Dubai Real Estate Market Review 30-Dec-2023
Below are the latest real estate news and transactions.
Binghatti Heights in JVC Completed Ahead of Schedule
Binghatti Developers, a key real estate firm in Dubai, has completed the Binghatti Heights project in Jumeirah Village Circle (JVC) ahead of its planned schedule. This accomplishment is part of the company's broader goal to finish multiple projects in JVC within a year. Binghatti Heights is centrally located in Dubai, making it attractive to both investors and homeowners.
The project comprises 365 residential units with one to three bedrooms, each designed with modern aesthetics and high-tech features. Amenities include swimming pools, green spaces, parking, and a gym. Muhammad BinGhatti, the company's CEO, highlights their role in boosting the UAE real estate market and attracting international investors.
The JVC area, known for being family-friendly and offering high investment returns, is strategically placed near major Dubai roads. Binghatti Developers has launched over 20 projects in JVC in the past three years. BinGhatti acknowledges the UAE's real estate sector's global significance, driven by national efforts and growing global investment interest.
Read the full article at Zawya
Dubai leads luxury property sales globally, South Africans get in on the action
Dubai is leading global luxury property price growth in 2023, according to Samuel Seeff, chairman of Seeff Property Group. The city's market is thriving post-pandemic, with property prices having increased by 225% since late 2020, and showing a year-on-year growth of 48.8% in 2023. This growth contrasts with the slowdown in other luxury markets worldwide.
The optimism in Dubai's economy and property market is evident, with significant events like the formal launch of Seeff Dubai attracting dignitaries, including a representative of the Dubai Royal Family. Dubai is experiencing a "golden phase," with an influx of around half a million people. This surge is attracting buyers and investors, especially the wealthy seeking stable and growing investment opportunities.
Dubai's appeal lies in its status as a Middle Eastern hub, attracting constant business and tourist traffic and offering high yields on rental investments. The property market is so robust that Azizi Developers recently sold out an entire tower block on its launch day. Most excess property stock has been absorbed, leading to new developments to meet the rental housing demand.
Nombasa Mawela, licensee for Seeff Dubai, highlights the investment benefits for South African investors. Dubai offers attractive financial options, including the ability to open offshore bank accounts and secure mortgage finance up to 75% of the purchase price. Developers are offering alternative payment plans with low upfront investments and guaranteed returns if properties are put on the rental market.
Investing in Dubai also offers a foothold in the international market, with the Dubai Golden Visa allowing up to a 10-year residency for investors and their families. Mawela notes that investment processes are straightforward, with properties like the new Mag330 development offering studio to three-bedroom units with five-star amenities in the “City of Arabia”.
Investors can benefit from signing discounts, a 24% down payment, and interest-free payment tranches, with rental yields of 7% to 8%. Mawela advises working with credible realtors for suitable investments.
Seeff concludes that Dubai's dynamic property market, bolstered by post-Covid population growth, presents one of the hottest rental investment opportunities globally.
Read the full article at bizcommunity.com
Summary of weekly real estate transactions for the week ending 29 December 2023
During the week ending 29 December 2023, Dubai's real estate market saw transactions totaling AED 14 billion, encompassing 3,063 transactions. This included the sale of 216 plots for AED 4.38 billion and 2,126 apartments and villas for AED 5.38 billion.
The top three transactions were significant land sales: one in Zaabeel Second for AED 600 million, another in Al Thanyah Fifth for AED 456.52 million, and a third in Wadi Al Safa 4 for AED 213.4 million. The areas with the most sales activity were Madinat Hind 4 with 34 transactions worth AED 52.39 million, Palm Jabal Ali with 32 transactions totaling AED 916.04 million, and Al Hebiah Fifth with 25 transactions worth AED 117.95 million.
The highest-valued transfers for apartments and villas included a property in Business Bay sold for AED 357.39 million, one in Al Barsha First for AED 150 million, and another in Madinat Dubai Almelaheyah for AED 131.5 million.
The total value of mortgaged properties for the week was AED 3.17 billion, with the largest being a land in Zaabeel Second mortgaged for AED 600 million. Additionally, 203 properties were transferred between first-degree relatives, totaling a value of AED 2 billion.
Read the full article at Zawya