If there was any property market whose boom was driven more by speculation than real market forces, that market was the Dubai property market, and that explained the glitz and unprecedented value appreciation that made the market a world property investment destination.
Abdul Rahman Kadri, the CEO of Lagos-based Ark Gold Properties, told our correspondent that the bubble in the Dubai property market which burst in 2008 was created chiefly by speculative buyers who came from almost all parts of the world.
However, Kadri, a property investor in the Dubai market, predicted that the market would see maturity when the horde of speculators gave way to genuine buyers and investors.
Ray Clancy, the editor, of Property Wire, an online property journal, agrees, pointing out however that when the residential property market crashed in 2008, everyone jumped to say “I told you so,” adding that with flipping and speculation reaching unprecedented levels in the emirate, the crash came as no surprise.
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“Now, developments in Dubai’s real estate market show that it is recovering well with more transparency, less speculation, prices rising and demand increasing. In short, it is doing much better than any other market,” Clancy noted.
According to him, this also should not be a surprise, explaining that the depth of the crash with some locations seeing property prices fall by up to 60 per cent was severe. The glitz disappeared almost overnight. Flashy launches ceased and major developers not just lost their gloss, but their finances to a downturn too.
One, and major developers lost their gloss and their finances to a downturn the most impressive developments have been in training and regulation. Dubai’s Land Department has an educational arm, the Dubai Real Estate Institute, and it has been working quietly and methodically to make sure that those working in the property industry are better qualified than ever before.
Graduates of its Certified International Property Specialist Programme, the first of its kind in the region, have just completed their studies. It was organised in conjunction with the National Association of Realtors (NAR) in the United States and the Association of the Middle East and North Africa Real Estate Society (MENARES).
The programme allows participants to obtain accredited real estate certification, allowing them to crossover into a network of real estate experts accredited around the world while interacting with leading figures in the sector to take advantage of lucrative opportunities found across the globe.
“Putting them in direct communication also enhances their credibility as they continue to exchange information and experiences for the advancement of the field. The continued success of the programme can be seen through this second session, especially evident with the overwhelming amount of requests by those expressing desire to obtain certification by international real estate experts,” said Mahmoud El-Burai, director of the Dubai Real Estate Institute.
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