Jump to content
House Price Crash Forum

Dubai Apartment Prices On-the-slide


Recommended Posts

In case you haven't noticed, this isn't SingingPig. Perhaps people would be more receptive your your ramping there.

exactly, we are fad up of estate agents every where....lies, lies & more lies thats all they do but now most of us can see through it.

Dubai bubble has burst...live with it.

Link to comment
Share on other sites

Summary comment from a HSBC report on UAE real estate issued today:

* October secondary prices show first signs of weakness: Dubai and Abu Dhabi down 4% and 5%, respectively

* Rental yields expanding 160bps MOM for first time since Q1 2008

* Abu Dhabi, particularly Aldar, likely to provide best shelter

OCTOBER DATA SIGNALS A TURNING POINT

* ADVERTISED PRICES

Our proprietary survey shows first signs of weakness. Advertised prices on average are down 4 & 5% in Dubai and Abu Dhabi, respectively. Within this apartments in Dubai are flat and down 6% in Abu Dhabi. Villas in Dubai are down 19%, but up 4% in Abu Dhabi.

* IMPLIED YIELDS

Rental yields are expanding for the first time since the beginning of the year. On average rental yields are up 160bps to 6.3% in October. This is a reflection of market tightness, as there is a clear shift from holding to selling.

* BANKS ARE TIGHTENING ITS LENDING

We believe it's going to get worse before it gets better. Our mortgage survey reveals a tightening in the mortgage market in the last month, as some banks lowered LTV's, on average are lower by 10% from 85% to 75%. Down-payments on average are up 125% m-o-m from cUSD100,000 to cUSD220,000.

This is the first concrete sign of declines where all the previous stats have been anecdotal. Also this is on asking prices rather than actual transactions data so are likely to be even lower than this (as per the UK experience, where sellers are initially optimistic).

Link to comment
Share on other sites

  • 11 months later...

hi,

quite frankly, people who have got burned in dubai have only themselves to blame. for years i have been hearing, 'you can only make money in dubai' or 'no one has lost out yet' or 'look at the cranes' or 'its a foolproof way to make quick cash'

all of these statements should have rung massive alarm bells to investors, particulary those who were told 'its a quick way to make cash - just get in now and sell three months later to make 10k' etc.

you would think people would have learned their lessons from spain, bulgaria, etc. but no.

greed is a terrible thing - besides, whats the big deal about dubai anyway? its nearly always 47 degrees in the shade anyway, so if your idea of a great time is sitting about in a high rise freezing your backside off in fade aircon or going to an overpriced mall...keep buying on promises, but dont moan when the market crashes.

you took the risk - deal with the consequences.

Link to comment
Share on other sites

hi,

quite frankly, people who have got burned in dubai have only themselves to blame. for years i have been hearing, 'you can only make money in dubai' or 'no one has lost out yet' or 'look at the cranes' or 'its a foolproof way to make quick cash'

all of these statements should have rung massive alarm bells to investors, particulary those who were told 'its a quick way to make cash - just get in now and sell three months later to make 10k' etc.

you would think people would have learned their lessons from spain, bulgaria, etc. but no.

greed is a terrible thing - besides, whats the big deal about dubai anyway? its nearly always 47 degrees in the shade anyway, so if your idea of a great time is sitting about in a high rise freezing your backside off in fade aircon or going to an overpriced mall...keep buying on promises, but dont moan when the market crashes.

you took the risk - deal with the consequences.

Well, that's a vigorous first post! Welcome to HPC!

Link to comment
Share on other sites

hi hbc veteran,

thanks for that......im investing in the scandinavian countries. i love it there because its not full of english idiots who want to sit around pubs getting drunk in 40 degree heat, who also think that spending 200 grand on a flat that may/may not be actually built is a good idea.

the more of them that go to spain, bulgaria, dubai, etc. the better.

Link to comment
Share on other sites

hi hbc veteran,

thanks for that......im investing in the scandinavian countries. i love it there because its not full of english idiots who want to sit around pubs getting drunk in 40 degree heat, who also think that spending 200 grand on a flat that may/may not be actually built is a good idea.

the more of them that go to spain, bulgaria, dubai, etc. the better.

I think you have the right idea.... and the women are nice too... ;)

Link to comment
Share on other sites

  • 1 month later...

hi,

quite frankly, people who have got burned in dubai have only themselves to blame. for years i have been hearing, 'you can only make money in dubai' or 'no one has lost out yet' or 'look at the cranes' or 'its a foolproof way to make quick cash'

all of these statements should have rung massive alarm bells to investors, particulary those who were told 'its a quick way to make cash - just get in now and sell three months later to make 10k' etc.

you would think people would have learned their lessons from spain, bulgaria, etc. but no.

greed is a terrible thing - besides, whats the big deal about dubai anyway? its nearly always 47 degrees in the shade anyway, so if your idea of a great time is sitting about in a high rise freezing your backside off in fade aircon or going to an overpriced mall...keep buying on promises, but dont moan when the market crashes.

you took the risk - deal with the consequences.

A friend of mine at work, in a different department, told me that of the 30 or so people who work with her at a lower level, 4 bought property in Dubai. They kept telling her that she should do so as well. A typical example is paying a deposit of £50k and a £200k mortgage for a property there as an investment. The property is now not even worth the £50k deposit. They have to pay about £1k a month for the mortgage for nearly the rest of their lives, and these people only earn about average salary, about £25k p.a. if that. These people live and work in UK.
Link to comment
Share on other sites

A friend of mine at work, in a different department, told me that of the 30 or so people who work with her at a lower level, 4 bought property in Dubai. They kept telling her that she should do so as well. A typical example is paying a deposit of £50k and a £200k mortgage for a property there as an investment. The property is now not even worth the £50k deposit. They have to pay about £1k a month for the mortgage for nearly the rest of their lives, and these people only earn about average salary, about £25k p.a. if that. These people live and work in UK.

Strategic default it us then.

Surely at sub 50K some these apartments are worth somthing?

Link to comment
Share on other sites

  • 5 months later...

This is not the case there are many rich people they are buying their home in Dubai and some fo boolywood film stars are also buying big bunglow and they are investing thier money into the "Dubai". So, there is no harm if you are planing too buy apeoperty into the Dubai. This is not surprising that the pricing in dubai are increasing.

disussing and sharing information on building contactors UK.

Link to comment
Share on other sites

This is not the case there are many rich people they are buying their home in Dubai and some fo boolywood film stars are also buying big bunglow and they are investing thier money into the "Dubai". So, there is no harm if you are planing too buy apeoperty into the Dubai. This is not surprising that the pricing in dubai are increasing.

Didn't you just send me an email to say you wanted to get your money out of Nigeria and I could help you?

Link to comment
Share on other sites

This is not the case there are many rich people they are buying their home in Dubai and some fo boolywood film stars are also buying big bunglow and they are investing thier money into the "Dubai". So, there is no harm if you are planing too buy apeoperty into the Dubai. This is not surprising that the pricing in dubai are increasing.

disussing and sharing information on building contactors UK.

The last man at the party still wants to dance....too late mate the place is locked up, the lights are out and everyone has gone home..

Link to comment
Share on other sites

  • 1 month later...

Dude, there's no need for such a tone, you having problems at home?!

The building standards are crap - no questioning that. If you live here, it is a FACT that prices for rent/sale are still increasing, just a FACT, simple, and that's what I stated. Take it easy.

He just called you "Dude"!

Link to comment
Share on other sites

  • 1 year later...
  • 7 years later...
  • 3 months later...
  • 2 months later...

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
 Share

  • Recently Browsing   0 members

    No registered users viewing this page.





×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.