December 4, 2008
JustQuotes: Another "Immune" Market Has Caught A Nasty Cold
"“With all this oil money in the region, I thought the Dubai property market would be secure from the global problems,” the 30-year-old Bentley owner said, reached on his mobile phone on the beach."
First Published: December 4, 2008 8:30 AM
Comments from "Plugged In" Readers
I don't have a number, but I have heard from multiple news services that the VAST majority of RE purchases in Dubai were/are speculators. There is virtually no owner/occupier activity.
It's basically the Miami condo market on steriods.
Posted by: badlydrawnbear at December 4, 2008 8:36 AM
That British couple found out that hard way that what happens in Dubai might result in your staying in Dubai - for as long as Sharia law permits. I bet they go to Vegas next time. What's the point of Dubai? An indoor ski slope, a helipad that Tiger Woods and Ernie Els can launch golf balls off of? But no sex, drugs, rock & roll - or gambling. Viva Las Vegas! (But why would anyone ever buy a condo in Vegas either?)
Posted by: FSBO at December 4, 2008 8:55 AM
"Sebat said he used to be able to buy four or five properties at a time and sell them the next day for a profit of as much as 5 percent."
a)Is it actually possible to flip in and out of properties in 1 day? Seems crazy by US flipping standards, are there some sort of special rules/attributes of the Dubai market that would make something like this possible?
b) If making 5% a day in real estate isn't a sign of a massive, massive bubble I don't know what is.
Posted by: Flipper's Market at December 4, 2008 9:15 AM
It's so hot there that if you don't flip them quickly they'll burn.
/please tip the waitresses!
Posted by: vox at December 4, 2008 9:19 AM
Honestly I never understood the appeal of Dubai except when the price of oil was going through the roof. Obviously there was a lot of money flowing through the place these past few years. But why a Westerner would want to work in that desert city surrounded by a whole lotta nothing but sand completely escapes me ...
Posted by: Jimmy (Bitter Renter) at December 4, 2008 9:33 AM
"I don't have a number, but I have heard from multiple news services that the VAST majority of RE purchases in Dubai were/are speculators. There is virtually no owner/occupier activity."
Sounds like One Rincon.
San Francisco is filled with owner/occupier speculators. Remember the "Buy, Sell, Repeat, Retire" billboards?
Posted by: Michael at December 4, 2008 9:42 AM
Jimmy - developing regions generating cash often crown their own 1st world supercity. SE Asia has Singapore. The middle east has Dubai. Tel Aviv or Beiruit would have filled that role had their locations not been in an effective war zone. Cairo, Alexandria and some others just have far too much old world weight to carry. Dubai is within a short flight from all of the middle east. It is also within reach of Bombay.
Speaking of Dubai, this downturn will likely be the last nail in the coffin of their Infinity Tower which suffered a huge construction setback last year : http://www.snopes.com/photos/architecture/infinity.asp
Our Infinity might be hurting, but nothing compared to Dubai's
Posted by: The Milkshake of Despair at December 4, 2008 10:57 AM
Is Dubai the "real SF" ?
Posted by: fluj at December 4, 2008 10:59 AM
"With all this (tech) money in the region, I thought the (San Francisco) property market would be secure from the global problems," the 30-year-old (realtor) said, reached on his mobile phone (at Americano)."
Posted by: Anna at December 4, 2008 11:14 AM
Nope, just Broadway and Lyon.
Posted by: sf at December 4, 2008 11:29 AM
"Is Dubai the "real SF" ?"
What's the story on 4086 25th St.? Is Noe still "real" SF?
Posted by: chuckie at December 4, 2008 12:55 PM
A few things, chuckwagon e-beef my man.
First, I see you working. I saw your post in the other thread, the 4086 25th thread. So don't worry. That troll was noted. You truly did e-exist.
Second, I guess it rubbed you the wrong way when I tried to own the catchphrase that numerous posters have come trolling with. The catchphrase attributed (erroneously) to me in the first place. I can't have fun with "real sf" chuckie? Don't you think that's a little hypocritical? Just a tad?
Third, you can seize upon this Noe Valley foreclosure as exemplar of catastrophe if you like. Apply it outwardly to other areas, and wildly different price ranges too! It is all good. Others with similar personas and bents as you did with another Noe property last Spring. I'm referring to the big fixer up on Alvarado street. Some SS posters had a field day with that one, just like you are now.
But in the end, bro, and I hope I can call you bro because with all the special attention you pay me I feel like we really are pals, foreclosures are personal stories. Aren't they?
Specific to the propery, as has been pointed out numerous times, it really wasn't that great. Yet the buyer at the court house stairs still probably paid a premium to get it. Unless you think it really went for 180K or something. I highly doubt that was the case. In fact, you know what, why don't YOU tell us exactly what went down in the end. I think it would only be fair considering the mileage you've gotten from it. So that's your assignment, bro. I want a 4086 25th st book report on my desk by next Monday.
Posted by: fluj at December 4, 2008 1:50 PM
The people who don't see the appeal of Dubai have never been there, it's hard to explain how far behind the rest of the world, SF, LA, Chicago are. Stop by Hong Kong, Taipei, Shanghai, Singapore, Dubai, Seoul,... and you will see what the appeal is. Of course if your idea of a good city is a overpriced housing, yuppies and homeless people on every corner then SF is the best city in the world.
Posted by: asad at December 4, 2008 4:07 PM
Ok, I've traveled to Taipei, Hong Kong and Singapore (among many other places on earth). The only question I have is: where do you go skiing if you live there?
Same goes for Dubai. No skiing, except that crappy indoor thing. Not. Gonna. Cut. It.
Posted by: Jimmy (Bitter Renter) at December 4, 2008 6:39 PM
Do your MLS listings include Dubai? Mine sure don't. The real SF is doing gangbusters this month despite the naysayers on this board.
Posted by: DealMaster at December 4, 2008 11:05 PM
yeah asad, hong kong is super cheap and has no poverty or division between the super rich and the super poor.
Posted by: anon at December 5, 2008 7:42 AM
In hong kong no matter if you're rich, middle class, or poor, there is housing available in your price range (even if only government issued housing for the poor). The good thing is, even if you're buying low end homes or living in gov't housing, it is not a "ghetto" environment like it would be in SF. No gun shots (almost unheard of), crack dealers, violent crime, like you would expect here to be a regular occurrence if you don't live in rich neighborhoods. and no matter where you live, you'd still have access to a truly world class public transport system, again unlike here.
Posted by: condoshopper at December 5, 2008 8:45 AM
The Chinese CIA didn't develop crack and distribute it throughout the ghettos, hence no crack dealers.
Posted by: sf at December 5, 2008 4:17 PM