Dubai ranked 49th and Abu Dhabi 53rd in a transparency index of 102 international real estate markets. This was evaluated based on which estate could be bought, sold or valued.
Meanwhile, Dubai and Abu Dhabi retained their places as the top two markets in the Middle East and North Africa. Dubai placed 47th while Abu Dhabi came 52nd out of 97 when the survey was conducted in 2012.
The evaluation comes despite that Dubai Land Department putting forward a series of measures aspired at developing the legislative and regulatory environment in a challenge to prevent another real estate bubble. These include a repetition of property transfer fees last year, the declaration of integrated real estate contracts and a move by the Central Bank to start loan to value ratios on mortgages.
The report observed that Abu Dhabi had a more regulated planning scheme than Dubai and the value of real estate was higher than Dubai in numerous sectors, strengthening Abu Dhabi’s position as the second most transparent market in the Mena region. Nonetheless, the report found that there had been inadequately little improvement to a different place in the region.
The Middle East and North Africa continues one of the least transparent regions in the world. Following encouraging signs of development in transparency prior to the international financial crisis, the region has not maintained momentum. As there is growing acknowledgement across Mena of the substance of enhancing real estate transparency, in most cases this has been unsuccessful to convert into firm action.