Dubai as the heart of the United Arab Emirates has become one of the luxury destinations for the wealthiest people of the world. Luxury mansions, Penthouses and Towers, all are making Dubai a beautiful luxury destination for wealthy people.
COVID19 lockdown did a big damage to the global economy and the primary signs of economic recession shined. Yemen militants threatening to attack Dubai become another risk for investors. Iranian Nuclear program and military threat in the Persian Gulf become another risk for all luxury real estate investors.
During the last 5 years, UAE faced a series of challenges by Saudi Arabia and the political pressure for supporting US Sanctions against Iran.
Environmental and climate change also become another serious problem for Dubai to support citizens in the hot weather of Dubai. Water height is now a serious threat for the near beach mansions and villages. All of these have become risky for investors and now, Economists predict that the Dubai Real Estate market is under economic recession pressure.
Series of Anti immigration laws, economic recession, political challenge in the Persian Gulf and economic revolution in the global community become big challenges that now threaten the Dubai Real estate market.
Global economic recession and Russia's invasion of Ukraine made Dubai compete with Turkey for Russian and Ukrainian immigrants. but UAE Hot weather and laws, remove Dubai from the luxury immigrants destinations.
UAE challenges with militancy groups in Yemen and their problems with following the US Sanctions rules, made them weak in the ultra competitive environment of the Luxury Real estate market.
Expensive cost of Luxury estates and the daily prices of services make Dubai mansions a wrong economic decision for long term investment. This is for the first time in the last decade this wealthy country is facing economic problems that threaten their political existence in the luxury real estate market.
The price of life in Dubai has become very expensive and now, UAE immigration programs and supportive services make this country in challenge with this luxury lifestyle. Luxury life in Dubai with super sport cars and hot weather needs to use expensive technologies, expensive life styles and this expensive services made Dubai governments facing big challenge with this issue that this will be a destructive behavior against UAE Future, because water resources are limited, laws are against Petrol engines and energy resources are changing by new technologies.
Electric cars are a big threat against Petrol engines and Petrol technologies. They need a long Electricity network that is a big challenge for Dubai because of Hot weather.
Financial records and statistics of Dubai shows that these issues have now become a big challenge for the UAE government and they should look for a new modern change or they will face a big challenge in the global community and climate change.
Luxury
real estate in Dubai has become Ultra risky and now we need a strategy to
solve this problem.UAE programs for controlling environmental changes
are growing slow and this is a big challenge that economists call it:
Economic Recession!
