Quote:
Originally Posted by Roshan
Rammah,
The figures quoted by me could be pessimistic values. Dubai at the moment is starving for office space and since the supply & demand curves have not intersected as yet you are looking at figures of 350 to 400 dhs psf.
Sometime, somewhere tha markets have to cool and mature. Dubai markets should not crash but will definitely correct. But when all the commercials come into the market, supply might exceed demand at which time rentals start coming down.
Investors just can't go as per the current rentals. They will have to take into account the correction in rentals when all the commercial bldgs come into the market.
OPUS from omniyat is selling between 2500 to 3000 dhs psf. Deeyar is not too far away with 2200 to 2400 dhs psf. The question is for how long with this go on. If investors buy whatever the developers are dumping in the market, then there could be trouble at the end of the road.
One needs to do their homework before investing. The best is to put all the values onto a mortgage calculator. I have invested in business bay and JLT and even if the markets correct by 50%, I should be able to pay my monthly EMI.
Regards
Roshan
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Of course pple should do their homework and due diligence before buying, and should afford whatever they r buying. However, I think that the prices in Dubai are far from their peak. Therefore, prices are still to go up. Compare prices with Singapore, HongKong, Tokyo, London, NY and if Dubai has plans to be the "City of the Future", then prices will reach if not exceed prices of those cities. Why not?
3000 AED per sqft is only £400 per sqft!
When things were getting launched last year at 1400AED per sqft, some people thought it's too high, and decided to hold on and how prices will shape up. What happened a year later? we are approaching 3000per sqft.
I hope we can revise this thread in Jan 09, and we'll be able to see if prices adjusted or just kept increasing. But if you have money to invest now, my advise is not to wait, cuz you'll regret it [IMO].
Rammah