Corporate foreign exchange news

Foreign exchange news: Dubai property market 'frozen'

Thursday, 03 December 2009 09:15:21 GMT

Published by Zeb Bham
The Dubai property market will be "frozen with uncertainty" in the short term as investors take stock of the emirate's debt troubles, according to one real estate group.
According to Dan Johnson, director of www.themovechannel.com, falling property prices are to be expected while uncertainty about the state's ability to pay its debts remain.
The market turbulence witnessed at the end of last week after the announcement that Dubai World was seeking extensions to its debt payments have subsided slightly this week as the investment group declared that it had entered "productive" negotiations with its creditors.
"This is a major shock event for the emirate and it is unavoidable that it is going to have a knock-on consequence in the market there as a whole," said Mr Johnson, although he added that all developers operating in the need not be "tarnished with the same brush".
According to Colliers International, average house prices in Dubai appreciated seven per cent in the third quarter of the year, the first rise witnessed since Q3 2008.
As well as choosing the right time to enter a market, searching for the best exchange rates on currency may be an important factor guiding foreign property investors' strategies.
For more information on purchasing currency for regular or one-off payments, visit our Personal FX siteADNFCR-2522-ID-19492518-ADNFCR
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