admon

Emails last week offering Jumeirah Golf Estates at 10-15% below the 9million launch prices.
Only 3 months ago, someone was proudly stating that their JGE home was now worth 15 million.

shakh your bootie

That's not an impending collapse, it's a happening collapse.....

same-same in UK. Chill out and enjoy the downturn, another 10 years and it'll swing up again.

admon

By the way, didn't you have a leaving party a few months ago?

Are you in ABD or have you just not changed your location?

W10

No, not same same.

UK property fundamentals are much stronger, and the market is not collapsing. Expect falls of around 10%

Dubai property market built on speculators and nothing else. Now they've gone, market = near collapse. Expect price falls to be starting at 50% next year

In many ways Dubai is in a much stronger position than the UK financially. The property market is not one of those ways...

girlabouttown

Anyone catch the letter in the National this morning entitled "desperate to sell property?"

Some daft cow claims they "loved Dubai so much" that they bought two apartments here so that they "could visit whenever we wanted".

Now they can't aford the next payment and want some help - they weren't greedy and don't want handouts. Honest.

NorthernLad

When one of the biggest property companies in the UAE can't pay one of their biggest contractors, things don't look too good.

It was touch and go for us buying a place earlier in the year, so relieved we didn't.

Confucius

Soon we'll be seeing that it will be cheaper to buy the house than to rent...
Villa price - AED300,000
Villa rental/year - AED250,000
Inshalla that day will come...Soon...

Blue Cat

Amlak have stopped lending so I would say that's the end of that then

dbxdude

The real speculators print nice brochures and have formed billion dollar corporates, but for the speculators or investors you talk about, most already put stacks of cash in swiss bank accounts – and now – they are now buying back at 50% reductions and getting 20% tax free yield

Im not sure why your so happy because this is whats really going to happen if it all out collapses.

People who bought into the Dubai dream stand to loose their life savings.
People who thought they would get finance now can not.
Money they were going to use that was in the US or Europe isn’t there anymore.
Developers are going to go bust and people who invested loose everything they invested.
Thousands of people in real-estate, construction, tourism, finance are going to loose their jobs/ house/ life savings.
All the people who always wanted to buy and who now have the opportunity because prices have reduced, can not as they cant get finance.

You do realize that this will impact the whole economy and thousands of people (maybe you?) might loose their jobs, and to go back to the UK and work is going to be difficult because that economy is in even worse shape.

shiva

i see no problem with any and all of the above happening

NorthernLad

Exactly....I've been out in Dubai and seen arrogant shits shouting (literally) in bars about how much money they are making...the good times are over, they are going to be back to earning their 5 gold stars in a drive through.

I am sure the repercussions will be felt, but I think a lot of people can ride out the storm, hopefully UAE will be a better place once this clears out these cowboys.

shiva

agree completely and cant wait for some sense of normality to return.

IMHO the only real "victims" will be those who were stupid enough to dive head first into an obvious bubble and over extend themselves. Whats more I firmly believe that to be true not just of the UAE but globally. The world went nuts borrowing against borrowing and quite frankly its no great surprise that it all went wrong.

bimcnorth

When all is said and done, shares at rock-bottom and the flippers have all fled the property market where do we stand?

Well, people still need stuff like housing, food, oil, clothes etc..So the cycle starts all over again. Perhaps not from square one but from square 3 instead of square 8..
UAE will most likely still be a haven of stability in a volatile region, a financial and trade hub that will attract people.
This scenario I personally wouldn´t mind, it would be like going back to 2003 which of course means that huge fortunes might be made..


FACT..Whenever it´s boom time people expect it to last forever, whenever it´s a crisis people feel that it will never end

IndieG

Things look even worse when one of the biggest developers can't even pay salaries

http://www.meed.com/news/2008/11/fue...s_on_time.html

dbxdude

Reality is 30% of the economy and 50% of the population.
I dont see how this can be a good thing. Every industry and most jobs will be affectted. Add to that a massive drop in tourism... I think everyone will be affected. Even someone who bought 1 house for thier family could find themselfs out of a job - say in retail - and loose their house.

The few wide boy realestate agents you hear in bards wont be affected, they will just go back to selling second hand cars in the UK.

This isnt a bad thing why? Gee i can tell you guys really wish missery on everyone, you must have been really jealous of other people during the boom times. And let me qualify, im not personaly going to be to badly affected but still i feel bad for other people not in my position.