Why Smart Investors Don’t Call Dubai a Bubble

Send us a textLearn more 👉  https://www.alessandroderubertis.com/why-duba1765518220345Dubai is often described as a bubble. And I understand why people say that.Fast growth. Headlines. Prices are moving quickly.But calling Dubai a bubble usually comes from looking at the market emotionally, not structurally.A bubble is driven by leverage, speculation, and lack of regulation. That’s not what defines Dubai today.Dubai is a capital-driven market, not a debt-driven one. Most transactions happen with high equity, not excessive leverage. That alone changes the entire risk profile.Regulation is another misunderstood point. Dubai’s real estate market today is not what it was fifteen years ago. Escrow laws, developer controls, transaction transparency — these are not marketing claims, they are structural mechanisms.The real question is not whether prices are higher than before. The real question is: what is driving demand?Population growth is not speculative. Capital inflows are not speculative. Residency, tax structure, safety, and business migration are not speculative.What is speculative is buying without understanding cycles. Or entering projects without knowing where liquidity will be in five to ten years.Dubai is not a market where everything works. And this is where people get confused.When investors lose money here, it’s rarely because “Dubai collapsed.” It’s because they entered the market without structure, guidance, or timing.A misunderstood market looks dangerous. An understood market looks rational.If you want, I’ve prepared a page below where I explain how I look at Dubai logically — not emotionally — and why the bubble narrative misses the point.

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