Revealing Coronavirus Impact on UAE’s Real Estate Market
Published on 2020
The novel Coronavirus is spreading at an alarming rate all over the world. It has already claimed 4012 deaths globally with 113,702 confirmed cases globally as per the latest WHO report published on March 10, 2020. It is not just cities and regions who are getting locked down but entire countries which are being locked down, the latest being Italy. Massive travel restrictions have been put all over the world by the governments to stop the spread of this deadly virus. Financial markets have been crashing all over the world. A drop in the global oil price has further worsened the situation. Many prestigious events are being postponed like the Dubai International Boat Show. Governments all over the world are asking its residents to avoid traveling to help stop the spread of the novel Coronavirus including the government of the UAE.
Impact of Coronavirus on Real Estate
Almost every sector has been hit really hard by the deadly Coronavirus. Economists all over the world are still trying to figure the possible economic impact this virus will have. The most hard hit sector is the real estate market. With no cure available right now for the novel Coronavirus people are hesitant to even step outside their homes, forget about potential buyers checking out a luxury home for sale in Dubai. One of the biggest names in the real estate market is Dubai’s Emaar Properties which is feeling the effect on the Coronavirus. The world renowned developer of the magnificent Burj Khalifa has seen its shares fall by over 10%.
Future of the Real Estate Market
Despite the spread of this epidemic and its horrifying effects on the real estate market, the future does not look bleak for the property sector. Firstly the governments all over are finding ways to fight and stop the spread of this deadly infection and the UAE has a very robust healthcare system. The UAE is also one of the largest markets for medical tourism and this means the availability of top class experts and specialists from all around the globe. With state-of-the-art healthcare infrastructure, the UAE is ready to combat this virus. Also the UAE was among the first to shutdown schools so that they could sterilize the areas. Also with cutting-edge technology at the airports almost every single traveler was screened and after enough confirmation were allowed to travel. Despite the slowdown in the market, realtors in Dubai are positive that the situation will improve. With the Expo 2020 Dubai in November and now the postponed Dubai International Boat Show also coinciding at the same time, the real estate sector will give a double boost. And the UAE, especially Dubai has been a favourite destination for real estate investment. The wide range of premium villas for sale in Dubai is not matched anywhere in the world. As for the potential buyer these are good times as they can bargain their way around and then profit from massive returns in the future.
Facts and figures
UAE travel restrictions