Regulatory changes welcomed
Measures are currently being implemented to control the emirate's soaring property prices but are they enough? Seven new laws will be put in place in an attempt to help regulate the sector, the Dubai Land Department recently announced.
According to Craig Plumb, head of research for the ME at global property consultant Jones Lang LaSalle, policymakers also need to focus on taking steps to make the market more transparent for budding home buyers.
With the UAE clearly on its way to a more regulated marketplace, industry professionals have welcomed the changes. At a time when prices have been soaring and an increase in demand is imminent, experts understand the need to monitor speculation and move towards a more mature market.
Meanwhile, in other news, the commercial sector has shown real progress in the first half of this year with a new study highlighting growth in demand. The UAE market topped the Royal Institution of Chartered Surveyors' Occupier Sentiment Index and came second in its Investment Sentiment Index. The organisation's chief economist highlighted that these numbers demonstrate that the "recovery story is gaining traction" in the UAE.
Another clear indicator of the commercial sector's success is the project for the largest commercial tower. The head of the Dubai Multi Commodities Centre invited people from around the globe to participate in the naming of this new tower, promising a gold reward for anyone who comes up with a name that "clicks" with the organisation.
Market Insight is aimed at examining the emirate's dynamic market and forecasting industry trends. For this week, it's clear that there are a lot of changes happening within the industry with new regulations. However, it is difficult to predict the impact of this without implementation but we'll be looking out for the best stories to explain to you the effect that has on the local market. Be sure to catch our next issue to find out more about the latest real estate developments that are just around the corner.