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Mazaya Monthly Real Estate Report -
Week 1 - October 2016
The report highlighted the positive
social impact of the housing projects
being
increasingly
implemented
by the region’s governments for
their citizens. However, according
to the report, the inclusion of these
residential units within the lists
of supplied property and defining
demand rates and prices accordingly
would lead to incorrect indicators
and data that might impinge on future
plans and consequently might create
negative results in terms of investment
returns and market overall stability.
The report concluded that providing
residential units is no longer the only
investment incentive, as stable annual
returns are becoming a clear favourite
with investors. In addition, the decline in
rental prices region-wide is still merely
self-correcting, as the prices have not
yet edged down toward their real levels.
Therefore,
multiple
market-oriented
measurement parameters have to
be developed in order to define real
rental and sale prices, said the report.
Maximising real estate sale incentives
has become largely dependent on returns
indicators, owing to the availability
of various investment options at
the local, regional and global levels,
which makes real estate investments
available for all nationalities worldwide.
Recorded dates showed Dubai apartment
sales prices edging down to 12 per
cent on average, with luxurious units
seeing a considerable price plummet.
Average priced apartments exhibited
more flexibility with the market variables,
according to the report, with apartment
rentals recording a 2 per cent decrease
and office rentals maintaining the
current balanced prevailing rates.
In Abu Dhabi, the market is witnessing
oversupply, while almost all the rental
prices
remain
unchanged.
Some
units located outside the capital
have recorded a fall in rental prices.