Dubai Real Estate Market Review 26-Dec-2023
Below are the latest real estate news and trasactions.
Where are UAE property prices headed in 2024?
The UAE's property market is experiencing significant growth, with rising demand driving up prices. In Dubai, residential prices are projected to increase by 5% to 7%, and in Abu Dhabi by 3% to 5%. This growth is supported by government initiatives and overall economic expansion. Despite this, there's potential for a market shift in mid-2024, particularly affecting the luxury segment.
Property transactions in Dubai and Abu Dhabi have shown remarkable increases in 2023. The demand is largely fueled by international investors from various regions, including India, China, the UK, Europe, Latin America, and North America.
While new real estate units are expected in the coming years, the current demand still exceeds supply, indicating stable property prices for the near future. Major developers are actively launching new projects, keeping up with the strong market demand.
Read the full article at The National
Dubai property owners increasingly opting for flipping as prices hit all-time high
Property prices in Dubai have reached a record high of Dh1,271 per square foot, surpassing the previous peak of September 2014. This surge in prices has led property owners and investors to engage in flipping, and extensively remodeling their properties to sell them at higher rates. This trend is especially prevalent in prime and in-demand locations.
The current market shows a 15% gap between average seller sales listing prices and actual transferred property sales prices. With real estate demand at an all-time high, sellers are adding a premium to listing prices. Richard Waind, CEO of Betterhomes, predicts that 2024 might see a stabilization in prices due to an increase in available properties and continued new project launches by developers. This could bring some relief to renters later in the year as more new homes enter the market.
The high prices in central locations have led to a migration towards more affordable areas. Homeowners are moving from prime locations to up-and-coming suburbs and new residential communities like Jumeirah Village Circle (JVC), Dubai South, Townsquare, Reem, and Arjan, which offer better value and space.
Read the full article at Zawya
Dubai Real Estate Transactions as Reported on the 25th of December 2023
On 25-Dec-2023, Dubai's real estate market reported significant transaction volumes, with a notable preference for ready properties. The total investment in ready properties amounted to AED 607,421,533.23. Breaking this down, flats accounted for the majority of transactions, with a sum of AED 407,370,477.67. Villas followed, with transactions worth AED 105,591,761.79, and hotel apartments and residences logged AED 21,950,840.10 in sales.
In contrast, off-plan property investments registered a total of AED 128,974,860.54. Flats dominated this segment with AED 96,947,577.42 in transactions, while villas and hotel apartments and residences reported sales of AED 24,881,812.00 and AED 7,145,471.12, respectively.
The Data Source is Dubai Land Department