Bubble waiting to be burst

Dubai prices rising as fast as buildings - International Herald Tribune:

Richard Waryn has lived in Dubai for only two months but he already is certain that the glitz capital of the Mideast lives up to its go-go reputation. What he is not so sure about is whether to sink his money into the sleek apartment towers springing up everywhere.

With property prices up 40 percent this year - and critics warning that a slide is coming - other potential buyers are asking themselves the same question.

By the way, Richard is not your average investor. On page 2 of the article, we read this:

In the end, Waryn and his wife, Liz, a lawyer, opted to rent a 550-square-meter duplex penthouse with private pool and terraces overlooking the sea. The $100,000 annual rent seemed a better deal than buying an equivalent property for about $4 million, although he said they still may buy an investment property.

He's got a bit of loose change lying around, it seems.