Abu Dhabi housing to Escalate Demands

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The emirate encounters a rise in demand for housing by 6% yearly with an additional demand of 15,208 units in 2014. Abu Dhabi housing to Escalate Demands

Abu Dhabi’s housing loss would go up to 51,000 units by the end of 2014. The immediate expanding emirate saw total housing stock getting 232,000 units at the end of 2013, a leading property advisory firm says.

In addition to other report, residential stock escalated by around 1,700 units in the first quarter of the year bringing the total stock to around 238,000 units.

Meanwhile, an estimated 9,000 housing units are estimated to come in the marketplace this 2014, to attain total housing supply to 241,000 in contrast to a demand of 290,000 housing units.

It estimates that Abu Dhabi’s demand for housing would reach 360,000 units in 2018, growing at 3% collective yearly increase rate, as development in financial system will pick up and population grow would continue increasing at 5.5% yearly.

The property recommended firm calculated a shortfall of 119,000 housing units in 2018, as the demand is projected to make 360,000 units.
Abu Dhabi’s real estate is to go through a robust demand over the short to medium term as the economic and population growth persists.

The exclusion of the rent cap in Abu Dhabi is probable to additional contribute to a rising trend in leasing, creating it more profitable investment in terms of returns.

Foreign possession of residential units are presently limited to high-end harbor improvements with the exception of Al Reef and Hydra. This restriction in Abu Dhabi’s residential market makes a chance for increasing reasonably priced housing within the emirate.

Mohamed Dekkak