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FINANCIAL NEWS
Prime home prices soar in Dubai
10 Sep 2013
(MENAFN) Prices of prime homes in Dubai soared 21.7 percent registering the world”s highest rate, The National reported.
Knight Frank, a property broker, said that the global average price of prime homes increased as prime home prices in Dubai surged 5 percent in the second quarter and 14.7 percent in the first half.
Prime property prices increased to around USD545 per square foot up from around USD435 per square foot last year.
Many experts are concerned that a bubble is forming that may lead to a similar crisis as the one back in 2007 and 2008, which caused global house prices to plunge.
On the other hand, Helen Tatham, the director of residential at Knight Frank’s Dubai office, Said: “This time around, however, the market is very different and we are seeing more end users buying property and using finance rather the widespread speculation which occurred in 2007 and 2008.”
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