Engel & Völkers Middle East has unveiled its Q3 2024 Dubai Real Estate Market Report, highlighting significant growth in both residential and commercial sectors. The total sales for the quarter reached AED 138.8B, showcasing Dubai’s ongoing appeal to international investors.
Notably, residential transactions surged by 40.8% year-on-year, contributing AED 115.6B. In contrast, the commercial sector recorded AED 23.2B in sales, reflecting a 28% increase compared to the same period in 2023.
Dubai’s real estate market thrives on strong economic fundamentals, increasing foreign investment, and its status as a hub for high-net-worth individuals.
The UAE’s projected economic growth of 3.9% in 2024, anticipated to accelerate to 6.2% in 2025, underpins this momentum. Key sectors such as tourism, real estate, and international trade will significantly drive this growth.
“Dubai’s real estate market continues to demonstrate its resilience and appeal to a global audience, as both residential and commercial sectors are experiencing significant growth. The city’s strategic vision, business-friendly environment, and world-class infrastructure continue to attract investors from around the world,” stated Daniel Hadi, CEO of Engel & Völkers Middle East.
Residential Market Dynamics: Off-Plan Properties Dominate
In the residential sector, total transaction volumes soared by 40.8%, reaching AED 115.6B. Off-plan properties constituted over 65% of total transactions, propelled by new project launches and growing investor interest.
More than 30,000 off-plan units sold in Q3 marked a remarkable 62.5% increase from the previous year. Popular communities like Jumeirah Village Circle and Dubai Hills Estate led the charge, while emerging areas attracted notable attention.
Commercial Sector Growth: Demand for Quality Assets
The commercial real estate sector reported AED 23.2B in sales, reflecting a 28% year-on-year increase.
Office sales rose by 12.6%, while retail transactions surged by 16.8%, underscoring the strong demand for premium commercial properties.
Key locations like Business Bay and Jumeirah Lakes Towers continued to dominate as preferred office locations.
Outlook: Positive Trajectory for Dubai’s Real Estate
The outlook for Dubai’s real estate market remains promising. As the UAE’s economy expands, driven by government diversification initiatives in technology, healthcare, and green energy, demand in both residential and commercial sectors is poised for continued growth.
This trajectory aligns well with global market trends, as cities worldwide face similar economic recoveries and surges in property demand. Ultimately, Dubai’s strategic positioning enhances its competitiveness in the global real estate landscape, attracting both investors and homebuyers alike.
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