batch of retail outlets on Red Line
2
21 Nov ' 09 at 22:46
Raj, actually they withdraw their bid, 5 weeks before 09/09/09, and have been sold out to Bakemart...just a month ago... More » -
UAE announces Eid and National Day holidays
2
21 Nov ' 09 at 21:55
For all the weepers out there,have a lollipop it will cheer you up,since you all are acting like a kid, praying for holidays, More »
GCC property overpriced
Wednesday, 16 April 2008
The overwhelming majority of property investors believe real estate within the GCC is overpriced, according to the ArabianBusiness.com Property Survey 2008.
Data from the annual study revealed 45.31% of respondents believe property prices are far too expensive, while 42.78% said prices are moderately overpriced.
Only 10% of survey participants feel prices are fair and only 1.83% believed prices are low, the survey found.
Qatar has the highest percentage of people that think property is far too expensive, at 52%, followed by Oman (51%), Saudi Arabia (48%), the UAE (45%), Kuwait (43.5%) and Bahrain (43.2%), according to the survey.
Kuwait has the highest percentage of people that think prices are low, at 6.5%, followed by Bahrain (4%), Qatar (4.2%) and Saudi Arabia (2.6%). Not one of those polled in Oman and less than 2% of respondents from the UAE feel prices are low.
Bahrain and Saudi Arabia had by far the largest percentage of people that think property prices are fair, with 17.5% and 13.3% respectively.
Housing and rental costs have soaring in the region over the past couple of years, fuelled by a supply shortfall and rising labour and raw material costs.
Rocketing prices have been blamed on driving inflation to record levels across much of the Gulf.
Despite most GCC buyers thinking prices are expensive, the survey found investors would to continue to purchase property in the region.
The survey also revealed that more people buy property in the GCC as an investment than for any other reason, believing the market wills continues its bullish trend and offer buyers huge returns on their investments.
Property Market
Posted by Valerio, Verona, Italy on 28 January 2009 at 17:25 UAE time
My opinion is that the market in U.A.E. will be return to become the best place where an investors can find satisfaction. The financial crisis cannot delete the project and the investment of the most important companies in the world. Obviously the market and the world in changed: to get better! I hope. I trust.
Posted by Valerio, Verona, Italy on 28 January 2009 at 17:25 UAE time
My opinion is that the market in U.A.E. will be return to become the best place where an investors can find satisfaction. The financial crisis cannot delete the project and the investment of the most important companies in the world. Obviously the market and the world in changed: to get better! I hope. I trust.
Effects of shrinkage in 'low cost' airline routes.
Posted by greeksteve, Cambridge, UK on 3 September 2008 at 18:42 UAE time
With the gradual withdrawal of 'low cost' routes, through economic restrictions, some of the more remote and less popular holiday destinations will lose favour and therefore capital values and possible future appreciation on their property. It will obviously take consideration to pick a proven 'chartered' route with year round attractions to attain assured appreciation and capital growth in the holiday home market.
Posted by greeksteve, Cambridge, UK on 3 September 2008 at 18:42 UAE time
With the gradual withdrawal of 'low cost' routes, through economic restrictions, some of the more remote and less popular holiday destinations will lose favour and therefore capital values and possible future appreciation on their property. It will obviously take consideration to pick a proven 'chartered' route with year round attractions to attain assured appreciation and capital growth in the holiday home market.
Show all comments
real estate employment
Posted by Peter Turner, auckland, new zealand on 1 September 2008 at 14:25 UAE time
Real estate agency skills will become increasingly important as supply exceeds demand. Do the local developers and sales managers appreciate and value highly professional agents.
Posted by Peter Turner, auckland, new zealand on 1 September 2008 at 14:25 UAE time
Real estate agency skills will become increasingly important as supply exceeds demand. Do the local developers and sales managers appreciate and value highly professional agents.
property in the UAE
Posted by ronnie, Dubai, United Arab Emirates on 26 August 2008 at 14:06 UAE time
There is an urgent need for market study groups to conclude on how much stock of property (in each of the vital sectors) WILL BE UTILISED and how much will remain unoccupied and hence is the real "speculative" element.
This will help investors to target their investment better and will also determine if speculative purchase and actions such as 'flipping' is an investor driven short term phenomenon or if the 'regular Joe' who invests his hard earned money and expects either a return on investment through rental income or appreciation (?) will be seriously disappointed because of a serious glut.
