Over the years, there have been a number of positive changes in Dubai’s real estate sector. One of the most important developments was undoubtedly the 2002 ruling that allowed foreign ownership of properties in freehold areas of Dubai. This was followed by the enactment of a law that made escrow accounts compulsory for those Dubai developers selling off-plan properties. These accounts provided significant security to buyers, instilling in them greater confidence to invest in Dubai real estate.

In consequence, Dubai property sector matured rapidly. Some signs of a healthy and mature real estate market are stability in property prices, increased transparency in real estate laws, protection of investor’s rights and greater competition among developers.

With all this being implemented, Dubai real estate sector was bound to attract a substantial amount of investment. Dubai has become well known all over the world for constantly introducing world class projects that offer unique opportunities, strong mass appeal, and high returns with a mixture of excitement and enthusiasm.

Efforts by the Government of Dubai to establish a regulatory framework through Real Estate Regulatory Authority and Dubai Land Authority that addresses company laws, financial laws and real estate laws has given both private and institutional investors greater confidence in investing in Dubai.

As always, a solid regulatory foundation is critical to encourage foreign investment anywhere. The rulers and Government of Dubai have always sought to promote a strong natural association between Dubai and luxury. As a result most real estate developments from hotels to resorts to apartments and villas have focused on the premium segment of high net worth individuals and families. Additionally, with the increased land and construction costs in Dubai, developers have chosen to develop projects at the luxury level to make them more economically viable.

Research has proved that there exists strong end-user and investor demand for lifestyle themed projects both locally and internationally. For instance, golf and waterfront projects have tremendous lifestyle appeal and consequently have become a significant part of Dubai’s development strategy. These luxury custom homes on the waterfront or in exclusive themed localities come fully landscaped providing such elements as resort style swimming pools, manicured gardens, outdoor seating areas and expansive patios for dining and entertaining. With a large number of villas already sold out, it has created a successful impact on those buyers who are looking for a unique property roposition.

Representing the wave of the future, resort homes provide residents with the experience of living in a first class resort all through the year. These homes have been designed by architects, interior designers and landscape planners from the hotel and resort industry. So the quality of finish and attention to detail in these resort villas could very well be compared to those found in first class hotels or resorts. To complete the overall experience, these villas come with a dedicated concierge service. It is these features that will distinguish resort homes from conventional housing.

Coldwell Banker is one of the oldest real estate firms in the world. The company was formed in 1906 in the USA and takes its name from the partnership of Colbert Coldwell and Benjamin Banker. Today it has an international presence in most of the world’s real estate hotspots. The firm’s commitment to customer service and professionalism continue to be the cornerstones of its business philosophy. We believe that our progress depends upon yours. Do contact us if you are interested in investing in the Dubai property market, buying or selling in the Dubai real estate market, or want to rent property in Dubai for the short or long term.

At Coldwell Banker, we know the importance of Home in one’s life. When it comes to Dubai homes listing, we don’t have any match. Whether you are looking homes for rent in Dubai or homes for sale in Dubai.

One is often stuck for leads when looking for buyers or sellers in a down market. But it is easy to overlook some of the most obvious sources, simply because we do not keep our eyes, ears and mind open. Consequently a number of opportunities can be lost. If you had not previously considered joining the local real estate investor’s association in your area, now would be a good time to do so. At least you will get a good sense of where the market is heading. This can alternatively also prove to be a useful outlet for networking with other investors. However the most overlooked source for getting property information is from other people, including former clients. So make it a point to contact them once in a while and find out how they are doing. Hopefully they will keep you in mind if they hear about anyone wanting to buy or Dubai property sell.

Sometimes changes take place in people’s lives that create a need to sell real estate assets. Quite often other people have exactly what you are looking for and have a need to sell just when you have a need to buy. Maybe they have too many properties in their inventory, or need to liquidate properties to free up funds for another business. It could also be that expected financing did not come through as planned. There could be a need to relocate to another part of the country, or they didn’t do their homework prior to purchasing and are in over their heads in mortgage debt or some legal crisis. Sometimes the reason for relocating could be very personal, such as a marriage breakup or failing health issues. Some of our best leads came from satisfied clients, and we did not even have to get involved in a bidding war like an auction.

