Dubai has for long been one of the most sought out destinations for real estate development, tourism and investment. So much so was the craze for real estate development during the 90’s that at one point 25% of the world’s operating cranes were employed in Dubai. Thanks to the initial and fast paced real estate investment, today Dubai has emerged as a leader in the real estate market. From the world’s tallest building to developing a complete man made island, Dubai has set the standards real high for the entire world which has given a boom to Dubai property market.
After winning the bid for Expo 2020 Dubai in 2013, the real estate market did pick up initially but due to the falling oil prices in 2014, the demand and the market dipped for properties in Dubai. The oversupply of retail, commercial, and residential properties has further led to a downfall in the value of real properties in Dubai. The escalating geopolitical tensions in the region have also led to investors and potential property buyers to stay reserve from the UAE and Dubai in particular.
The authorities have taken note of this Dubai property recession and came up with a couple of initiatives and legislations to boost the sector and the economy. From forming a committee of government owned companies to balance the supply and demand, came up with an extended 10 year residency visas in order to show keen interest in reviving the real estate sector in Dubai.
Despite the economic slowdown due to the recent travel restrictions and also the prevailing economic conditions, property listings for sale and property portals like ZoomProperty.com is confident that the real estate market is bound to bounce back. According to them, although the advertised prices in the residential and commercial properties sector are still falling down but the rate of decline has slowed down sharply. It has also been noted that the number of new property development announcements have fallen considerably as compared to last year. Developers in Dubai and Realtors want to sell off their existing properties before starting new projects. According to market experts, this will also lead to healthy competition amongst the players of the real estate industry.
The Expo 2020 Dubai is expecting a footfall of a whopping 25 million visitors with almost 75% of that crowd coming from other countries. Due to the Coronavirus epidemic, Dubai International Boat Show has also been postponed to the month of november which luckily coincides with the Expo 2020 Dubai. Experts are of the view that this double dose of international fairs will be a boost for not only the real estate market of Dubai but for the entire economy of the UAE.