Realty Price Bubble Risk Lowest In Dubai
Dubai’s property sector is the only market with the lowest price bubble risk among 25 leading global cities, according to a new survey conducted by a leading Swiss multinational investment bank. Dubai’s real estate sector is an undervalued market, and the only one to be classified in a lower risk category than it was last year among the 25 global cities surveyed, the UBS Global Real Estate Bubble Index 2021, a yearly study by UBS Global Wealth Management’s Chief Investment Office, shows. The survey indicates that the bubble risk has on average increased during the last year, and has the potential severity of a price correction in many of the cities tracked by the index. Frankfurt, Toronto, and Hong Kong exhibit the most elevated risk levels on housing markets. In contrast. However, a housing market recovery is likely to gain pace. On average, house price growth in the cities analysed has accelerated to six per cent in inflation-adjusted terms in the last four quarters, the highest increase since 2014. The UBS report further said risk is also elevated in Munich and Zurich; Vancouver and Stockholm have both reentered the bubble risk zone. Amsterdam and Paris complete the list of cities with bubble risk. In fact, the study noted that growth of outstanding mortgages has accelerated almost everywhere in the last quarters, and debt-to-income ratios have risen.
Tags : INTERNATIONAL housing market Dubai real estate Lowest Price Market Recovery Bubble Risk Zone