Dubai real estate market records almost AED123bn in property sale transactions so far this year
Dubai’s real estate market recorded over 43,000 sale transactions worth a staggering AED122.9 billion during the first half of 2024, according to a new report. These transactions encompass both residential and commercial properties, indicating a broad-based demand across various real estate segments.
Investment Trends Amidst Economic Uncertainty
“Amidst the global economic slowdown and rising interest rates, we have noticed a pattern of investors worldwide turning to wealth-preserving assets,” said Haider Ali Khan, CEO of Bayut and Head of Dubizzle Group MENA. “Dubai’s real estate sector has emerged as a standout choice in today’s economic climate, with prices and consumer interest continuing to rise even after a 24-month period of continuous growth.”
Affordable Segment Dynamics
Despite the high transaction volume, the affordable segment exhibited interesting price dynamics. Villa prices in areas like DAMAC Hills 2 surged by over 41 percent, reflecting heightened demand for affordable homes. Conversely, apartment prices in some affordable areas decreased by up to 18 percent, indicating a shift in buyer preferences and underscoring the market’s complexity.
Mid-Range Segment Growth
The mid-range segment demonstrated strong growth, with apartment transaction prices increasing between 12 percent and 40 percent. Jumeirah Lake Towers recorded the most substantial growth in this category. Villa prices in mid-tier areas also saw increases ranging from 4 percent to 23 percent, showcasing consistent demand and market expansion.
Luxury Segment Trends
The luxury segment maintained its upward trajectory, with most areas recording increases in transactional prices ranging from 5 percent to 24 percent. This steady growth reaffirms Dubai’s appeal to high-net-worth investors and luxury property seekers, cementing its status as a premier destination for luxury real estate investments.
Overall Market Outlook
Dubai’s real estate market continues to thrive, driven by diverse investor interests and robust demand across all segments. The emirate’s strategic location, world-class infrastructure, and investor-friendly policies contribute to its enduring attractiveness as a global real estate hub. As the market evolves, it is poised to offer lucrative opportunities for investors seeking both affordable and luxury properties.
Reference: Arabian Business
