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Covid-19 impact: Tight supply cycle to help subdue steep rents in GCC

Covid-19 impact: Tight supply cycle to help subdue steep rents in GCC The number of GCC-wide transactions until October fell by around 11 per cent. Wam Temporary freeze on new realty projects will help reduce the supply glut next year. An anticipated tight supply of real estate units across the Gulf Cooperation Council (GCC) following a temporary halt on new projects by some leading developers and fewer upcoming projects would help arrest the ongoing steep declines of prices and rents next year, Kamco Invest said on Sunday. The novel coronavirus disease (Covid-19) has caused additional headwinds for end-user demand in the GCC’s residential real estate segment this year, driving rents and prices lower on a year-on-year (y-o-y) basis, despite limited supply addition and several government initiatives for home ownership being rolled out, Kamco said in a research report.

GCC realty market set to stabilise in 2021

GCC realty market set to stabilise in 2021 Rents in Dubai posted a 13 per cent drop in 2020. (File photo) Tight supply in industry to help cushion steep falls of prices and rents next year An anticipated tight supply of real estate units across the GCC subsequent to a temporary stoppage of new projects by some leading developers and fewer upcoming projects will help arrest the ongoing steep declines of prices and rents in 2021, Kamco Invest said on Sunday. In 2020, Covid-19 has caused additional headwinds for end-user demand in the GCC’s residential real estate segment, driving rents and prices lower on a year-on-year basis in 2020, despite limited supply addition and several government initiatives for home ownership being rolled out, Kamco said in a research report.

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