Dubai Real Estate Market Review 14-Mar-2024
As of 13 March 2024, with the total transactions reaching an impressive AED 2,025,289,254.82. Off-plan properties accounted for 76% while ready properties accounted for 24%.
Gllit lunches Dubai's first commission-free real estate platform
Gllit, a new startup in Dubai, launches the city's first commission-free real estate transaction platform, aiming to make property buying, selling, and renting more cost-effective and transparent. By directly connecting stakeholders, Gllit eliminates traditional commission fees and hidden costs. Its services include mortgage, legal, insurance, and consultancy support, enhanced by an intelligent search algorithm and tools for a streamlined property search and transaction process. Property owners benefit from cost savings with no commission or listing fees and control over their privacy. Gllit is also expanding its platform through partnerships, targeting efficient and user-centric real estate transactions in the UAE.
Read the full article on Gulf News
Investment for Foreigners in UAE Real Estate
The UAE's real estate market, especially in Dubai, has become a magnet for foreign investors since the 2002 freehold decree allowing foreign ownership in designated areas. This has led to a property boom and significant interest from international buyers, with the UK, China, India, and other countries leading the investment. Dubai's strategic location, business-friendly environment, and absence of annual property taxes, combined with the potential for a residency visa through the Golden Visa program, enhance its appeal. Key investment locations include Downtown Dubai, Dubai Marina, Jumeirah Village Circle, and Palm Jumeirah. The market's growth, supported by both local and overseas investors, promises high returns, with Dubai offering over 50 freehold zones for diverse property investments.
Read the full article on Upscale Living
Dubai’s Property Market Logs a Record-Setting February
In February, Dubai set a new record for property sales, with 11,913 transactions, marking a 30.4% increase from the previous year, as per a Property Monitor report. The sales, predominantly in residential properties (92.1%), indicate a strong demand for off-plan properties, driving apartment sales up. However, villa and townhouse sales remained stable, attributed to low supply rather than reduced demand. Property prices saw a modest rise of 0.83% from January, reaching an all-time high of AED 1,294 per square foot, surpassing the city's previous peak in September 2014. The highest sale was a villa on Jumeirah Bay Island for AED 160 million, while mortgage transactions decreased by nearly 5%.
Read the full article on Mansion Global
Off-plan dominance fuels growth as three new master communities emerge in 2024
Dubai's real estate market is set for significant expansion in 2024 with the introduction of three new master communities, amidst a backdrop of strong off-plan sales. Prices in February rose by 0.83%, and the market experienced its highest-ever February sales volumes, increasing by 30.4% year-on-year. Mid-tier properties, particularly in Dubai Maritime City, are gaining market share. Despite a slight decline in mortgage activity, financing for new purchases is strong, reflecting ongoing confidence in property investment in Dubai. The market outlook remains optimistic, though experts caution about potential price fluctuations due to phases of hyper-supply. Key trends include sustained off-plan sales, strategic new community developments by major developers, and a focus on maintaining market stability.
Read the full article on Zawya
Dubai’s Strong Expat Appeal Boosts its Financial Prospects
Dubai ranks as the 9th most liveable city globally for expatriates, bolstering its real estate market through significant demand from its over 80% expat population. This demand supports property prices and rental yields, making Dubai a stable investment destination even during economic downturns. The city's tax-free environment offers expats competitive post-tax salaries compared to other major financial hubs, enhancing its attractiveness for multinational companies and high-income professionals. Expats also drive consumer spending, crucial for Dubai's diversification into non-oil industries. Additionally, Dubai's appeal as a global financial center attracts international talent, benefiting sectors like finance, real estate, retail, and services. This influx of international skills and spending activity underpins Dubai's economy, reinforcing its status as a leading business and investment hub.
Read the full article on Business Outreach
Dubai Real Estate Transactions as Reported on the 13th of March 2024
Dubai's real estate market has exhibited a dynamic performance as of 13 March 2024, with the total transactions reaching an impressive AED 2,025,289,254.82.
The off-plan properties have clearly dominated the market, accounting for a substantial 76% of the total transactions, with a total value of AED 1,541,773,738.28. On the other hand, ready properties represented the remaining 24%, amounting to AED 483,515,516.54.
Within the off-plan segment, flats were the most popular, contributing approximately 69.7% of the off-plan total with a transaction value of AED 1,074,139,920.10. Villas followed with a significant 26.9% contribution, amounting to AED 414,555,006.00. Hotel Apartments and Rooms, while the smallest in terms of volume within the off-plan category, still made a notable contribution of 2.4% with transactions totaling AED 36,318,492.18.
For ready properties, flats were again the leading category with a substantial 64.7% contribution to the ready property total transactions (AED 312,948,982.69). Villas comprised 21.1% of this total, amounting to AED 102,159,358.73. Hotel apartments and rooms added 4.9% to the ready property segment, with a total transaction value of AED 23,892,000.00.
Conclusion
The dominance of off-plan transactions over ready ones indicates a vibrant market with a forward-looking investor sentiment and confidence in the Dubai real estate development pipeline. The high percentage of flat sales in both off-plan and ready transactions suggests a robust demand for residential spaces that cater to a diverse demographic. Villas hold a significant place in the market, reflecting the demand for more spacious and luxury living, while hotel apartments and rooms, though smaller in volume, indicate a niche but persistent interest likely driven by the tourism and business sectors.
Dubai's real estate market continues to show strong fundamentals and remains an attractive avenue for a range of investors and end-users, buoyed by the city's global appeal and continuous growth.
Data Source: Dubai Land Department