Dubai house prices tipped to keep growing

House prices in Dubai are likely to keep increasing for the foreseeable future, according to a media outlet.

Business24-7 stated that the emirate is currently enjoying an economic boom and becoming more and more popular with foreign expats.

The resulting demand for property in Dubai was said to be leading to inflation in the market, a development which could be lucrative for homeowners.

If prices keep going up, people with a residence in Dubai can benefit from continued capital appreciation, which means they could sell it on a profit at a later date.

Commenting on the current state of the market, Business24-7 said: "House prices have already witnessed some remarkable increases over the past year and may be the best globally in 2008."

Earlier this week, Bloomberg cited figures from investment bank EFG-Hermes outlining the extent of the recent growth.

Statistics showed that property values in Dubai have gone up by 14.4 per cent this year.