🔍 UBS Global Real Estate Bubble Index 2025: Key Takeaways & What it Means for Us

🔍 UBS Global Real Estate Bubble Index 2025: Key Takeaways & What it Means for Us

According to the latest UBS Global Real Estate Bubble Index, several major global markets are flashing warning signs:

Highest bubble risk: Miami leads the pack, followed by Tokyo and Zurich.

Strongest increase: Dubai and Madrid saw the largest jump in bubble risk year-on-year.

Moderate risk: Sydney, Vancouver, and Toronto

Low risk: London, Paris, Milan, New York, Hong Kong, São Paulo Australia

Despite cooling in many markets, property prices continue to diverge sharply from incomes in cities like Tokyo, Dubai, and Zurich that arepushing affordability to new extremes.

🇦🇪 Since mid-2023, real housing prices in Dubai have risen by double digits and now sit around 50% higher than five years ago, the strongest growth among all cities in the study. This rapid acceleration has pushed bubble risk higher for the second consecutive year, reaching an elevated level.

However, incomes have not kept pace with soaring property values. Dubai’s population has expanded by nearly 15% since 2020, with an immigration surge tightening housing supply. Meanwhile, building permits indicate construction may soon return to 2017 levels, even as competition for offshore real estate investment intensifies between Dubai, Abu Dhabi, and Riyadh. Read more, https://lnkd.in/gSAmyTqW