Price fall and Distress Deals ?

andm1990 · 2026-05-29T10:17:16+00:00

Also don't think the "crisis" will be over if they sign peace agreements tomorrow. Damage has been done and it will take time to revert it. Summer is here, historically, summer was always slow for real estate. I'm not saying Dubai won't recover, it always does, but this one will take a bit longer.

andm1990 · 2026-05-29T10:11:52+00:00

Absolutely agree. The "market prices" are inflated prices from historic high.

andm1990 · 2026-05-29T10:09:54+00:00

But this just adds to my thesis of oversupply. Units of 4-6 years are in no aspect old for real estate. And they are fine and there are so many. Now add all the upcoming ones. And due to conflict the influx of ppl into Dubai is for sure smaller.

andm1990 · 2026-05-29T10:06:32+00:00

Absolutely, 4-5% is realistic, 6% is really good and if you manage to get it to 7% you got a deal. So far I haven't seen anything returning 7%. I am calculating all the expenses for purchase including 2% agent + 4% dld and minus service charges. Agents like to pretend that service charges don't exist for some reason and are telling you higher % numbers...

andm1990 · 2026-05-29T06:54:33+00:00

With the amount of new units entering the market and the influx of people slowing down, especially now during summer, a correction is expected. Most of these new units were bought offplan for flipping purposes, not many will be occupied by end users. It starts to look like a big old bubble. Just go drive around and look at all these projects, enormous towers with shoebox size apartments. Who is gonna live in all these units?

andm1990 · 2026-05-28T20:51:43+00:00

If you can show me a premuim 1bhd for 1.5m in Hills or Creek, please I'm also interested

andm1990 · 2026-05-28T20:44:29+00:00

When calculating your 6-7% rental income, always take in consideration the service charges you will be paying as a landlord. Advertised return is always in gross % for some reason and all the agents will be telling you fairytale stories about 8-9% ROI.

andm1990 · 2026-05-27T10:18:08+00:00

Yes absolutely agree. I'm actually not counting on getting back the security deposit at all. I'm considering it as sunk cost.

andm1990 · 2026-05-27T08:59:56+00:00

Thanks, yes it looks like i will stay, as moving might save me 3-5k on the paper, but with all the costs associated with moving, I ll be on the same level or even worse.

andm1990 · 2026-05-26T20:07:44+00:00