There Are Many Investment Opportunities Available To People In Dubai

Category: Finance, Real Estate.

The growth of the Real Estate market in Dubai is protected from whatever fluctuations taking place in oil prices based on short and medium term.

The value of some of the Real Estate projects in GCC, and Iraq has, Iran already crossed$ 750 billion. In fact, it is estimated that higher prices will only spur on the growth to higher speeds. Nearly 33% of this is concentrated in the United Arab Emirates with Dubai contributing the maximum. According to expert estimates this trend will continue despite the fact that the oil prices are expected to fall in the short and medium term. This figure is higher than the combined GDP in the same region, which is lower than$ 700 billion. One key thing to note is that so far the growth of Dubai has been consistently defying all analysts.

Though such growth has never been sustainable before no one is able to explain why it continues to thrive in Dubai. Since the past 5 years all sorts of experts have been saying that it is about time the Real Estate market in Dubai stopped being so profitable but so far the bubble has not burst. The GCC has the 17th largest economy in the world comprising of 500, 000 high income earners and a GDP of$ 525 billion. This volume is believed to boost the Real Estate and construction sector in Dubai. The total � trillion dollar economy creates more than$ 500 billion in revenue that is used for investment. With a growth rate of 25% per year the UAE GDP is expected to reach anywhere from Dh 500- 900 billion by the year 201The UAE has already surpassed Egypt as the 2nd largest economy in the Arab countries. The projects in UAE total at around$ 225 billion with Dubai holding nearly$ 125 billion.

It is now second to Saudi Arabia which is going through its own explosive growth period. The population of Dubai is also expected to go from the current 1 million to 4 million by the year 2017 and by 2020 it may exceed 5 million. The government has already spent$ 5 working on the road network covering 9, 600 kilometers. This growth is expected to put a great strain on the infrastructure. Dubai has always been the most popular place in the UAE because of its visitor friendly policies. In the past 2 years other emirates have also noticed the profitability from Real Estate development and they are also beginning to contribute to the growth of the region. There are many investment opportunities available to people in Dubai.

Because of the heavy investment in the tourism, infrastructure has further encouraged the growth of the Real Estate market. In fact, Abu Dhabi has all the potential requirements for avoiding the issues that are threatening to hinder the growth of Real Estate market in Dubai. The increase in the Abu Dhabi population has increased the cost of rentals there. These issues include shortage of man power and large scale construction projects that take too long to complete.