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FINANCIAL NEWS
Rental values rise in Dubai and Sharjah
27 Aug 2013
(MENAFN) A report by Cluttons, the global real estate company with a dedicated Middle East presence, reported on Monday that domestic demand of the residential and commercial sectors increased in Dubai and Sharjah in the Arab Spring, according to Arab News.
Rental values in Dubai raised up to 11.3 percent during the first half of the current year, while hit up to 7.1 percent rise in Sharjah, the report said.
“The resounding success of Dubai residential so far this year should not come as a surprise given the magnitude of the correction recorded during the bottom of the market; we are still far off the previous peak, when growth was far more unsustainable. The acceleration in residential capital values this year has been underpinned by robust levels of job creation and a rising population, rather than being fueled by ‘fly-buy” dealers, as was the case in the past. We are yet to see a definite solution on the matter, although this is less concerning than in 2008, given the increased number of end-users in the market,” said the head of Cluttons Middle East Steve Morgan.
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