The property market of Dubai is seeing a rise in the number of sales for the luxurious houses in the prime location of the city. Some studies show that the rental demands have also increased in two years which shows that more and more people are coming to Dubai to stay longer.
The month of August has been busy for the people who are working in the real estate of Dubai because there was a huge demand in the market. The builders are trying to attract the buyers who are looking for the modern apartments and townhouses in Dubai.
With property sales of AED 47.3 billion, up 40.8% over August 2023, August was another good month for Dubai's real estate market. According to a just published study by a big company, the average price per square foot climbed 6.1% to AED 1,493 while the amount of transactions jumped 36.9% to 16,159. This shows that people from other countries are interested in buying properties in Dubai that are built by popular developers.
With 1,399 plots sold for AED 15.1 billion, land sales which showed a big increase of 153.8 percent on a month-on- month basis recorded Of the single property deals last August, the very expensive one was for a luxurious house in the Dorchester Collection, Business Bay, for AED 139 million.
With 2,126 properties sold for AED 8 billion up 4.6% from August 2023 the villa market was also rather active. Change of hands for 369 units for commercial properties totalled AED 674 million, 19.8 percent more in volume than in the same time a year before.
August's sales kept mirroring the consistent expansion the Dubai real estate market has seen during the past five years. Seeing AED 4.7 billion in sales over 2,400 transactions in 2020, the market has expanded to over AED 47 billion and more than 16,000 transactions in August 2024. The expansion signifies Dubai's increasing worldwide real estate investment centre of activity.
Important players: Jumeirah Village Circle and Projects Based on Off-Plan With 1, 378 trades worth AED 1.4 billion, Jumeirah Village Circle displayed the best result. With 425 apartments costing at AED 1.4 billion, Marina Views first on the list of finest off-plan selling projects in August. Under the villa category, The Valley, Venera accounted for 424 units sold for AED 1.3 billion.
With 71% of the total volume and 72% of the total pricing, off-plan sales controlled the market. More investment in off-plan buildings would imply that they have faith in Dubai's long-term real estate future.
August's Dubai property sales also ranged in price range: 29% fell between AED 1-2 million, while 8% of all sales exceeded AED 5 million. Sales for properties below AED 1 million were at 28%; followed by 18% in the AED 2-3 million bracket range, then 16% in the AED 3-5 million bracket range.
This, according to the CEO of a big company, told about the new data showing the good situation of Dubai's real estate market. The ongoing upward trajectory the market has shown only increases investor trust as local and international buyers both buy into this market. Dubai is in a good real estate investment position thanks to the favourable demands from the people all around the world.
With additional popularity of durability and market development opportunity, August makes the second-best month for sales pricing this year coming off the tail of July's 15,994 deals, totalling AED 49.6 billion.
Different sectors kept showing attractiveness in the Dubai real estate market in August 2024. Mega land acquisitions and costly transactions are driving even more numbers and price, which indicates that investors find the market to be increasingly compelling. Dubai is carving a spot among the sought-after in the world real estate locations, therefore steady development may encourage additional local and foreign investment.
The situation of the property market of Dubai is good for the investor because the price of the properties are increasing and the new properties are being sold with attractive payment plans. The rental market is also seeing huge demand from the people of other countries who are coming to Dubai for work or for spending holidays with friends or families.
Kapil Makhijani is a Senior Property Advisor at Honey Money Real Estates (ORN: 28658), with over 6 years specialising in Dubai residential investment and NRI portfolio strategy. His background in... Read More
