While the prices of villas in Dubai seem to be falling, apartments are doing much better. The prices of villas in the last 1 year up to recently have fell by 14 percent and this has been because of the lower rental yields and scarcity of finances. Flats are still dominating the market as they account to 92 percent of all the deals that were transacted in Dubai in the last one year. All these are happening because of the drive towards affordability and scarcity of finances. The other threat is the flooding of the real estate market. Even though the rental prices are indicating that they are getting more stable, this new supply that is about to hit the market this year is posing a threat on the prices again. There is also the threat of slowdown on construction projects because of the restrictions on raw land development. This restriction would force developers to consolidate even more of their products. In the end, the rent would come down and workers who are currently commuting from Abu Dhabi would find it feasible to relocate to Dubai. The only hope is the increase in demand for rental accommodation. This drive to increased demand would come about as there are expected services, trade, tourism industry expansion rates and this will improve the economy of Dubai by about 4 percent. Ideally, this is the situation in as far as real estate in Dubai is concerned.