Dubai real estate is hot again, maybe too hot: IMF

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CNBC

The International Monetary Fund (IMF) has warned of a return of overexuberance in Dubai's real estate market, recommending measures to prevent a replay of the spectacular bust in 2008.

"The pace of recovery in some segments of the real estate market and a number of announcements since late 2012 of new mega projects in real estate and tourism warrant a cautious approach to policy making," the IMF said in a statement late Tuesday following a consultation visit to the United Arab Emirates.

Dubai property prices have rallied substantially over the past year. Data for May from property consultants Cluttons showed villas and mid-range apartment prices had risen by more than 45 percent year-on-year in May.

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