Dubai house prices, already nearly 60 percent off their peak, are set to drop another 10 percent over the next two years as new units are released onto a market awash with supply, a Reuters poll shows. A property boom in Dubai collapsed at the end of 2008 when it was hit by the global[…]

The total value of real estate deals in Dubai plunged 65 percent in 2010 as new supply squeezed market prices, a new report has said. The number of deals fell by more than half during the period as lending in the emirate remained pinched, the latest data from Jones Lang LaSalle showed.

Residential market in Dubai will continue to experience a situation of oversupply with prices not expected to recover before 2012, Jones Lang LaSalle (JLL) said on Sunday.

In 2009, I wrote that The World project in Dubai might be in trouble due to the economic downturn. The ambitious development in the Gulf may have another problem on its plate. Reports came out yesterday stating that the islands shaped like countries are sinking back down into the water.

It exemplified the booming property market and ambition of Dubai’s entrepreneurs. But after the global financial crisis led to the collapse of the emirate’s home-building market, a unique development known as ‘The World’ is reportedly facing Armageddon.

Dubai: Residential property prices in Dubai are likely to recover by 2011 as the market detects continued signs of improved lending from 2009, which is expected to continue until 2011, said Memon Investments, a Dubai-based property developer and part of the international business conglomerate Shaikhani Group.

Dubai’s real-estate industry will remain under stress with occupancy levels dropping because of “massive new supply,” according to CB Richard Ellis Group Inc.

It exemplified the booming property market and ambition of Dubai’s entrepreneurs. But after the global financial crisis led to the collapse of the emirate’s home-building market, a unique development known as ‘The World’ is reportedly facing Armageddon.

The ‘globe’ effect is most impressive when spotted by satellite, but visitors to Dubai who scale the Burg Khalifa – the tallest building in the world – can also see the awe-inducing sight.

The outlook for 2011 is one of correction and consolidation for Sharjah’s real estate sector. The market should slowly start to pick up, though recovery is expected to be modest in the shorter term before gaining momentum, Global Arab Network reports according to OBG.