Uae residents rent rather than buy

UAE residents prefer to rent rather than buy property, according to a survey from propertyfinder.ae.

The site's poll found that just 28 per cent of respondents were homeowners, while 72 per cent rented accommodation. The rise of generation rent in the emirates has been attributed partly to the rising cost of property - indeed, property values have seen the biggest rise worldwide in the last 12 months, according to several reports - as well the growing number of expat residents.

Renan M. Bourdeau, deputy CEO of propertyfinder.ae, comments: “Home price increases over 2013 have made buying significantly more expensive, tipping the math in favour of renting. Additionally, tighter credit standards for mortgages, capping of the loan-to-value limit at 75 per cent and doubling of property registration fees mean that unless you have enough to put a healthy deposit down to secure a mortgage, you will need to stick with renting."

Source: Gulf Business