Upward growth of Dubai’s property market
Dubai’s real estate market is on an upward growth. According to the top brokers working in the Dubai property market, the price of property types like apartments is continuously rising but villas are also catching up to it. Villas have also been one of the top players in the market, with their average pricing per square foot is going up by AED 2,000 for the first time in a decade.
This new situation shows that villa prices have doubled after the covid period which was surpassing because previous market highs for the costly properties were not that high in 2014.
Looking ahead, capital gains in the villa segment are expected to keep climbing. Although these gains may not be more than the record of 34.1% increase seen in 2022 which was the very high in a decade, some professionals still predict substantial gains. A data from April 2024 supports this situation of price rise of villas, showing a 2.4% increase month-on-month and an eye catching 31.2% rise year-on-year capital gains for villas.
There are some reasons for this robust growth of Dubai’s property market for the past one year. The coming of rich people, attractive rules made by the government, and a fantastic environment for running companies and commercial activities have driven demand for luxury properties in prime locations. Another thing to see is that the low interest rates are likely to remain in 2024 also which will reduce the borrowing costs and attract more investors to enter the market.