Dubai Consumer Mirror

Thursday, March 09, 2006

The 7 deadly sins of Dubai's real-estate market

Incompetence
"The agent is sleeping now, call later"


Greed
"Rent for this 2br apartment is Dh 120k, payment in 1 cheque, plus 5% security deposit, 5% commission, 5% cheque guarantee, 5% advance municipality fee ...etc"

Racism
"What is your nationality?"
"We don't want (arab, local, indian..etc) tenants. Only US, EUR, SAF, AUS"

Arrogance
"I do have a 2br apartment, but its too expensive for you"

Stupidity
"I do have a 2br apartment, but it is not available"

Inhumanity
"If you can't afford the 100% increase, vacate the premises by the end of the week"

Deception
"But sir, an annex to a villa is considered an apartment"

9 Comments:

  • Moryarti,

    I need a favor. Can you provide me with Dubai real estate websites that cater to GCC citizens (i.e. not freehold properties). I would like to check out residential land/Villa prices in Dubai.

    Also, if you have any insights into the pros and cons of freehold vs. buying property outright like a local. In other words, do I have any advantage in the Dubai real estate market as a GCC citizen?

    Thanks a million!

    By Blogger jambino, at March 9, 2006 at 9:29 PM  

  • Jeepers! I just converted Dh to KD. You're paying KD 800 a month for a two bedroom apartment? Are the fittings made of gold?

    I heard that rents in Dubai are going through the roof, but this is madness!

    By Blogger jambino, at March 9, 2006 at 9:42 PM  

  • Hala Jambino .. A fellow blogger did a really interesting and quiet realistic spreadsheet on rents in Dubai. Its worth looking at.

    As for privileges for being a GCC citizen. I know there isn't anything called a 100% freehold for exapts. It is a renewable 99 years lease. As for GCC exapts, its 999 years. I also strongly suggest you talk to someone who has been through the entire process. Some realestate companies can be very vague when it comes to regulations, payments ..etc

    And as for the 120k, i am not paying that much (thank god) but i know people who are .. it is madness

    By Blogger moryarti, at March 9, 2006 at 10:16 PM  

  • I think that Point #2 titled "Greed" could also be defined as "Theft" when most of these things should normally be paid out of the rental amount.

    By Blogger nzm, at March 9, 2006 at 11:21 PM  

  • It's eerily reminiscent of the "No dogs, no blacks, no Irish" signs that used to be put outside English rented accommodation and B&Bs.

    By Blogger secretdubai, at March 10, 2006 at 12:22 AM  

  • Before I moved here, I was warned about the real estate market.

    When I first started searching for an apartment, I really had a hard time... Some real estate agents were just plain rude, others were telling me they just had no apartments available (so why are they real estate agents??), some were showing me apartments worth Dhs 10,000 more than the exact same apartment I saw the following day (with a different real estate agent)...

    And now, 10 or so months after I first moved into my apartment, I got my 15% rent increase (almost Dhs 9000). Wonderful!

    By Blogger Dubai Sunshine, at March 10, 2006 at 9:39 PM  

  • well check this out .. one real estate guys i called once, called me back today to tell me about this "great deal" he has on a low rent flat.

    The catch is that he is asking for 15% commission in return ..

    By Blogger moryarti, at March 11, 2006 at 12:48 AM  

  • i read this post half-asleep and mis-read incompetence as impotence...
    anyway, just a random thought, what would we all do if we were landlords and not tenants?

    By Blogger शक्ती, at March 13, 2006 at 8:20 AM  

  • actually all the 7 deadly sins can be encompassed in one
    'GREED'

    pure and simple.

    landlords, real estate agents et al have now got the 'taste of money'. it's an overwhelming, completely brainwashing addiction. and they're helpless..

    oh and they hide behind the veneer of ' free market policies'

    By Blogger hannibal, at March 14, 2006 at 4:27 PM  

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