Already on ArticleSlash?

Forgot your password? Sign Up

A Big U-Turn In Dubai Real Estate Market

 


Visitors: 361
 2 votes

The growth of the Real Estate market in Dubai is protected from whatever fluctuations taking place in oil prices based on short and medium term. In fact, it is estimated that higher prices will only spur on the growth to higher speeds. The value of some of the Real Estate projects in GCC, Iran, and Iraq has already crossed $750 billion. Nearly 33% of this is concentrated in the United Arab Emirates with Dubai contributing the maximum. This figure is higher than the combined GDP in the same region, which is lower than $700 billion. According to expert estimates this trend will continue despite the fact that the oil prices are expected to fall in the short and medium term.

One key thing to note is that so far the growth of Dubai has been consistently defying all analysts. Since the past 5 years all sorts of experts have been saying that it is about time the Dubai Real Estate market in Dubai stopped being so profitable but so far the bubble has not burst. Though such growth has never been sustainable before no one is able to explain why it continues to thrive in Dubai. The GCC has the 17th largest economy in the world comprising of 500,000 high income earners and a GDP of $525 billion. The total ½ trillion dollar economy creates more than $500 billion in revenue that is used for investment. This volume is believed to boost the property for sale Dubai and construction sector in Dubai.

With a growth rate of 25% per year the UAE GDP is expected to reach anywhere from Dh 500-900 billion by the year 2010. The UAE has already surpassed Egypt as the 2nd largest economy in the Arab countries. It is now second to Saudi Arabia which is going through its own explosive growth period. The projects in UAE total at around $225 billion with Dubai holding nearly $125 billion.

The population of Dubai is also expected to go from the current 1.1 million to 4 million by the year 2017 and by 2020 it may exceed 5 million. This growth is expected to put a great strain on the infrastructure. The government has already spent $2.5 working on the road network covering 9,600 kilometers.

Dubai has always been the most popular place in the UAE because of its visitor friendly policies. There are many investment opportunities available to people in Dubai. In the past 2 years other emirates have also noticed the profitability from Dubai accommodation development and they are also beginning to contribute to the growth of the region.

(452)

Article Source:


 
Rate this Article: 
 
Abu Dhabi Real Estate - Can They Catch Up With Dubai?
Rated 3.0 / 5
based on 2 votes
ArticleSlash

Related Articles:

Learn How Big Investors Use the Wholesale Real Estate Market to Turn Huge ..

by: Michelle Phillips (June 08, 2007) 
(Real Estate)

Ultimate Real Estate Agent Marketing Plan Turn Current Market Conditions to ..

by: Teran Dale (July 06, 2008) 
(Business/Marketing)

Dubai Real Estate Properties - Why Britons Prefer Dubai As Their Second Home

by: Humera K (January 07, 2008) 
(Investing)

Dubai Real Estate Investment - The Unbeatable Advantages Of Burj Dubai From ..

by: Sophia K (December 13, 2007) 
(Investing)

Real Estate Agents and Dubai Real Estate

by: Anitha Hari (September 09, 2008) 
(Investing)

Real Estate Dubai

by: Anitha Hari (April 02, 2008) 
(Investing)

Dubai Real Estate

by: Sara Fredder (February 20, 2008) 
(Investing)

Farming For Real Estate - How To Effectively Use A Blog To Market To Your Farm ..

by: Connie Ragen Green (May 26, 2007) 
(Real Estate)

The Direction Of Dubai Real Estate

by: Nabi Baig (May 07, 2008) 
(Real Estate/Buying)

Abu Dhabi Real Estate - Can They Catch Up With Dubai?

by: William King (September 23, 2008) 
(Real Estate/Commercial Property)