With Dubai Expo 2020 expected to bring massive business opportunities and economic growth to the emirate, recently it was predicted by the experts that the Expo will drive the much-needed real estate growth in the country, according to media reports. Currently, the real estate prices in Dubai are yet to reach the peak pre-pandemic prices observed in 2014, but with Expo 2020’s positive effect, the changes are expected to reflect in the fourth quarter of 2021.
Zhann Jochinke, chief operating officer of Property Monitor mentioned that the recovery of Dubai’s property market continues as prices rose for the eleventh month in a row, even though the pace of recovery was slow. In September 2021, prices for real estate in the emirate rose by 1.2 percent, touching Dh968 per sqft.
Jochinke told the media, “We are now 19 per cent away from the peak of the previous market cycle. Should the recovery slow to smaller and sustainable monthly price increases, there is a greater likelihood of the recovery lasting longer and the possibility of hitting a new market peak in the current cycle.”
Even though the real estate prices have recovered steadily, Dubai still offers one of the most affordable real estate when compared to other major cities of the world. This is primarily due to a persistent decline in rates over the years.
The latest data by the International Monetary Fund (IMF) showed that property prices in the UAE dropped around four percent in 2020. But the recovery in the real estate sector is steadily growing as new Covid-19 cases are dropping around 100 per day, which, in turn, is boosting buyers’ confidence.