Dubai property prices are rising for the first time in six years, Morgan Stanley said in a research note, amid higher demand and a slowdown of project launches since 2017.
Citing research from consulting firm ValuStrat, it said there was a 1.2 percent month on month rise in residential values in April, the index’s highest monthly growth rate in seven years.
For the latest headlines, follow our Google News channel online or via the app.
“Demand for residential real estate has picked up faster than expected, amidst a wave of government reforms over the past 12 months, attractive mortgage rates, and a shift in demand patterns due to COVID-19,” Morgan Stanley said.
It upgraded Dubai-listed Emaar Development to ‘overweight’ and raised its price target by 37 percent to 3.7 dirhams.
Some developers see recovery taking longer.
“The market is slowly recovering from the effects of the COVID-19 pandemic and its impact on various industries, particularly travel and tourism. I still strongly believe that recovery will take at least 12-24 months,” Dubai's DAMAC Properties Chairman Hussain Sajwani said in a bourse filing.
DAMAC on Sunday reported a widening first-quarter loss of 189.6 million dirhams, versus a loss of 106.1 million dirhams a year ago.
Meanwhile, Union Properties, another listed Dubai developer, reported profit of 5.6 million dirhams for the quarter ending March 31, versus a loss of 121.9 million dirhams a year ago.
Coronavirus: Dubai property prices down 0.9 pct in third quarter, says central bank
Top Dubai property developer Emaar says net profit rises 8 pct in first quarter
Dubai property prices are falling to 2010 levels amid coronavirus crisis: S&P
Top Dubai property developer Emaar says net profit rises 8 pct in first quarterDubai’s largest property firm Emaar Properties reported an 8 percent rise in first-quarter net profit on Monday.Emaar made 657 million dirhams ($179 ... Economy
Emaar’s Reel Cinemas announces ‘aggressive’ expansion into Saudi ArabiaEmaar’s Reel Cinemas has announced an “aggressive” expansion into Saudi Arabia with plans to open 20 cinemas and children’s play areas over the next ... Entertainment
Dubai’s Emaar Properties to merge with Malls business amid COVID-19 economic falloutDubai’s Emaar Properties is merging with its Emaar Malls business as operators of retail malls in the Gulf region delay new mega-projects as a result ... Coronavirus
Coronavirus: Dubai property prices down 0.9 pct in third quarter, says central bankDubai property prices fell 0.9 percent year on year in the third quarter after they were little changed in the previous quarter, a UAE central bank ... Coronavirus
Dubai property developer DAMAC's shares surge on privatization planShares of Dubai’s DAMAC Properties surged more than 11 percent in early trade, its biggest percentage rise in over three months, after Reuters ... Financial Markets
Dubai property: Buying and renting villas skyrockets during coronavirus crisisInterest from buyers and renters in villas throughout Dubai skyrocketed throughout the emirate’s coronavirus lockdown, data compiled by UAE property ... Coronavirus
Dubai property prices are falling to 2010 levels amid coronavirus crisis: S&PThe widening coronavirus pandemic could see Dubai property prices falling to levels last seen 10 years ago, according to S&P Global Ratings.“We ... Economy
Dubai property group Limitless hires advisers to work on restructuring: DocumentDubai-based property developer Limitless told its creditors last week that it is looking to appoint legal and financial advisers to work on a ... Economy
Buffett’s Berkshire Hathaway moves into Dubai despite property downturnThe real estate affiliate of billionaire investor Warren Buffett’s Berkshire Hathaway Inc said on Sunday it will expand its brokerage operations ... Economy