Property projects from Tier 1 developers in Dubai are selling out in minutes, if not hours, due to continued strong demand in the emirate, industry sources report.
To capitalize on this robust real estate demand from both residents and international investors, developers are frequently launching new projects.
Developers of all sizes are vying for the attention of real estate agents and buyers, who drive the majority of sales. Recently, a Meraas project reportedly sold out in just 45 minutes, while Abu Dhabi-based Aldar Properties completed sales of its Dubai project within 72 hours.
“T1 developers hold a significant edge due to their strong brand reputation, proven track record, and prime locations. They also have the largest network of brokers, who handle most of their sales, and their overall offerings often outperform those of smaller developers,” said Al Msaddi, CEO of Fäm Properties.
Tier 1 developers include Meraas, Dubai Holding, Emaar Properties, Nakheel, and Damac Properties. Notably, banks offer mortgages for off-plan properties from these Tier 1 developers.
“The projects that sell out quickly are those that offer something unique and differentiate themselves from other market offerings. Even among T1 developers, not every project sells out rapidly. Ultra-luxury projects with very high prices tend to take longer to sell,” added Al Msaddi.
“While the off-plan property market remains strong, not all developers fully leverage it. Projects with distinctive features – like Verve City Walk, which recently sold 427 units in 45 minutes, with a penthouse going for Dh30 million – are notable examples. Successful developers like Meraas invest time and resources into understanding the market, planning thoroughly, and having experienced brokers,” Al Msaddi said.
Aldar Properties sold over 660 units of its Verdes by Haven in Dubai within 72 hours of its launch.
Haven by Aldar, the company’s first Dubai development in collaboration with Dubai Holding, has generated over Dh1 billion through sales events at the Dubai World Trade Centre, Aldar Square in Abu Dhabi, and an international roadshow visiting six markets worldwide.
Expat residents and international buyers accounted for 83% of the sales, with Indian, Egyptian, and British passport holders representing the top three markets by sales volume. UAE nationals made up the remaining 17% of sales.
Female buyers represented 28% of the sales, with male buyers making up 72% of the purchased units. Approximately 56% of buyers were under 45 years old, and first-time buyers comprised 88% of the sales, according to industry studies.
Al Msaddi noted that the market’s strength lies in its diverse international investor base rather than relying on a few nationalities.
“Certain projects may attract higher interest from specific nationalities. For instance, NAS Gardens has seen more interest from Indian, Asian, Arab, Iranian, and Russian buyers. In contrast, seafront projects attract a wider range of nationalities, with a significant European presence,” he said.
Al Msaddi also pointed out that the growing supply of residential properties is leading buyers and investors to be more selective, which indicates a maturing market.
“As competition among real estate developers intensifies, several critical competitive factors determine who stands out,” he added.
“With property values at record highs, the overall unit price is becoming more important than the price per square foot. Payment plans are crucial in the current environment of high borrowing costs,” he concluded.
