« Damac Capital » company has expected the volume of investment at the real estate financing market in the UAE to double by 2011 , to reach 64 billion Dirham opposite to 32 billion Dirham by the end of 2007 , due to the continuous strong performance of the real estate sector in general , backed by sharp decline of the interest rate.
In a study published by the company in English, the company said that the market of bonds is witnessing a vigorous growth rate in parallel with the distinctive performance of the sector of real estate mortgage, in the sense that the volume of the bonds market between 2006- 2007 has increased by more than the double, reaching $ 62 billion, opposite to $ 27 billion.
« Damac » company thinks that there are a number of advantages which back the growth rate at the real estate mortgage market in the UAE in the coming period, among them owning real estates and paying a monthly installments which have started to win an importance as an alternative for houses rent, especially that there are long-term financing alternatives available .
Moreover, statistics issued by « Damac » have shown that that the volume of real estate mortgage market is estimated at 3,5% in the UEA opposite to an average of 16 % in Asia, 49% in the European Union, 76% in the USA, and 83% in Britain.
Source : Voltaire.org May 20,2008