The hardest part about buying properties from people you know is the price negotiations. Your first reaction is to be more than fair, but as a businessman your only concern should be about earning a profit. The investor is a grown person who is responsible for his own actions. You did not put them into their current situation- however you could assist them in correcting it, as long as it is profitable and makes sense to you. This relates to some investors in UAE property today.

If they state that they want to sell the property only to pay off the outstanding loan balances, ask them for the amount of the outstanding balances. If the numbers make sense for the intended use of the property, you can move forward with other the parts of the deal. However, if the payoff balances seem to be abnormally high, tell them that it is their problem that so much is owed against the property, not yours. Some people will make it a practice to borrow out all of the equity in a property, and then try to sell the property for just what is owed against it, leaving the next owner with a property with no equity, because it was purchased at full value. In this case you should find out the facts and then only paying what makes sense according to your intended use. This has happened to some investors of Dubai property.

People who use methods to purchase property under the pretext that they’ll buy the property at your price, but their terms often find themselves in a fix when later they want, or need, to sell but usually can’t without taking a major loss. They get all caught up in the excitement that they discovered a way to purchase a property with no money down, and perhaps even pulled money out up front, but neglected to realize that if everything did not go as planned, or ever considered reselling before sufficient equity was gained in the property, they owe every bit of what the property is worth, and perhaps even more. You should consider buying from them when they need to dump their inventory.

Coldwell Banker, UAE is one of the oldest and most experienced real estate firms in the region. The company’s origins date from 1906. Under the umbrella of Realogy Corporation, NJ the firm’s diversified but related business interests cover everything from real estate brokerage to relocation, feasibility studies, evaluation and market analysis to concierge and title services. So contact us today to see of how we can be of help to you. We can assist in buying or selling, renting or leasing of both commercial property Dubai and residential property. So whether you are looking for Dubai homes or Offices in Dubai, do give us a chance to serve you.

Invest and manage Dubai real estate with the region’s real estate leaders. Coldwell Banker helps you invest in Dubai properties and buy, sell and rent Dubai property. With a team of industry professionals Coldwell Banker caters to all your Dubai real estate needs.

One thing that is clear is that Dubai is certainly at the crossroads between success and failure. Its development model, in the opinion of many, has been questionable with too much efforts concentrated on just three elements- housing, tourism and convention centers. The second part of the problem regards the excessive development that has been done in each, especially hotels and housing. Owners will undoubtedly have their hands full just making sure to get full occupancy in each of these hotels. The sheer number of developments means that competition will ensue, and while the customer will gain, investors will have to wait a long time to recover their investment.

Dubai has gone through many crises in the last year. The real estate slowdown was followed by the loss of jobs, salary cuts and freezes on bonuses, increments and hiring. After the migrant workers and expatriates had left, it affected the whole economy right down to hotels, rentals and shopping. The Dubai World debt crisis further deepened the malaise. This has been followed by a credit crunch by the banks and free fall in the stock exchange. Now efforts are being made to revive the economy, with a loosening of credit control, landlords reducing rents and hotels reducing the room charges to ensure some level of occupancy. In the recently concluded Dubai Festival it was noted that stores were offering deeper discounts and more prize winning draws just to get a good level of business.

Excessive levels of development mean that there is no shortage of decent hotel accommodation, from furnished to unfurnished apartments for rent in Dubai, holiday villas for rent in Dubai for the short or long term. The hope is that with the opening of credit facilities, the construction and real estate sector will be revived. Already this sector has shown some movement, as some firms have merged and others have resumed operations with new work teams and management.

There is also news that two UAE-based developers, namely Bonyan International and Cayan Development have started repossessing units from defaulting customers after having given them grace periods of between six months to one year.  The delinquent customers had shown no signs of paying up. Meanwhile the recession was also affecting the continuity of the projects. The repossessing companies had gone through the entire process as stipulated by RERA (Real Estate Regulatory Agency) in order to repossess the delinquent units.

Such corrections are bound to bring a level of respectability for the law, as well as root out the unscrupulous investors. In the long run it will be good for the reputation of the emirate. Dubai Villas for Rent and Dubai Apartments for Rent continue to be offered at varying rates depending on the location and the types of amenities available.

