The increase in activity is due to Dubai’s rising attractiveness, with each quarter exceeding the previous ones in transaction records.
Dubai’s off-plan property market set a new record in Q2 2024, with 25,466 transactions totaling over AED 52 billion, according to a report by Betterhomes. This represents an 81% increase compared to the same period last year.
Villas experienced a 44% year-on-year rise in transactions and a 76% increase in value. Off-plan apartments dominated the market, with transactions increasing by 86% year-on-year.
The surge in activity is attributed to Dubai’s growing appeal, with each quarter breaking previous transaction records. The market has shifted towards off-plan transactions as developers launch new projects to meet rising demand.
As the first emirate to allow property ownership for non-Emiratis, Dubai now has the highest future residential supply in designated freehold areas, with over 70% of new developments located in these zones.
“The market sentiment heavily favors off-plan projects, driven by a notable shortage of ready-to-move-in inventory,” the report added.
Developers have launched over 200 residential projects in 2024, adding nearly 50,000 units to the off-plan market.
The luxury off-plan market, for properties valued over AED 15 million, remains strong. Palm Jumeirah leads with 51 transactions, followed by Dubai Water Canal and Dubai Healthcare City II, with 28 and 18 transactions, respectively.
The top five areas for apartment and villa transactions in Q2 2024 were Jumeirah Village Circle, Mohammed Bin Rashid City, Business Bay, Ras Al Khor, and Dubai Hills Estate, the report stated, citing Property Monitor.
Dubai’s off-plan property market remains appealing to a diverse group of buyers. In the villa segment, properties priced between AED2 to 5 million make up 75 percent of sales.
This price range attracts buyers looking for more space and amenities without moving into the luxury market.
In the off-plan apartment sector, properties priced under AED2 million dominate, accounting for 71 percent of total transactions. This price point is attractive to middle-income earners, expatriates, and investors with lower capital, due to its affordability and accessibility.
