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Price of any product depends on supply and demand. Now, let us analyze the situation
1. In Dubai, demand for Real Estate is from domestic market as well as from International Market. In fact, the international market has kept the demand for real estate quite high in Dubai. A lot of rich people from outside world own the real estate in Palm Beach, Dubai
2. Due to low oil prices, domestic economy will hurt to some extent but on the contrary, international market or foreign countries will be benefitted. So, the income level of producer/manufacturer/ consumer in other countries who imports oil will go up or at least remain same.
3. Thirdly, Dubai economy is fully diversified and not dependent on oil.
4. Finally, (a) Dubai has a strong stable Govt. (b) a fully developed Aviation Hub and Manufacturing Hub in Middle-east, (c) Emerging as an Education and Health facility Hub.
So, based on above perspective, demand for Real estate in Dubai will remain almost same.
I think crude oil price effect all business matter
Thanks
Yes it is , why
Low Oil price ------> Governmental Budget Disability ------> Disability or Sub-Disability on Governmental employees Salaries Payment -----> General Market will be affected due to Disability in cash Flow -----> Private Sector will be affected ------> Many people and employees will lost their jobs and works ------> People will directing their Money toward (Food and essential and - or necessary requirements -----> Real Estate Will be affected and turned into lazy Market .
Regards
i fully agree with the answers been added by EXPERTS..................Thanks.
