Heading into real estate is billions of dollars flowing out of stock markets in the Gulf Arab region are. The markets in China and India serve as a key focus. According to Kuwaiti bank, these countries are the head of real estate investment.

Real estate funds are considered an easy fit with Islamic law, where interest is banned and income must be derived from a fundamental economic transaction. They are benefiting as retail investors in the Gulf migrate toward what they consider a more comfortable asset class.

The investors in the Gulf region have long been drawn to US investments because most Gulf countries peg their currencies to the US dollar. After the Gulf emirate of Dubai unleashed a property boom by allowing foreign investment in property in 2002. Investors have kept more money in the region to take advantage of rapid growth.

The next frontier, where Gulf investors are attracted by a growth in demand, upside currency risk, large populations, and a belief that they can eliminate risk with the right local partners. Aside from China and India, majority-Muslim Malaysia is also a favorite of Gulf investors because of cultural similarities.
 
By M. Sese
http://realestatepress.org