While the real estate market has shown signs of stabilizing, with selling rates remaining stable for the first quarter 2010, the excess of 25,000 to 30,000 units in the residential sector will definitely bring the market down- or keep it from rising beyond a certain level. Office rents too will have to reduce to entice businesses to come and operate in Dubai. At one point there were 300 new businesses opening up every week, but this is no more the case now. Clearly there is much work to be done before Dubai can revive itself.

With team of Professional and Experienced Real Estate Agents in Dubai, We strives hard to meet your Dubai Property needs. Dubai Real Estate Brokers or Dubai Real Estate Agencies can contact us for the services that we can offer them. We have a dedicated team of property consultants in Dubai or listing agents in Dubai to cater your Dubai real estate needs.

Whatever the outcome of the Dubai World financial crisis, one thing is certain. Hotels in Dubai are going to have a tough time in the months, maybe even years ahead. It doesn’t take a psychic to see why. As economic activity has slowed down in the housing and financial sectors, it has also affected the other segments of the society. Many expatriates have been forced to leave following the termination of their employment contracts. Some have left behind a lot of unpaid bills, credit cards and keys in the ignition of their parked cars at the airport. It’s all part of life. One may argue that with the sub-prime mortgage crisis in the USA escalating out of proportion and engulfing the financial sector as well, it was only a matter of time before its effects were felt all over the world. And Dubai was invariably affected starting in mid 2008.


Following the downturn in the housing, construction and financial sectors, allied sectors like shopping, hotel and others have definitely felt the impact. In the glory days of the recent economic boom that culminated in June 2008, hotel occupancy rates in Dubai were almost 80 percent despite the high prices quoted. As business was brisk and there was a multitude of opportunities all over the emirate, this inconvenience was just worked into the equation as a part of the cost of doing business in the Middle East.


Now however, it is a distinctly different story. With the economic bubble having burst, the future suddenly does not look that rosy. Recent reports by a US based firm, Lodging Econometrics, found that the number of planned projects in the Middle East hotel industry declined by 17 percent over last year. Amazingly, this region has still not lost its appetite for taking risk, compared to a 21 percent decline seen across Europe.


But one really wonders whether the grandiose plans of the ruler and the Government of Dubai will really bear fruit and if so when. Dubai has clearly erred on the side of plenty and the excess capacity may force it to not only lower its rates but also keep them consistent and realistic for a long time to come. The present room rates at some hotels are still too high, as they are still living in a fool’s paradise instead of waking up to the reality of what has transpired in the last few months. Those that have indeed woken up and smelt the coffee stand to gain, and the sooner the rest of Dubai catches up, the better.


By some estimates, Dubai hotels have lowered their room rates between 25 to 30 percent, in a bid to shore up occupancy rates. This strategy has certainly worked, as for expatriates in search of a job who are without living quarters, finding affordable hotel accommodation is the only other alternative. To compete effectively, the average hotel in Dubai has to reduce its rates. Business is slow, so hotels in Dubai are not really filling up. One can easily see this if one compares occupancy rates at apartment hotels in Dubai or Dubai hotel bookings of last year as compared to this year. In fact reports show that Dubai hotels booking rates are in sharp decline and the industry is in a quandary as to what to do about this issue.

What lies ahead for Dubai’s property market? The answers are not known, and anybody’s guess is as good as the other. The present state of the property market and the financial sector- once the precursors of Dubai’s growth- is at best uncertain. Various opinions float around the skies of Dubai, depending upon the giver’s experience and perception. What is alarming is that the stock markets both in Dubai and AbuDhabi have experienced rapid declines in trading sessions last week. A pallor of gloom hovers over the city, where tall skyscrapers glisten in the desert sun. Alas, the gleam could be short lived.


