The Real Estate Sector in Dubai Maintained an Upward Trajectory Last Year
The real estate sector in Dubai continued to grow over the past year, reinforcing the upward trend that has been in place for a long time. With stable demand and ongoing expansion in property supply, Dubai has showcased an active and diverse market, supported by government efforts to achieve the 2040 vision. An annual report from the “Dubizzle” platform illustrates how the real estate sector in Dubai has maintained its upward trajectory, attracting the interest of both investors and clients.
Continuous Activity in the Real Estate Sector
The real estate sector in Dubai has sustained its ongoing activity, with a notable demand for ready properties, particularly in the luxury apartment market in Dubai Marina. Meanwhile, Jumeirah Village Circle and International City flourished in the mid-range and affordable sectors. In terms of villas, Damac Lagoons led the market, while new values emerged across Al Furjan and Damac Hills 2.
Price Increases and Investment Returns
The Dubai Investment Park recorded the highest increase in villa prices, with the average villa price reaching AED 2.17 million, alongside a significant rise in the price per square foot to AED 773. In terms of returns, Town Square achieved impressive investment ratios for mid-range apartments, with a return of 7.72%, while Damac Lagoons topped the villa market with remarkable returns of 10.46%.
Strong Demand for Future Projects
Future projects have played a significant role in enhancing the growth of the real estate sector in Dubai, with strong demand for new apartments in established and emerging locations. Luxury projects in Dubai Marina and Dubai Hills Estate led the market, while mid-range developments in Business Bay and Jumeirah Village Circle experienced increasing demand.
Surge in the Rental Market
The rental market in Dubai remained influenced by rising demand, with Dubai Marina maintaining its status as a preferred destination for luxury apartments. International City saw a notable increase in average rents, reaching AED 53,000 in the affordable category. Additionally, there was a significant rise in rents by 45.98% in Arabian Ranches 3, and four-bedroom villas gained popularity due to new inventory in the Kaya project.
According to Haider Khan, CEO of “Dubizzle,” “The real estate sector in Dubai has maintained positive momentum throughout the year, driven by consistently strong and balanced demand across various sectors, making the real estate market in Dubai a positive sign for the future.” These combined factors indicate that the real estate sector in Dubai continues to hold its position as one of the most attractive markets for investors.