Monday, July 21, 2008

Residential property prices in Dubai may slow down in 2010

According to realty industry analysts, the residential property prices in Dubai are likely to continue its upward trend till 2010, until the demand-supply imbalance gets stabilized.

The Managing Director of Al Mal Capital Research, Robert McKinnon, said that the prices are likely to moderate by next year, although not substantially. With continued delays that plague the industry, one cannot expect a supply-demand balance until 2010.

Flurries of predictions have been witnessed during recent days regarding the supply-demand situation in Dubai, particularly with the major bulk of real estate units set to hit the property market.

As per the real estate price index in Dubai, an appreciation of 40.8 percent is seen in the residential sector each year. The prices in commercial property sector have risen by 42.7 percent during the same period.

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