Posted by ronnie, Dubai, United Arab Emirates on 26 August 2008 at 14:06 UAE time
There is an urgent need for market study groups to conclude on how much stock of property (in each of the vital sectors) WILL BE UTILISED and how much will remain unoccupied and hence is the real "speculative" element.
This will help investors to target their investment better and will also determine if speculative purchase and actions such as 'flipping' is an investor driven short term phenomenon or if the 'regular Joe' who invests his hard earned money and expects either a return on investment through rental income or appreciation (?) will be seriously disappointed because of a serious glut.
Project Delays
Posted by Suleman Husseini on 28 June 2008 at 12:28 UAE time
Recently we have witnessed that Developers have delayed the project and the construction is not par with the promisses made by the develper at the time of launching of the project. The Developers are taking the plea that the construction work has been delayed due to slow process or deliberate delay by the concerned authorities. This delay by the authorities in according due permissions for commencement of construction or related process might be due to their intentions to match supply and demand rather to stabilize the price. Please let me know your opinion on the above thoughts. Also in case of a delay by the developer in construction work the developer should alter the payment plan accordingly.
Best Regards,
Suleman Husseini.
Posted by Suleman Husseini on 28 June 2008 at 12:28 UAE time
Recently we have witnessed that Developers have delayed the project and the construction is not par with the promisses made by the develper at the time of launching of the project. The Developers are taking the plea that the construction work has been delayed due to slow process or deliberate delay by the concerned authorities. This delay by the authorities in according due permissions for commencement of construction or related process might be due to their intentions to match supply and demand rather to stabilize the price. Please let me know your opinion on the above thoughts. Also in case of a delay by the developer in construction work the developer should alter the payment plan accordingly.
Best Regards,
Suleman Husseini.
Property Prices
Posted by PH, Dubai, UAE on 24 June 2008 at 11:03 UAE time
I'm very keen to see the 'interesting comments' from the experts written in your last paragraph in regards to people buying off plan direct from the developer, against off plan on the secondary market. If you shop around you can buy properties in exactly the same developments on the secondary market as opposed to direct from the developer. Now that local banks lend you the premium, I want to understand why so many people spend up to 25% more buying direct from the developers. There must be a reason but I have no idea what it is.
Editor's reply There may be many reasons people buy direct from the developer - including confidence. However, one real tangible financial benefit is the payment term. If you buy in the secondary market, you pay immediately any premium over the original price to the vendor (his windfall). However, there is no premium (i.e. the increase in value over the original price)if you are the original buyer. Hence your payment plan will not start with a big up front payment.
Developers will always charge more than secondary market value because that way they support the original buyers. If they undercut that market, pretty soon there would be no secondary market, and the knock on effect of that would be no one would buy property full stop. Developers need to support the real estate market, and speculators as a corollary, to keep it moving.
Posted by PH, Dubai, UAE on 24 June 2008 at 11:03 UAE time
I'm very keen to see the 'interesting comments' from the experts written in your last paragraph in regards to people buying off plan direct from the developer, against off plan on the secondary market. If you shop around you can buy properties in exactly the same developments on the secondary market as opposed to direct from the developer. Now that local banks lend you the premium, I want to understand why so many people spend up to 25% more buying direct from the developers. There must be a reason but I have no idea what it is.
Editor's reply There may be many reasons people buy direct from the developer - including confidence. However, one real tangible financial benefit is the payment term. If you buy in the secondary market, you pay immediately any premium over the original price to the vendor (his windfall). However, there is no premium (i.e. the increase in value over the original price)if you are the original buyer. Hence your payment plan will not start with a big up front payment.
Developers will always charge more than secondary market value because that way they support the original buyers. If they undercut that market, pretty soon there would be no secondary market, and the knock on effect of that would be no one would buy property full stop. Developers need to support the real estate market, and speculators as a corollary, to keep it moving.
Low Cost Housing
Posted by Agnes Briggs, AbuDhabi, UAE on 19 May 2008 at 13:45 UAE time
I agree. But it should not be in the same location. These housing projects should be developed to cater to the lifestyle of the end users . You cannot allocate 20 percent of a high end development to the poor as it will not satisfy their needs and lifestyle.
