Dubai’s residential market, which documented up-to 60% jump in costs and rents, is set to witness slower growth rates of both apartment and villa for rent in Dubai in 2014 with the supplement of 25,000 new housing units, property professionals said on Monday.
Renting market recorded an increase of between 60 and 50 percent across all residential units and rentals in Dubai.
Renting market recorded an increase of between 60 and 50 percent across all residential units and rentals in Dubai.
Dubai’s residential market, which documented up-to 60% jump in costs and rents, is set to witness slower growth rates of both apartment and villa for rent in Dubai in 2014 with the supplement of 25,000 new housing units, property professionals said on Monday.
Renting market recorded an increase of between 60 and 50 percent across all residential units and rentals in Dubai.
In 2014, Dubai’s real estate market is forecast to become the world’s top real estate. Building on last year’s rapid cost growth, Knight Frank said in its Leading Global Forecast. It expected cost growth of between 10 and 15 per cent this year, greater than Asian powerhouse markets such as Beijing and Shanghai.
Present cost level is still 21 per cent lower than 2008 maximum, while regular sales prices increased by as much as 60 per cent in prime residential developments, said the report.
Asteco statement comes amid a cautioning by the International Monetary Fund that a likely property bubble could occur if authorities weren’t careful. The IMF, after raising its 2014 financial development forecast for the UAE to 4.5 per cent, a recovery is seen in 2013 in real estate market, with property prices in Dubai having increased fast in selected locations.
In the fourth quarter alone, sales prices for villa for rent in Dubai and apartments increased by 23 percent.
The rest of the markets expanded between 22 and 30 per cent.
The rise was driven by increased confidence and the fact that the newest law regulating maximum loan-to-value wasn't being consistently enforced, while cash consumers still ruled certain areas of the market, said John Stevens, managing director, Asteco Property Management.
Renting market recorded an increase of between 60 and 50 percent across all residential units and rentals in Dubai.
In 2014, Dubai’s real estate market is forecast to become the world’s top real estate. Building on last year’s rapid cost growth, Knight Frank said in its Leading Global Forecast. It expected cost growth of between 10 and 15 per cent this year, greater than Asian powerhouse markets such as Beijing and Shanghai.
Present cost level is still 21 per cent lower than 2008 maximum, while regular sales prices increased by as much as 60 per cent in prime residential developments, said the report.
Asteco statement comes amid a cautioning by the International Monetary Fund that a likely property bubble could occur if authorities weren’t careful. The IMF, after raising its 2014 financial development forecast for the UAE to 4.5 per cent, a recovery is seen in 2013 in real estate market, with property prices in Dubai having increased fast in selected locations.
In the fourth quarter alone, sales prices for villa for rent in Dubai and apartments increased by 23 percent.
The rest of the markets expanded between 22 and 30 per cent.
The rise was driven by increased confidence and the fact that the newest law regulating maximum loan-to-value wasn't being consistently enforced, while cash consumers still ruled certain areas of the market, said John Stevens, managing director, Asteco Property Management.