28 Apr 2011

Renting Condos and Apartments in Dubai no longer costs a fortune!

No Comments Dubai Properties, Property Renting

During the late 1990s and early 2000s, Dubai real estate emerged as UAE’s diamond mine and just about every major investment company around the globe wanted to invest in it. For most of the United Arab Emirates realtors, they had hit a jackpot. Indeed, the property value in Dubai, among other places across the UAE sky rocketed and for most of the local investors, it was raining dollars. The situation in Dubai city in particular was no different than what had previously been witnessed by the US cities like Orlando and Las Vegas before they became such major entertainment centers of the North America. For Dubai however, things did not turn out all that well unfortunately and before the locals could fully reap the benefits out of their diamond mine, real estate lost its value.

Several elements lead to this loss in property value in Dubai. Over supply and the local government’s decision to fund the major real estate projects of the city proved to be lethal. While so many years later, it is still is an unsettling problem for Dubai property owners but for others, the situation is not all that grim. The city, which had previously become a no-no for small businessmen, who just could not afford rent in Dubai and were forced to relocated, began moving back in. This time around, not only these middleclass people afford Dubai rent but also can purchase luxurious condos and apartments in the heart of United Arab Emirates.

Much to the despair of the local owners, the prices of rent in Dubai have dwindled consistently over the years. Landlords have had had times finding suitable renters in Dubai who, for the moment, have been weary of spending anything in Dubai real estate. This is not a smart decision on their part. The prices of residential property like condos have suffered a drop of 50.04 % in Dubai, making such luxurious, ultra modern apartments much cheaper than those in the US. This perhaps is the only time when mediocre class can not only find very cheap condos and apartments on rent in Dubai but also purchase them without even costing a fortune!

written by
Samra Zulfiqar is the Communication Manager at Bayut.com. You can also find and follow her on Google+.
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