Are you unsure about investing in Dubai’s property marketplace? Dubai’s real estate vicinity has soared to remarkable degrees, breaking all-time sales records. This first-rate increase offers a promising possibility for functionality investors and modern property owners, indicating sturdy returns and extended-time period market balance. Now might be the proper time to capitalize on Dubai’s booming property market.
Dubai Property Market Sets Dh141.9 Billion All-Time Quarterly Sales Record
All-Time High Sales
Dubai’s real estate market recorded total sales worth Dh141.9 billion in the third quarter of 2024. This amount is a remarkable increase from the previous quarterly sales record of Dh124.07 billion set in the second quarter of this year. The current figures show a strong 30.1% rise in sales value compared to last year. Such growth highlights the market’s resilience and attractiveness to investors. In the third quarter, there were a total of 50,423 sales transactions. This number reflects a 37.9% increase in volume year on year. Compared to the second quarter, it represents a rise of 16.6%. The number of transactions demonstrates a strong demand for real estate in Dubai.
Buyers are actively purchasing properties, indicating their confidence in the market’s future. The apartment segment performed exceptionally well, with 39,058 units sold for a total of Dh70.5 billion. This accounts for 77% of all transactions in the third quarter. Notably, there was a 43.9% increase in apartment sales volume compared to the same period last year. This trend suggests that more buyers are choosing to invest in apartments, reflecting the ongoing popularity of this property type.
The villa market also showed strong results. A total of 8,156 villas were sold, generating Dh39.2 billion in sales. This marks a 16.6% increase in volume compared to the third quarter of 2023. Additionally, villa sales saw an 18.4% rise from the previous quarter. The increasing interest in villas suggests that families and investors are looking for larger living spaces. Sales of plots of land also saw significant growth. In the third quarter, 2,102 plots were sold for a total of Dh29.9 billion. This represents a 45.9% leap in volume compared to the same time last year and a 42.3% increase over the second quarter. The demand for land indicates that investors are looking to develop new projects. In the commercial real estate sector, there were 1,112 sales worth Dh2.3 billion.
This number is a 12.1% increase in volume compared to the third quarter of the previous year. The growth in commercial sales demonstrates that businesses are actively investing in Dubai’s commercial property market.
Rising Property Values
Recent data highlights the rise in property values in Dubai. The median price per square foot reached Dh1,511 in the third quarter. This is a significant increase compared to previous years: Dh1,017 in 2021, Dh1,179 in 2022, and Dh1,405 in 2023. The upward trend in property prices shows the strong demand for real estate in the city. Several areas in Dubai experienced high transaction volumes in the third quarter of 2024, highlighting the most active spots in the real estate market. Jumeirah Village Circle topped the list with an impressive 4,467 transactions, totaling Dh5.33 billion. Following closely was Dubai South, where 2,910 transactions amounted to Dh8.25 billion. Business Bay recorded 2,651 transactions, contributing Dh7.22 billion to the market.
Wadi Al Safa 5 also performed well, with 2,382 transactions totaling Dh5.3 billion. Finally, Dubai Hills Estate saw 2,358 transactions, generating Dh7.38 billion. These areas demonstrate significant buyer interest and activity, showing where investments are concentrated in Dubai’s property market.
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Luxury Property Sales
In the luxury segment, a notable sale included a luxury apartment at the One at Palm Jumeirah, which sold for an astonishing Dh275 million. Such high-value transactions underline the demand for premium properties in Dubai. The distribution of property sales by price shows interesting trends. Properties worth Dh1-2 million accounted for 31% of all sales. Additionally, 29% of sales were for properties below Dh1 million, 18% were between Dh2-3 million, 14% were between Dh3-5 million, and 8% were above Dh5 million. This distribution suggests that a variety of buyers are participating in the market, from those seeking affordable options to high-end investors.
Developer Sales Vs. Resales
The data indicates a significant difference between sales from developers and resales in the secondary market. First sales from developers made up 68% of the total volume, while resales accounted for only 32%. In terms of value, developer sales represented 63% compared to 37% for resales. This shift points to a strong preference for new developments among buyers.
Arshad Darbar’s Thoughts
Arshad Darbar, a seasoned real estate expert, believes the recent surge in Dubai’s property market is a clear indication of the city’s resilience and attractiveness to investors. He emphasizes that the record-breaking sales of Dh141.9 billion in the third quarter of 2024 reflect a strong demand for real estate, driven by both local and international buyers. According to Darbar, the significant increase in transactions, particularly in key areas like Jumeirah Village Circle and Dubai Hills Estate, highlights a shift in buyer preferences toward vibrant communities with comprehensive amenities.
He notes that the rise in apartment and villa sales demonstrates a growing confidence among investors and homeowners. Darbar points out that as property values continue to rise, the market is becoming more appealing to diverse buyers. He also underscores the importance of new developments, as the data indicates that first sales from developers significantly outnumber resale transactions. This trend suggests that buyers are eager to invest in newly built properties. Overall, Darbar views these developments as a positive sign for the future of Dubai’s real estate market, reinforcing its status as a premier destination for investment and growth.
Conclusion
The Dubai property market has reached an all-time high in quarterly sales, reflecting a positive outlook for both investors and homeowners. With significant growth in transactions across various property types, including apartments, villas, and commercial real estate, confidence in the market remains strong. As property values continue to rise, the trends suggest that Dubai is increasingly becoming a prime destination for real estate investment. Investors and buyers looking for opportunities in the Dubai property market can take comfort in these positive indicators. The overall growth in the sector highlights its resilience and attractiveness in the face of changing market conditions.
