Dubai Real Estate Market Review 01-Feb-2024
Below are the latest real estate news and transactions.
Abu Dhabi real estate market set for robust growth in 2024: Report
Abu Dhabi's real estate sector is forecasted to grow significantly in 2024, driven by a strong economy and government initiatives, as per ValuStrat's “Abu Dhabi – Review 2023-2024 Outlook” report. Residential property values are expected to increase by 3-5%, with villa communities seeing modest rises and apartment prices stabilizing. Lower mortgage rates could boost homeownership and mortgage transactions. Demand for Grade-A office spaces is growing, supported by government visa programs for remote workers. The hospitality and retail segments are also set to benefit, with new attractions and developments planned. However, traditional retail may face challenges from e-commerce. The sector's growth is underpinned by the UAE's positive economic outlook, including a forecasted 4.3% growth rate by the UAE Central Bank and 4% by the IMF, and a substantial federal budget allocation. The real estate market showed continuous growth in Q4 2023, with increases in the ValuStrat Price Index and Residential Rental Index.
Read the full article on Middle East Economy
165% surge in real estate investments in Sharjah during 2023
In 2023, Sharjah's real estate market saw a 13.1% increase in transactions, reaching AED 27.1 billion—the highest since 2017. The sector attracted investors from 103 nationalities, a 21.2% rise from 2022. Non-Arab foreign investors particularly increased their presence, with significant growth in trading volume and property numbers. The report notes a 7.5% increase in property deed transactions, totaling 24,842, and sales transactions surged to 8,731 across various areas. Abdulaziz Ahmed Al-Shamsi, Director General of the Sharjah Real Estate Registration Department, attributes this growth to the emirate's strong, versatile economy and the leadership of H.H. Sheikh Dr. Sultan bin Muhammed Al Qasimi. Sharjah city dominated the transactions, with significant activity in the Muwaileh Commercial area. The year saw the introduction of five new real estate projects. UAE citizens were the leading investors, followed by other Gulf, Arab, and international nationals. Indian, Syrian, Iraqi, Jordanian, Egyptian, and Pakistani investors also contributed notably to the market.
Read the full article on Zawya
UAE mortgage rates guide for 2024
This year, experts forecast that more people will buy homes in the United Arab Emirates (UAE). This move is attributed to predictably lower UAE mortgage rates in 2024.
Read the full article on Middle East Economy
Yas Holding unit launches premium residences in Jumeirah
Taraf, the real estate division of UAE-based investment group Yas Holding, has announced the launch of a set of premium residences in the heart of Jumeirah Village Circle (JVC) ushering in a new era of refined living.
Read the full article on Zawya
DHG Announces February Launch for Inaugural Dubai Project Worth Over AED 500 Million
Off-plan sales for the premium residential project in JVC will launch next month with current availability for pre-booking now live
Read the full article on MENAFN
$4.6bln of real estate transactions in Ajman in 2023
In 2023, Ajman's property market saw a significant 43% increase in transactions from the previous year, with 11,474 deals amounting to over AED16.9 billion. The highest sale was AED136 million in Al Nakheel 2. Sheikh Abdulaziz bin Humaid Al Nuaimi, Chairman of the Department of Land and Real Estate Regulation, attributed this surge to effective economic initiatives and the resilience of key sectors, especially real estate. The department focused on streamlining property registration to enhance competition and economic growth. The year also witnessed 1,971 mortgage transactions worth AED4.8 billion, with Al Rashidiya 1 recording the highest mortgage. Al Yasmeen was the most traded area, followed by Al Zahya and Al Helio 2, with Emirates City leading major project trades. The eastern sector of the emirate topped the transactions with significant trades in plots, luxury villas, apartment buildings, and shops.
Read the full article on Zawya
Dubai Real Estate Transactions as Reported on the 31st of January 2024
On the last day of January 2024, Dubai’s real estate market showcased impressive performance, with total transactions reaching AED 1,708,638,321. This reflects a dynamic market, inclined toward off-plan purchases which made up 58% of the total value.
Off-Plan Segment: AED 993,968,654
Flats: AED 811,065,605
Villas: AED 162,103,632
Hotel Apartments & Rooms: AED 10,508,316
The data indicates a strong investor optimism about the city’s real estate future. The majority of this investment was in flats (81.5%), followed by a healthy interest in villas (16.3%), and lastly, the hotel apartments & rooms made up 1% of the total.
Ready Property Segment: AED 714,669,667
Flats: AED 414,864,973
Villas: AED 132,644,431
Hotel Apartments & Rooms: AED 118,120,843
The data points to a strong market for residential units ready for immediate occupancy with flats leading the way with 58% of the total transactions, followed by a healthy demand for villas with 19% of the day’s value, and lastly, the hotel apartments & rooms made up 17% of the total.
Dubai’s property market dynamics on January 31 were a clear reflection of the city's economic vitality and the strategic confidence placed by investors in its future. With a bustling start to 2024, Dubai's real estate scene is not just thriving – it's booming.
Data Source: Dubai Land Department