Sunday, August 06, 2006

Low cost housing availability in Dubai

The market for studio and one-bedroom apartments in the range of Dh25,000-Dh45,000 per year simply does not exist, according to a statement by Better Homes, one of the city’s leading real estate agencies. The company said it was swamped with accommodation requests for what is practically impossible to find in today’s Dubai market. Approximately two-thirds of calls received by Better Homes are from customers looking for low-cost studios or one-bedroom apartments. The severe market shortage has left many clients infuriated with the lack of available property in the city.

High rents have dominated the Dubai market for nearly four years, now taking up the lion’s share of residents’ salaries, in some cases nearly 70 per cent. Even existing budget accommodation in International City has seen dramatic rent rises. Initial rental estimates for a studio apartment were Dh19,000 but the market price sees them nearer Dh40,000. People earning up to Dh10,000 per month are the most likely to be hit the hardest by this shortage.

Completion of studios and one-bedroom apartments in new developments such as Jumeirah Beach Residence, International City and Discovery Gardens by the first quarter of 2007 is expected to take some of the pressure off from finding accommodation for bachelors in Dubai.

1 comment:

dubai property said...

Well, really nice article and I am impressed with the way you have explained the things. Surely, better home is the leader of the real estate market at this time.