Insights
Discover the latest market insights and hear our expert opinion
Real estate market conditions remained similar to the previous quarter as prices and rents continue to soften. However, price declines have brought properties within the reach of many, with transaction volumes increasing and tenants choosing to upgrade to better locations and larger units.
What has happened Responding swiftly to the cut in interest rates by the US Federal Reserve, the UAE central bank followed suit in September this year with a reduction of 25 basis points to 2.25%. This is far from a historic low: interest rates in the UAE averaged 1.43% from 2007 until 2019, reaching an all-time high of 4.75% in […]
Cavendish Maxwell’s first Saudi Arabia Property Market Report for 2019 covers key data and overviews into the residential, retail, office and industrial, and hospitality sectors.
Short-term rental accommodation, or holiday homes, have been a hot topic of discussion over the past couple of weeks, first because of Emaar Properties’ entry into the space with its short-term rentals platform Ease by Emaar, followed by the developer banning such stays in its Downtown Dubai community with effect from September 19. Apart from the fact that the move […]
We’ve been listening to news of an increasing number of stores announcing closures, citing unviable trading conditions in the face of heated competition from e-commerce and changing preferences of a new demographic. The latest retail giant to report trouble is Forever 21, who as of last week was preparing for a potential Chapter 11 bankruptcy filing. The ramifications of these […]
Business valuation has always relied on the triangulation between three different methodologies: discounted cashflow (DCF), comparable analysis, and some form of dividend valuation approach.
Following the oil price decline of 2014, Bahrain has undertaken several reforms and diversification efforts to return to fiscal stability. Against this backdrop, our first Bahrain Property Market Report for 2018-2019 covers key data and overviews into the residential, retail, office and industrial, and hospitality sectors.
The importance of forecasts Every well-planned real estate investment decision is underpinned by a series of market and site-specific forecasts. For a construction project, the most important are almost inevitably the projected sales price and schedule, and construction costs, whilst for an investment, it is future rents, eventual sales price, yields, and most probably, financial variables such as interest rates. […]
Sunil Parmar, Associate Partner of the Project and Building Consultancy department at Cavendish Maxwell, explains the common yet significant risks associated with Reinstatement Cost Assessments (RCAs), otherwise known as insurance valuations for properties.
Real estate market conditions remained challenging in Q2 2019, with prices continuing to decline, albeit at a slower pace in some communities. Supply remains the primary driver for price declines, and developers continue to offer attractive payment options with the aim of turning tenants into owner-occupiers.
Real estate markets and demographics What drives real estate prices – sheer numbers or economic weight? Intuitively, all other things being equal, consistently higher rates of growth of resident population in a region or country will drive up real estate prices by comparison to its neighbours and competitors. The IMF once even advanced a rule that a 0.25% rise in […]
Cavendish Maxwell has sought to improve investor understanding of returns in the UAE market for international investors by presenting them in local currencies. The resultant Currency Adjusted Real Estate indices enable instantaneous comparison of returns.