Likewise, the Government should look into developing affordable housing units for the overseas workers such as the accountants, secretaries,nurses sales people and etc. The common major problem of employess in UAE esp Dubai and Abu Dhabi is the lack of safe, clean and affordable housing. They are forced to rent bedspace or overcrowded flats if they can find one to save and cut cost of accomodation expenses.
There should also be a proper contract to protect their rights .
Agnes Briggs
Posted by Agnes Briggs, AbuDhabi, UAE on 19 May 2008 at 13:45 UAE time
I agree. But it should not be in the same location. These housing projects should be developed to cater to the lifestyle of the end users . You cannot allocate 20 percent of a high end development to the poor as it will not satisfy their needs and lifestyle.
Likewise, the Government should look into developing affordable housing units for the overseas workers such as the accountants, secretaries,nurses sales people and etc. The common major problem of employess in UAE esp Dubai and Abu Dhabi is the lack of safe, clean and affordable housing. They are forced to rent bedspace or overcrowded flats if they can find one to save and cut cost of accomodation expenses.
There should also be a proper contract to protect their rights .
Agnes Briggs
plz give information
Posted by samah samad, dubai, uae on 12 May 2008 at 12:49 UAE time
u are so profisonal
Posted by samah samad, dubai, uae on 12 May 2008 at 12:49 UAE time
u are so profisonal
property Survey
Posted by Ayman Khaireddin, Dubai, UAE on 9 May 2008 at 22:53 UAE time
any contry / city
Posted by Ayman Khaireddin, Dubai, UAE on 9 May 2008 at 22:53 UAE time
any contry / city
Breakdown of survey profile
Posted by Quest, Bahrain on 28 April 2008 at 11:13 UAE time
Great survey!
But out of the 3004 surveys received (over 104 nationalities), what are the majority of the respondents from?
It would be great if you have a breakdown chart of the Top 10/20 countries/Nationalities responded, and by how many respondents each country.
Thanks!
Posted by Quest, Bahrain on 28 April 2008 at 11:13 UAE time
Great survey!
But out of the 3004 surveys received (over 104 nationalities), what are the majority of the respondents from?
It would be great if you have a breakdown chart of the Top 10/20 countries/Nationalities responded, and by how many respondents each country.
Thanks!
Good survey
Posted by ksoufi, Jeddah, Saudi Arabia on 28 April 2008 at 02:19 UAE time
Good survey except the fact that the return of investment in Saudi real estate exceeds that of UAE in the last 6 months. More analysis required for the Saudi market.
I agree with one of the comments, we need the full report.
Editors' Reply: We will make this content available as a PDF at a later date. For future surveys we will build a downloadable PDF document into the initial design.
Posted by ksoufi, Jeddah, Saudi Arabia on 28 April 2008 at 02:19 UAE time
Good survey except the fact that the return of investment in Saudi real estate exceeds that of UAE in the last 6 months. More analysis required for the Saudi market.
I agree with one of the comments, we need the full report.
Editors' Reply: We will make this content available as a PDF at a later date. For future surveys we will build a downloadable PDF document into the initial design.
Real Estate Scams
Posted by Mike, Dubai, UAE on 28 April 2008 at 01:59 UAE time
I appreciate and respect what Dubai has done, but what about all the scams running all over the place?
Many builders are collecting down payments for years without delivering anything and when customers try to pull out because nothing was done ... you have to kiss what you have paid good bye!
I have a number of cases as above from very well respected people, so Dubai must get tough on builders taking advantage of people just because there are no laws in place to protect them!
I also hope that ArabianBusiness.com would cover such scams and negative news in the market vs. showing the positive sides only!
Posted by Mike, Dubai, UAE on 28 April 2008 at 01:59 UAE time
I appreciate and respect what Dubai has done, but what about all the scams running all over the place?
Many builders are collecting down payments for years without delivering anything and when customers try to pull out because nothing was done ... you have to kiss what you have paid good bye!
I have a number of cases as above from very well respected people, so Dubai must get tough on builders taking advantage of people just because there are no laws in place to protect them!
I also hope that ArabianBusiness.com would cover such scams and negative news in the market vs. showing the positive sides only!
Property Survey
Posted by brandaid, Dubai on 28 April 2008 at 01:32 UAE time
Excellent report, but I agree with M.D., why isn't it available as a PDF for download? It would do wonders for publicity for your magazine if everyone was walking around with a copy of the report in his hand, and quoting from it, but I guess you'll put it in the magazine? Why not do both?
