To Tikku Brokers,
Introduction
Real estate in Dubai is a very extensive topic and it is a very large market indeed. This essay will explain the concept of market forces and show how it can be displayed on the market of Dubai, thereby providing a response to the research question, “To what extent do market forces determine the price of rented accommodation in Dubai?” One can identify large price differences between two similar houses, whilst keeping square feet and housing type relatively constant. Yet, the key factor that causes these price differentials is the concept of demand and supply, for reasons such as location. This report will analyze 3 specific cases including studio apartments, 2-3 bedroom apartments and 3-4 bedroom villas and generalize the factors that cause these price differentials. After recording this data, this report will conclude to the extent to which demand and supply comes into concept, thereby answering the research question in an analytical procedure. This report will analyze properties in various areas of Dubai and follow the assessment task directly.
The rental market in any place in the world is a unique business. To a certain extent, demand and supply have a large say in determining prices just like any product in the world. If there exists an oversupply of homes in a given area, rental prices will fall indefinitely. However, there are some limitations to the law of demand and supply in the rental market. Unlike manufactured commodities in which you can allocate your resources differently, you cannot move the excess amount of homes out of that area to keep prices stable. This is one of the unique features of demand and supply in the rental market. On the other hand, if there is...
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A few years later, the market shifted and people became more interested in detached homes than apartment homes. Once again, Go...
With the ratio still on a downward trend from 2012, construction of new apartments and condominiums is one of the fastest-growing segments in the construction industry, though slowdown is expected heading into 2021 as the economy continues to improve and home buying, in turn, will increase. (Apartment & Condominium Construction in the US: Market Research Report, 2016) With the trend for millennials to delay home ownership, landlords have some insulation to market fluctuations, but still need to be cognizant of anticipated increases in the rent/price ratio.
The housing market is very unique as unlike other goods and services, houses have permanence, it is a fixed location good causing the rules of supply and demand to be taken to new extremes. In the case of the Toronto housing market we can view in almost real time the role supply and demand play on he ever increasing house prices, additionally the fundamental economic issue of scarcity is made extremely apparent by the limited size of the city of Toronto.
Dubai, called by some as a dream in a desert; a gate way between the east and the west. Home to some of the world's tallest and buildings and to the only underwater hotel, Dubai may seem like the embodiment of magnificence, but beneath it's appearance of perfection there lies a dark secret. While Dubai may seem to be in a position of economic bliss, Dubai has been racking up billions of dollars in debt and there is no indication of it slowing down. Even though the United Arab Emirates are in an economic downturn, they still continue to spend vast amounts of money, a habit which will not prove well for the country in the future.
When prices increase, the quantity decrease (Graph 1) and new firms enter the market in order to make economic profits. However this does not mean the real estate agents or brokers earn more money. On the contrary, the prices they charge may increase, but the number of houses each sell do not change (Goolsbee, 2005, Online). From this it is evident that the price of products in the real estate market is not affected by the entry of new firms.
Like all types of real estate the location, size, and conditions or treatments within the condo make a difference on the sales price and the length of time the condo is on the market. An experienced
Eben Saleh, M. (2002). "The transformation of residential neighborhood: the emergence of new urbanism in Saudi Arabian culture." Building and Environment 37(5): 515-529.
The decision of Young to rent the condominium will provide advantages in terms of security deposit and rental payments for previous months because she did not face a significant financial commitment to pay for it. If she wants to buy the condominium, large amount of down payment needed to be paid by her. Monthly sales broker fees, closing costs, condominium fees, deed-transfer taxes and property taxes should be taken into account in the cost of a condominium fees. The rental fee is more cheaper compared to the purchase of a condominium. Young also a very professional person in investment banking after completing her studies in master. Thus, if she expects to pay at a higher price in the future, this will change the ability to buy and ability to pay the mortgage nowadays. Young consider to rents because it gives her chances to make a distribution and expand its
Kumar, B. assumed in an article that Dubai promotes itself as the commercial and economic focal point of the Gulf region which is obvious from the plans undertaken to develop open trade regions and manufacturing parks. Dubai is seen as a moderately liberal and international society with 80 % emigrant population and can count on as being one of the safest cities in the globe. The Government has a key role in starting and supporting tourism and with respect to the tourism policy of the government; tourism was positioned at the centre of the diversification program beside construction.
Marketing in a way that its competitors is the most important in obtaining sales factor. We can not say how many riders lose a sale to another vendor marketing exactly the same as it does. If you keep doing the same techniques of real estate marketing and again, you want the same results that will be achieved. What are the six P's of marketing real estate?
Quality of housing, as housing investment is one of the most important decisions for any households. Quality housing is housing that satisfies certain hum...
The living condition is closely related to the rent. If the government introduces Right to Adequate Housing as the minimum standard, the average living standard ...
“That which is from the ground tends to return to the ground” is a statement that was coined by Al – Hammad (2004) to raise attention to the fact that real estate has a characteristic of deteriorating over time and hence the need for pro-active maintenance. In general, maintenance
UAE consists of seven emirates : Abu Dhabi ,Dubai , Sharjah, Ajman, Fujairah , Ras Al Khaimah and Umm Al-Quwain which is a federal state. Sheikh Zayed is one of the foundations of the Union on the second of december 1971 , where the Sheikh Zayed converts Emirates of empty desert into a green paradise . Consists state emblem is a science that combines four colors red , white , green and black . National anthem is the anthem Emirates National , which echoes in every morning in most government and private institutions . Abu Dhabi is the capital of the United Arab Emirates Abu Dhabi is one of the most world cities sophisticated in terms of modern infrastructure fit its position as a hub economic and political to the United Arab Emirates are They combine its role as a destination for business and tourist destination from shopping in shopping malls Superior to swap in traditional markets as well as enjoy the miles of sand golden beaches to break in one of the public parks in the city and dine at five-star hotel to the safari distinctive and enjoyable , and famous Emirate and the largest in terms of area is Dubai . Arabic is the official language of all the people of the United Arab Emirates . System of government is a federal system known from time immemorial . The head of state , Sheikh Khalifa bin Zayed Al Nahyan , who is also Ruler of Abu Dhabi , who succeeded his father, Sheikh Zayed , the Minister is the Minister Sheikh Mohammed bin Rashid Al Maktoum . Emirates has an area of approximately 83,600 km 2 ( 116 ) and estimate the proportion of water in which 1.1 percent , also the population of the United Arab Emirates to a 8.264 million rate of a million that have been counted in 2011 before 3 years . The population density of t...