By Andy Sambidge
Dubai chamber chief says latest figures reveal upturn in real estate sector.
The total value of apartment and villa sales in Dubai in October rose by more than 50 percent compared to the previous month, a senior business figure said on Tuesday.
Citing figures from the Dubai Land Department, Hamad Buamin, director general of the Dubai Chamber of Commerce and Industry, said the sales boost revealed an upturn in the emirate's battered real estate sector.
He said the value of apartment sales rose 34 percent, compared to September, while the value of villa deals rose by nearly 70 percent, without giving an exact figure for the value.
The value of land deals in Dubai almost doubled (rise of 96.6 percent) in October compared to the previous month, Buamin added.
He said the rise "was due essentially to the fact that demand has risen owing to increased expectations about job security, and ease of access to finance".
His comments on job security support a survey published earlier this month when more than half of the employers in the MENA region said they were planning to recruit over the next few months.
Twenty-six percent said they were "definitely hiring" and another 26 percent said they would "probably be hiring", according to the Jobs Index study conducted by job site Bayt.com, in conjunction with research specialists YouGov Siraj.
Buamin's comments came at a networking luncheon hosted by the chamber in honour of its members from the Construction Business Group to coincide with the Big 5 show.
Since Many years I have been hearing these words-10% Incrase,40%increase,70% Increase etc, but they donot tell from which base the %increase has taken place. Rosy Picture Concept!!!
If you say so!
Or could it be that the banks are now forcing sales of properties to stem losses?
now hold onto your hats people as we see a massive bounce just like the US stock market. The good ole days are here again!!!!!
These numbers can be very deceptive. If one house sold in the previous month, 2 houses selling the next month will give you a 50 % increase in sales! It doesn't mean that now the real estate market is out of the woods. The daily numbers coming out are just trying to put a good face on a still dire situation.
Joe P's point is on target but his arithmetic is not: an increase from 1 to 2 is a 100% rise!
Oh please dont bore us with stats - give us real figures. I am 80% more tired of reading such boring stats than i was last month but not 50% as bored as i will be reading it next month.
Joe P - one sale to two sales is a hundred percent, not fifty, though because it is hard to buy half a house I suppose we are allowed to round up the 0.5 to 1 . Zero sales to one sale is something akin to an infinite increase. People buying or people selling ? You would have to look at whether these were comercial sales or private, at what price, and under what conditions.
First they were making excuses for the poor sales in Sept due to Ramadan and now they are boasting of increased sales during Oct.
Dont fool yourself that this is an upturn! A 1 to 2 or a 2 to 4 or a 4 to 8 is sustainable in the short term. The challenge would start much earlier than a stage of 64 to 128. AB drive your interviewees to give you numbers over a period of months and share this with us. Percentages can be misleading, but I trust most investors have backbones not wishbones