Editors' Reply: A PDF version of this report will available shortly. In addition, the next edition of Arabian Business magazine will run various aspects of the survey - but not the full report due to space constraints.
In all future reports we will make sure that there is a printable version. It seems there is a real need for this.
Posted by brandaid, Dubai on 28 April 2008 at 01:32 UAE time
Excellent report, but I agree with M.D., why isn't it available as a PDF for download? It would do wonders for publicity for your magazine if everyone was walking around with a copy of the report in his hand, and quoting from it, but I guess you'll put it in the magazine? Why not do both?
Editors' Reply: A PDF version of this report will available shortly. In addition, the next edition of Arabian Business magazine will run various aspects of the survey - but not the full report due to space constraints.
In all future reports we will make sure that there is a printable version. It seems there is a real need for this.
More comprehensive information, please
Posted by Leonard Rego, Dubai, UAE on 28 April 2008 at 01:05 UAE time
This is great... Certainly worth a read, as reliably researched information is often hard to come by here. Something I'd like to see more off, though, is more subjective analyses by experts as well as people who cannot in any way gain from providing certain types of information or opinions.
However, a full report available as a download - possibly as a PDF - would be truly welcome!
All in all, I think this provides a fair perspective - Thanks for taking the trouble!
Posted by Leonard Rego, Dubai, UAE on 28 April 2008 at 01:05 UAE time
This is great... Certainly worth a read, as reliably researched information is often hard to come by here. Something I'd like to see more off, though, is more subjective analyses by experts as well as people who cannot in any way gain from providing certain types of information or opinions.
However, a full report available as a download - possibly as a PDF - would be truly welcome!
All in all, I think this provides a fair perspective - Thanks for taking the trouble!
Tunisia
Posted by Mohamed Khadar, Gaithersburg, USA on 27 April 2008 at 22:27 UAE time
Your information on Tunisia was most helpful.
Posted by Mohamed Khadar, Gaithersburg, USA on 27 April 2008 at 22:27 UAE time
Your information on Tunisia was most helpful.
Property Survey
Posted by Moahmmed, Jubail, KSA on 27 April 2008 at 19:26 UAE time
It is interesting outcome of the survey that although most people think that UAE property prices are high, yet there is enough confidence that investment will yield a good return in future.
Good insight of UAE property market.
Posted by Moahmmed, Jubail, KSA on 27 April 2008 at 19:26 UAE time
It is interesting outcome of the survey that although most people think that UAE property prices are high, yet there is enough confidence that investment will yield a good return in future.
Good insight of UAE property market.
PROPERTY INVESTING IN THE GULF AND U
Posted by RAJKUMAR BHATIA, ABUDHABI, UAE on 27 April 2008 at 18:39 UAE time
Undoubtfully one can invest in the Gulf without having past experience and the industry in such a short span has grown tremendously that has given an investor opportunity in one of the hottest market in the world.
Posted by RAJKUMAR BHATIA, ABUDHABI, UAE on 27 April 2008 at 18:39 UAE time
Undoubtfully one can invest in the Gulf without having past experience and the industry in such a short span has grown tremendously that has given an investor opportunity in one of the hottest market in the world.
How can we have a full report
Posted by M. D. on 27 April 2008 at 13:03 UAE time
Excellent survey, but it's worthles if we can't have it as a full report to print, save and share.
Posted by M. D. on 27 April 2008 at 13:03 UAE time
Excellent survey, but it's worthles if we can't have it as a full report to print, save and share.
A great survey
Posted by Mohammed Amwar, Dubai, UAE on 27 April 2008 at 12:07 UAE time
You are making a name for yourself with these surveys - this is truly excellent. I am in the process of buying a home in Dubai and this has given me a huge amount to think about. Thatnk you - again - ArabianBusiness.com
Posted by Mohammed Amwar, Dubai, UAE on 27 April 2008 at 12:07 UAE time
You are making a name for yourself with these surveys - this is truly excellent. I am in the process of buying a home in Dubai and this has given me a huge amount to think about. Thatnk you - again - ArabianBusiness.com
My opinion is that the market in U.A.E. will be return to become the best place where an investors can find satisfaction... 
