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!
