Bayut.com is one of the leading Dubai property portals. It observes market movements, including sale and rental price fluctuations in the different localities of Dubai. The property analysts at Bayut.com observed that the realty market in fact started resurfacing from the beginning of 2012 and the trend line does not seem to level off even now. However, the portal shows its concerns over the risks related to ‘boom and bust’ cycle of Dubai’s realty market.
To regulate the realty sector and to curb speculations, Dubai has come forward to issue 7 new property laws, which await release. The Director General of Dubai Land Department said that the new laws will uphold the sector in sustaining current property boom and will also control the rhythm of the market. He further explained that the new legislation will also include Tanmaya real estate initiative and the related laws will aid the formation of a judicial committee to liquidate projects.
With this law coming into practice, the villas and apartments for rent in Dubai will also have its positive share because the laws related to landlord associations will be amended. Moreover, a bill to protect the investors in Dubai real estate is also in the pipeline.
Dubai is not in a state to face another property bust, so the new property laws would provide strong backing for the poised recovery of the sector. IMF (International Monetary Fund) also cautioned Dubai to have a watch over its real estate growth. Bayut.com is of the view that the formulation of new property laws is an outcome of the pressure from the stakeholders. The new legislation will come on the scene in a period of two years, so it advises the stakeholders in general and investors in particular to wait for some more time till the laws come into practice, so that their respective stakes and investments could be shielded further.