Are you looking for strategies to make the most of the booming Dubai property marketplace? November 2024 observed a big increase in off-plan offers, which executed a key characteristic in driving the overall real estate activity in Dubai. This surge in off-plan transactions is making it a thrilling time for shoppers and homebuyers, with diverse opportunities to be had within the market.
Dubai’s Property Market In November Is Driven By Off-Plan Deals
A Year Of Growth In Dubai’s Property Market
In November 2024, Dubai’s real estate market continued to grow, with property transactions up nearly 19% compared to the same month in 2023. The total number of transactions for the month reached 14,479, with an estimated value of Dh43 billion, marking a slight 1.6% increase from the previous year. This increase was primarily driven by strong off-plan sales, which saw a remarkable rise. Approximately 8,548 off-plan transactions took place, reflecting a 46% year-on-year increase in volume.
Off-plan properties accounted for a substantial portion of the total market value, reaching Dh18.2 billion, a 30% rise from the same period last year.
Off-Plan Market Leading The Way
Off-plan properties continued to play a major role in driving the overall performance of the Dubai property market. With increasing demand for off-plan homes, the market saw significant changes in preferences and investments. In terms of volume, off-plan transactions led the market with a sharp increase of 46%, indicating a clear trend toward purchasing properties before they were completed. The value of these transactions surged to Dh18.2 billion, reflecting a 30% increase over the previous year’s figures.
The off-plan market offers various benefits, such as more flexible payment plans and the opportunity to secure properties at competitive prices before their final construction. These advantages have made off-plan properties a popular choice for investors and homebuyers.
The Ready Market Faces A Dip
While the off-plan market showed strong performance, the ready or completed property market faced a slight decline in November 2024. The volume of transactions in the ready market dropped by 6%, with 5,931 transactions recorded. In terms of value, the ready market transactions were worth approximately Dh24.8 billion, marking a 12.2% decrease from November 2023, when the total value of ready property transactions stood at Dh28.3 billion.
This decline suggests that investors may be more attracted to off-plan properties, which offer greater potential for capital appreciation. Despite this decrease, the ready market remains an important segment of the Dubai real estate market. Many buyers continue to choose completed properties for immediate occupation, particularly those seeking established areas and properties with immediate rental potential.
Also Read: Dubai Property Prices Will Rise By 8% In 2025 Due To A Shortage Of Homes.
Trends In Apartment And Villa Searches
Apartments and villas continue to dominate the property search preferences of buyers and renters in Dubai. Around 33% of people looking to buy apartments are interested in one-bedroom units. Two-bedroom apartments are also in high demand, with 35% of buyers seeking them. Studios made up 15% of the searches, indicating a growing preference for compact living spaces.
For villas and townhouses, buyers are more inclined toward three-bedroom units, which made up 37% of the searches. Additionally, around 50% of villa seekers are interested in four-bedroom or larger options, which suggests a strong preference for spacious homes, especially among families. The most popular areas for apartment ownership in Dubai include Dubai Marina, Jumeirah Village Circle, Downtown Dubai, Business Bay, and Palm Jumeirah. These areas are known for their vibrant communities, world-class amenities, and proximity to key business districts and leisure attractions.
Tenancy Preferences: Furnished Vs. Unfurnished
Tenancy trends in Dubai also show interesting patterns in terms of preferences for furnished and unfurnished properties. Around 65% of tenants searching for apartments prefer furnished units, which offer convenience and ease. On the other hand, 34% of tenants are looking for unfurnished apartments, giving them the flexibility to customize their living spaces. For those looking for villas and townhouses, the preference is more evenly split.
About 51% of tenants are interested in unfurnished units, while 48% prefer furnished properties. This indicates that many villa tenants seek larger spaces where they can create a home that suits their tastes. Among apartment tenants, one-bedroom units are the most sought-after, making up 35% of searches.
Two-bedroom apartments follow closely with 31% of tenants looking for them, while studios account for 24% of tenant preferences. For villas, 40% of tenants are looking for three-bedroom units, and 38% are seeking four-bedroom or larger options.
Most Popular Areas For Renting Apartments And Villas
Dubai’s rental market continues to be strong, with various areas gaining popularity among tenants. Some of the top areas for apartment rentals include Jumeirah Village Circle, Dubai Marina, Downtown Dubai, Business Bay, and Deira. These neighborhoods are well-connected by public transport, feature diverse communities, and offer a variety of amenities.
For villa and townhouse rentals, areas like Jumeirah, Dubai Hills Estate, Damac Hills 2, Al Barsha, and Umm Suqeim are the most sought-after. These neighborhoods are known for their family-friendly atmosphere, excellent schools, and easy access to shopping malls, parks, and recreational facilities.
Arshad Darbar’s Thoughts
Arshad Darbar, a seasoned real estate expert with years of experience in the market, views the surge in off-plan transactions as a clear indication of the strength and resilience of Dubai’s property market. He believes that the significant rise in off-plan property sales in November 2024 reflects growing investor confidence in Dubai’s real estate sector. According to Darbar, the favorable payment plans and the potential for capital appreciation are major factors driving this demand for off-plan properties.
He also notes that the continued growth of the property market, despite global challenges, underscores Dubai’s position as a global investment hub. The 19% increase in overall transactions and the 46% rise in off-plan sales suggest a healthy and competitive market, attracting both local and international investors. Darbar highlights that the demand for one-bedroom and two-bedroom apartments, as well as three-bedroom villas, shows a shift towards more affordable and practical living spaces.
As Dubai continues to attract more buyers and renters, especially in popular areas like Dubai Marina and Palm Jumeirah, Darbar sees the real estate market entering an exciting phase of growth in 2025, driven by evolving buyer preferences and the city’s expanding infrastructure.
Conclusion
Dubai’s property market in November 2024 was marked by impressive growth, with the off-plan sector leading the charge. The overall market saw a 19% increase in transactions compared to last year, with off-plan deals making up a significant portion of this growth. Investors are continuing to flock to Dubai, attracted by the opportunities in both off-plan and ready properties. Whether you are looking to buy or rent, Dubai offers a wide range of options in terms of property types and locations.
With a steady demand for apartments and villas, the market is well-positioned to meet the needs of diverse buyers and renters. As the market continues to grow, it’s clear that Dubai remains a top destination for real estate investment. With many exciting opportunities on the horizon, the future of the Dubai property market looks promising.