In fact, many of the British and other expatriates who had invested in Dubai over the last few years in real estate have seen the value of their properties dwindle to at least half their original purchase price. And there are those who opine that given the current state of the market, the prices are still high and are expected to fall further. In fact the general consensus is that the property market will undergo a further downward correction of at least 30 percent before rebounding. It’s best to sit tight and wait if one can, since all this is expected to occur within the next six months or so. Those who can hold on to their investments will definitely stand to gain something. This is the opinion of the majority of Dubai property management dealers all across the emirate. So it really does not matter if you have invested in Dubai furnished apartments or Dubai holiday apartments or even Dubai hotel apartments, the general consensus is that you will gain, or at least have the chance to recover your investment if nothing better, once the correction has occurred. The same goes for schools in Dubai.


On the positive side, some real estate advisors and developers such as Colliers International Dubai have reported a rise in activity in respect of transactions occurring over all sorts of real estate deals in Dubai. In fact properties still open for foreign investment have seen an increase of 7 percent in investment over 2008. Though construction activity in Dubai is nowhere near its previous peak, builders are still completing some projects to meet delivery deadlines. On the whole it is estimated that occupancy rates for new projects in completion will not be more than 25 percent.


Sooner or later, Dubai will itself have to work its way out of the present crisis. Harping on the debt liabilities of Dubai World will die down soon enough once the company presents its new plan to the creditors meeting this week. That settled, the stock markets should recover forthwith and with it some investor confidence will return.


The remaining problem, analysts wonder, is whether this crisis is just the tip of the iceberg. The answer is that Dubai has enough foreign reserves to withstand the present crisis if need be. Being the world’s sixth largest holder of foreign exchange reserves, as well as having sizeable investments all across the developed world, Dubai as an emirate and even Dubai World as an entity have the ability to withstand and recover from the present scenario. All the expatriates have certainly not left the emirate, as evidenced by those being seen in the supermarkets and their kids in Dubai schools and some still have faith and hope that Dubai will rise to its former glory once again. We can only wait and see.

The fate of Dubai, it seems, is in the hands of the gods. In a world where perceptions matter more than reality, Dubai has been hit hard and heavy by the present financial crisis. Ever since the news of Dubai World’s liability hit our screens, our lives have never been the same. The news of Dubai World’s US$60 billion debt made headlines all across the globe, and the world waited with bated breath about what would happen next.


Given that Dubai has the world’s sixth largest foreign exchange reserves it would be wise not to worry. Dubai can pick itself up from any financial mess without more than a shrug, and that’s a fact. Therefore the Western nations are wrong to think that Dubai or the UAE is on the brink of another financial disaster. Far from it, the current scenario presents many opportunities to pick up properties at bargain prices.


Life in Dubai has certainly been affected by the downturn in the economy. On the wings of this storm, many expatriates in the housing and finance sectors have been forced to leave Dubai. Attendance in many Dubai schools has dropped, with the outflow of expatriates. The loss has been felt acutely, prompting some schools in Dubai to even offer schemes where parents can pay fees for their children in easy installments.


Even Dubai property management experts seem nonplussed. But even in the face of these realities, there are profits to be made. Some of the cash hungry investors are keen to relinquish their holdings in the property sector and are eagerly looking for buyers for Dubai apartments and Dubai holiday apartments. Even the owners of some Dubai hotels and apartments have resorted to offering their rooms on discount, depending on how long you would want to rent it for. The longer the stay, the more the discount- and free breakfast is usually included.


The latest news is that the fear of Dubai World defaulting has been averted. There is a meeting on the cards with its creditors next week, at which it will be proposed to restructure US$26 billion of its repayments for the next six months. With that done, Dubai World will have to gear itself up to match its liabilities with its assets, may be divesting some of its properties and holdings the world over. That may be likely to cause a shakeup in some part of the Western world. Quite well deserved it will be too, considering all the hue and cry that the West has raised over this issue.


Back in Dubai, there are still a number of things that can be done before Dubai can truly bounce back for the long term. The three year residence visa, which had drawn many people into investing in Dubai rent, has been replaced by a six monthly multiple entry visa, which is not only more expensive but also involves a lot of tedious paperwork. This sends negative signals to potential investors.


If the Government offers incentives to companies to establish shops in the UAE, commercial activity will get a boost, and in turn create job opportunities, increase consumer spending and multiply housing needs. Similarly financial institutions and trading companies add to the flow and circulation of wealth in an economy. But more than ever, clear and transparent regulations will ensure that both buyers and sellers are protected at all times.