An Empirical Analysis of the impact of Macro Economic Variables on Dubai Housing Market Fluctuations

Volume : VIII, Issue : X, October - 2018

Dr Ambili Sunil

The aim of this paper is to identify the major Macroeconomic factors that influences the housing market prices in Dubai.

This paper tries to give a summary of a summary of the residential market activity and highlights price movement, rent

and yield statistics, residential transactions and upcoming supply conditions in both the countries. This paper attempts to analyse how far the

macro environment viz, the GDP growth(annual %) Inflation, GDP deflator (annual %) Merchandise trade (% of GDP) Merchandise trade (% of

GDP) Foreign direct investment, net inflows (BoP, current US$) affects the sales price. A statistical analysis of the impact of these variables and a

theoretical explanation on housing prices have been given. Multiple Regression and trend analysis have been used and the results show that there

is a positive and direct impact of all these Macro variables on housing prices.