Better Homes identifies potential markets for both homeowners and investors in Dubai.
In January 2024, the off-plan market dominated the sales in the Dubai real estate sector, with residential off-plan sales making up 58.3% of the total sales volume. Transferred title deeds constituted 41.7% of the sales, as reported by property specialist Betterhomes.
According to a recent report, Palm Jumeirah villa sales prices saw a 2.85% increase, and JVC apartment prices experienced a rise of 4%. Betterhomes highlighted that the majority of sales in the Dubai real estate sector came from the off-plan market. The report revealed that 58.3% of the total sales volume was attributed to residential off-plan sales, while transferred title deeds accounted for 41.7%. Additionally, there was a 2.85% increase in sales prices for Palm Jumeirah villas, and JVC apartment prices rose by 4%.
Dubai off-plan property sales
Various parts of the city have attracted the interest of both investors and end-users, mainly due to Dubai’s quality of life, strict safety standards, and employment opportunities.
With the real estate market in Dubai reaching a historic high of $9.6 billion in January 2024, there has been significant sales growth.
This increase is mainly fueled by unprecedented demand in prime investment zones such as Downtown, District 1 MBR, and Dubai Creek Harbour.
Highlighting Dubai’s appeal as a magnet for wealth migration, the UAE secures the second position globally, surpassing even the United States.
This solidifies the city’s reputation as a preferred destination for discerning investors seeking profitable opportunities.
Properties acquired during the pandemic have seen a substantial increase in value, ranging from a conservative estimate of 50 per cent to as much as 200 per cent in certain areas, indicating high returns for investors who made purchases during that period.
A comprehensive analysis by Better Homes identified several key investment areas in the city:
– Downtown Dubai: Providing luxury residential and commercial properties, starting from AED 2,056 ($560) per square foot, embodying cosmopolitan living.
– District1 MBR: An exclusive residential district with upscale amenities, starting from AED 1,724 ($469) per square foot, appealing to high-net-worth individuals seeking sophistication and privacy.
– Dubai Creek Harbour: A visionary waterfront community along the Creek, featuring a mix of residential towers, commercial precincts, and iconic landmarks like the Creek Tower. Prices start from AED 2,056 ($560) per square foot.
– Dubai Hills: A master-planned community with picturesque landscapes and world-class amenities, starting from AED 1,962 ($534) per square foot.
– Palm Jumeirah: Known for lavish waterfront properties and unparalleled views, starting from AED 6,092 ($1,659) per square foot.
– Bluewaters Island: A vibrant mixed-use development off Jumeirah Beach Residence, boasting the world’s largest observation wheel, along with luxurious waterfront residences, upscale dining, and entertainment options. Prices start from AED 4,805 ($1,308) per square foot.
Furthermore, there is also a soaring demand for off-plan properties, with a significant 48 per cent year-on-year increase in 2023, indicating investor confidence in the city’s real estate market and its long-term growth potential.
Looking forward to 2024, prime investment opportunities are abundant in areas such as Jumeirah Village Circle, Maritime City, and Downtown for apartments, while communities like The Valley, Dubai South, and California Village stand out for villas and townhouses.
Toni Abou Jaoude, Sales Manager at Betterhomes, mentioned: “Dubai’s real estate market provides an exceptional environment for both investment success and comfortable retirement. The shift from tenants to homeowners and their preference for property investment consolidate the investor base, further enhancing Dubai’s real estate market appeal.”
