Dubai: Housing supply fails to keep up with demand

VTV.vn - Dubai's population increases by more than 17,000 people each month, while only 7,800 new houses or apartments were handed over in the third quarter of this year.

Dubai, United Arab Emirates (UAE) is becoming the center of the real estate market in the Gulf region as demand exceeds supply with the wave of immigrants continuing to increase rapidly. The real estate market is booming but comes with challenges to social infrastructure as the population increases too quickly.

It is no exaggeration to say that Dubai seems to be a giant construction site. New buildings are being built everywhere in the city. However, the number of new apartments coming to the market has not kept up with the number of people moving to live here.

470 new residents, but only 150 new apartments per day. The article reported that Dubai's population increased by more than 17,000 people per month, while only 7,800 new houses or apartments were handed over in the third quarter of this year and it is forecasted that only about 44,000 new apartments will be completed this year, a number too small compared to the needs of the new arrivals. Therefore, experts also assess that in the next 3 to 4 years, the real estate market here will continue to grow despite external impacts.

The National newspaper said that 50 years ago, Dubai's population was only about 175,000 people and reached 2 million people in 2011. However, this number quickly doubled in less than 15 years. The city's population has experienced its most remarkable period after the Covid 19 pandemic when it was considered a global paradise by millionaires. The number of millionaires living in Dubai has doubled in the past decade, making it one of the fastest growing property centers in the world .

Not only attracting the wealthy, Dubai real estate market has also witnessed a wave of migration of technology experts. According to Gulf News, the tightening of US immigration policy is turning the Gulf region, including Dubai, into a new attractive destination for global technology talent.

The growing population means a thriving real estate market but also poses challenges as the infrastructure system is overloaded. A typical example is the traffic jams that have become a daily occurrence in Dubai.

According to statistics, up to 91% of respondents in Dubai said they had to face traffic jams regularly. According to data from Dubai Roads and Transport Authority, the number of vehicles on Dubai's roads during the day reached 3.5 million last year, a 10% increase in the number of registered vehicles in the past two years. The city government has just approved more than $350 million for projects to upgrade many major roads to reduce traffic congestion.

Source: https://vtv.vn/dubai-nguon-cung-nha-o-khong-theo-kip-nhu-cau-100251202115713316.htm