According to the latest market report from Betterhomes, Dubai experienced 40,584 property transactions valued at AED 104 billion in Q2 2024, marking a 49 percent increase from the same period last year.
Dubai’s real estate market continued its strong performance in the second quarter of 2024, with record-breaking transaction volumes and increasing prices in both sales and rental sectors.
According to the latest market report from Betterhomes, Dubai recorded 40,584 property transactions valued at AED 104 billion in Q2 2024, marking a 49 percent rise compared to the same period last year.
“Reflecting on the remarkable journey of the Dubai real estate market in Q2 2024, it is evident that we are in a period of unprecedented growth and transformation. Record-breaking achievements have become the norm, and we are thrilled to share these milestones with you. In the past quarter alone, we recorded over 40,000 transactions with the Dubai Land Department (DLD),” stated Richard Waind, Chief Executive Officer of Betterhomes.
The report highlights that secondary market villa transactions saw a 36 percent year-on-year increase and a 23 percent rise quarter-on-quarter. This surge is attributed to tenants opting for homeownership in response to rising rental costs.
Off-plan sales also experienced significant growth, with over 200 residential projects launched year-to-date, adding nearly 50,000 units to the market. This reflects strong developer confidence and sustained demand from both end-users and investors.
The average price per square foot in the city reached AED 1,380 in Q2, marking an 18 percent increase compared to Q2 2023 and a 4 percent rise from Q1 2024. This represents a “stabilising trend” for the city’s property prices.
Certain areas saw exceptional price growth, with Palm Jumeirah Fronds experiencing a staggering 75 percent year-on-year increase for villas. Other notable performers included Jumeirah Park (45 percent YoY increase) and Arabian Ranches (22 percent YoY increase).
Dubai rental market insights
The rental market saw 106,181 transactions in Q2, reflecting a 21 percent decline compared to the previous period.
This decrease is attributed to renters transitioning to homeownership, high occupancy rates limiting turnover, and a shortage of new rental supply, according to the report.
Out of all rental transactions, 39 percent were new contracts, while 61 percent were renewals. Popular areas for new rentals included Deira, Bur Dubai, Jumeirah Village Circle, International City, and Business Bay.
The city’s rental yields continue to outperform global markets, with average gross yields of 7.64 percent for apartments and 5.23 percent for villas and townhouses. Some areas, such as Dubai Investments Park and International City, offer yields exceeding 9 percent.
Dubai’s luxury property market showed significant activity in Q2 2024.
There were 664 sales transactions for properties valued at AED 15 million or higher, with notable concentrations in areas like The Oasis (by Emaar), Palm Jumeirah, and Mohammed Bin Rashid Al Maktoum City.
