The Dubai property market next year, expects a "soft landing". Housing prices should stabilize by the end of this year and begin growing next. It is reported by news portal, UAE's The National , citing data from the international consulting company Knight Frank.
"Although we saw a decline in the demand for residential property in Dubai for the past 18 months, the appetite remains healthy and should recover over the next couple of years as investor confidence will grow," says Dana SAVAK, head of research at Knight Frank in the middle East.
Infrastructure development for the Expo 2020 can also have a positive effect on the situation, the report said.
Despite a 7% annual decline in housing prices in the first half of this year compared with the same period of 2015 and 12% decline in sales, Knight Frank believes that demand will be distributed mainly to "real estate from developers with a reputation," especially at the construction stage.
Also in the study of Knight Frank notes that the Dubai property market depends on several global and local conditions, such as volatility in oil prices, geopolitical tensions and the upcoming presidential elections in the United States that affect exchange rates and the purchasing power of investors.
The forecast of the Egyptian investment Bank EFG Hermes is somewhat less optimistic and predicts a further fall in prices by 5% this year and early next – and stabilize towards the second half of 2017. Sales can also decline, said the Bank.
HomesOverseas.ru
