Buy Abroad News

14 Dec 09

Some Of The Feel Good Factor Returns To The Dubai Property Market

News that the Abu Dhabi government will provide significant funding to help support the looming debts of Dubai World has been greeted in the Dubai property world with cautious optimism.

There is no doubt that this is significantly better news for the property market in Dubai than we have had over the last two weeks. However this should not be interpreted as Dubai’s property market being back on track. Its largest developer Nakheel still faces an uphill battle convincing investors to continue to show faith in the company and its projects, but this news will certainly help.

A knock-on effect has been a bounce in share prices in Europe as the market reacts to the positive move from the Abu Dhabi government.

Mike Hammond a Dubai resident said “ people here are still recovering from the news of the last couple of weeks and the spectre of Dubai not being able to pay its bills. This news will certainly perk up the sluggish property sector and give some of the ex pats living here, a little comfort”.

John Reilly of buyabroad.com was less bullish and said “I would still be cautious about diving in to the market now, unless, you are taking a long term view and are happy to hold on to your property for several years. The market still remains very unsettled and buying a property in Dubai at the moment is very much for the brave”.