London based property adviser Mohammed Kashani-Akhavan said that property investors should have confidence in Dubai's future prosperity. He has such confidence that he took a full page advert out in leading newspaper Gulf News to make his point.
'Dubai is one of the best cities in the world for property investment in the long term. It is a great time to invest because the golden rule of successful property investment is to buy low when everybody else is selling,' he said.
He argues that the cancellation of many projects in Dubai will reduce the upcoming supply of property and ensure significant growth in the value of Dubai properties in the future.
Kashani-Akhavan, who has 27 years experience in property investment, added; 'Dubai's capable and committed leadership has managed to turn Dubai into one of the most important cities in the world and said that should give investors every confidence in Dubai's future prosperity'.
Peter Cooper, author of the book Opportunity Dubai, making a fortune in the Middle East, said there is a much better argument to be made for buying at depressed prices In Dubai than in the UK or even the US.
'Real estate price falls may already be fully priced into the market in the United Arab Emirates, while prices are still heading down in the UK. It is a feature of emerging markets that price downturns are swift,' he explained.
'More mature markets seem to fall in slow motion as buyers are more reluctant to cut prices, and banks seem to have more patience with mortgage payers in trouble. Certainly negotiated prices for UAE distressed sales looking an interesting opportunity for cash rich buyers,' he added.
A key consideration for property investors will be timescale. There are those who think a recovery in Dubai will be swift and others who think it will be several years for prices to rebound to levels seen before the property crash.
'This is a tough one. Oil prices could fall further in 2009 and the UAE economy lags oil price falls by six months or so. Could a fall in the US dollar attract back the UK and European buyers who have fled since the summer?' said Cooper.
But he concluded that the UAE has to be a good choice for the future.
