Saturday, July 04, 2009

Sherwoods expects stability of property prices in Dubai

Sherwoods Independent Property Consultants (SIPC), the leading real estate consultancy, has mentioned that there has been a steady shift in property prices in Dubai.

The prices are moving towards more reasonable levels, as the market enters a new phase that will help the transition into recovery, Sherwoods pointed out.

Sherwoods further hopes to see definite signs of growth in terms of property prices and real estate investments, during the fourth quarter of 2009, while the year 2010 is hoped to be a year of stabilization, with new direction for the real estate sector.

According to the consultancy, the excellent performance by the property sector, amid the global economic downturn could be due to the decision by Dubai to enhance infrastructure development in the emirate.

Sherwoods appreciated the fact that major industry players too, quickly adapted themselves to the dramatic changes in the market, and urged them to focus on the positive aspects of the global recession.

The Managing Director of SIPC, Iseeb Rehman, mentioned that today's prices are conducive for long-term investment and will fetch good returns in the long-term. Hence, he advises that people should not think about short-term investments at this point of time.

Sherwoods further pointed out that Dubai property sector has been able to remain in comparatively better condition even during the peak of economic downturn during the first half of 2009, mainly due to lesser number of speculators in the market, which is, a major positive development resulting from the downturn.

Sherwoods also mentioned that the recession gave Dubai the opportunity to consolidate its real estate regulations and legal frameworks, while also maintaining equilibrium in the demand and supply levels of the market.

Sherwoods appreciated Dubai's commitment towards aggressively pursuing major infrastructure projects such as Dubai Metro, despite the global economic crunches, which are vital steps taken by Dubai to sustain international interest and attention on Dubai.

The initiatives taken by RERA to protect Dubai property market, is considered "extremely positive", Sherwoods said, and noted that there is a lot of work waiting ahead.

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