Dubai property buyers hunt distressed deals, but sellers hold firm on prices

There have been enquiries from property buyers looking for distressed assets, but the majority of owners in Dubai are not selling their properties below pre-regional conflict levels. Since the regional war broke out on February 28, industry executives say they have been receiving calls from seasoned and well-capitalised investors, looking for attractive deals Industry executives said some investors who entered the market before 2022 have seen their returns double or even triple. As a result, some owners are choosing to sell in order to capitalise on the significant profits made within just a few years. “We are receiving enquiries from buyers looking for well-priced deals. But we’re not seeing a significant number of sellers accepting prices below pre-conflict levels. Where pressure does exist, it’s not the conflict itself driving it. The conflict may be the trigger, but the underlying reason varies seller by seller. A small number took on more exposure than their capacity allowed, and now they feel that pressure. That’s a personal financial situation, not a market trend,” said Firas Al Msaddi, CEO of fäm Properties.