The most in-demand rental choice was the two-bedroom apartment, making up 35% of total searches, with one-bedroom apartments closely trailing behind at 33%.
DUBAI, UNITED ARAB EMIRATES:
Property Finder, the primary property portal in the MENA region, has unveiled key market performance indicators for February 2024, providing crucial insights into the real estate sector.
In February 2024, there was a notable year-on-year surge of over 27% in registered sales transactions, exceeding 11,900 compared to the 9,371 recorded in February 2023. Building on the positive trends of 2023, transaction values exhibited a significant upswing, reaching nearly AED 36.6 billion, reflecting a 35% increase from the same month the previous year and underscoring the resilience and vitality of the real estate market.
Apartments vs Villas/Townhouses:
Among individuals interested in purchasing property, 59% are looking for apartments, and 41% have their sights set on Villas/Townhouses. In the rental market, about 80% of tenants are in search of apartments, leaving 20% actively seeking ownership of a villa/townhouse.
| Preferred No. of bedrooms for renting Apartments
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Preferred No. of bedrooms for renting Villas/Townhouses
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Furnished vs Unfurnished:
Approximately 60.7% of apartment-seeking tenants show a preference for furnished properties, while 36.6% are in search of unfurnished options. On the other hand, tenants with the means to afford villa/townhouse rentals exhibit distinct preferences, with around 55.5% opting for unfurnished units and 42.6% expressing interest in furnished options.
Sizeable units in demand:
One-bedroom units were the top choice for approximately 36% of tenants, followed by two-bedroom apartments at 31%, and studios at 22%. In the Villas/Townhouses category, 42% of tenants were predominantly searching for three-bedroom units, while 35% were seeking four-bedroom or larger options. In terms of ownership, about 33% of home seekers or investors were looking for one-bedroom units, with 35% preferring two-bedroom apartments, and 15% in search of studios. For Villas/Townhouses, 40% of home seekers favored three-bedroom units, while 44% were exploring four-bedroom or larger options.
Ownership vs rental choices:
The most sought-after locations for apartment ownership included Dubai Marina, Downtown Dubai, Jumeirah Village Circle, Business Bay, and Palm Jumeirah. Meanwhile, Dubai Hills Estate, Al Furjan, Arabian Ranches, Palm Jumeirah, and Mohammed Bin Rashid City emerged as the top choices for owning villas/townhouses. In the realm of rentals, Dubai Marina, Jumeirah Village Circle, Downtown Dubai, Business Bay, and Deira led the way. Simultaneously, Dubai Hills Estate, Damac Hills 2, Jumeirah, Al Barsha, and Umm Suqeim were in high demand for those seeking to rent villas/townhouses.
Support from existing market:
The volume of existing property transactions showed a year-on-year (YoY) growth of around 23%, totaling over 5,500 transactions. The value of these transactions experienced a YoY surge of 46%, reaching AED 23.5 billion, as opposed to AED 16 billion recorded in February 2023.
Growing demand for off-plan:
The off-plan sector witnessed heightened demand, with existing property transactions showing a year-on-year (YoY) increase of approximately 31%, totaling 6,385 recorded transactions. The value of these transactions surged by around 18.5% YoY, reaching approximately AED 13 billion, as opposed to AED 11 billion in February 2023.
Cherif Sleiman, Chief Revenue Officer at Property Finder, said: “We are excited to observe that February has sustained the positive momentum set in January, signaling optimistic prospects for continued success throughout 2024. The month has witnessed a notable surge in the real estate market, experiencing substantial increases in both transaction volume and value. This underscores the industry’s resilience and dynamism, reflecting encouraging trends and potential opportunities for investors and prospective homeowners. Notably, while existing property transactions showed robust growth in both volume and value, off-plan transactions demonstrated even higher demand, experiencing a significant YoY increase in volume. At Property Finder, we go beyond mere observation, aiming to empower our partners and property seekers by providing the insights and tools necessary to not only navigate but thrive in today’s dynamic real estate landscape.”
