John Davis, Colliers’ Middle EAST CEO said during the opening of a new house price index in Dubai last Tuesday, “Dubai has observed incredible increase in the real estate sector over the previous year, with an increase in the number of foreign home purchasers and investors.”
Index indicates, prices rose by 42% between Q4 2007 and Q1 2008 alone. The largest increase was recorded among villas, where prices rose 85% between Q1 2007 and Q1 2008.
Property prices in Dubai surged by at least 78% over the last year, according to Colliers International.“Dubai has witnessed tremendous growth in the real estate sector over the last year, with an increase in the number of overseas homebuyers and investors,” said Colliers' Middle East CEO, John Davis, at the launch of a new house price index in Dubai on Tuesday.
According to the index, prices rose by 42% between Q4 2007 and Q1 2008 alone. The largest increase was recorded among villas, where prices rose 85% between Q1 2007 and Q1 2008.
Dubai, has benefited from a six-year real estate boom triggered by the introduction of foreign ownership rights in the emirate while an influx of expatriates has driven prices higher as developers have struggled to keep pace with demand for apartments and villas.
The UAE, home to about 8% of the world’s oil reserves, is seeking to diversify its economy by developing lavish real estate projects such as the ‘Palm’ islands being developed offshore and the vast theme park-based Dubailand.
