Off-plan or ready real estate sales? Property Finder crunches the numbers after a record $38.7bn sales quarter
With the Dubai real estate sector achieving a record quarter for transactions, a Property Finder report has crunched the numbers on whether the market is led by off-plan or ready property sales.
Dubai surpassed previous records, marking the highest volume of quarterly transactions with a total of 50,439, and values touching AED142bn ($38.7bn).
Q3 2024 outperformed the market peak from Q2 2024 by 15 per cent in volume and 14.5 per cent in value, largely led by off-plan transactions, which accounted for 63 per cent of the total transactions, compared to 55 per cent in Q3 2023.
Dubai real estate: Off-plan v Ready property
Key insights included in the report look at the success of the off-plan market in the emirate.
Off-plan sales in Dubai demonstrated increased demand, with a year-on-year volume growth of roughly 58.7 per cent, touching 31,800 transactions.
This marked the highest volume for a quarter ever recorded. In terms of values, there was a year-on-year surge of around 42.3 per cent, amounting to AED67.45bn ($18.4bn), compared to AED47.39bn ($12.9bn) in Q3 2023.
The market also surpassed its 2009 peak, with 31,800 transactions compared to 26,629 in 2009, reflecting a 19.4 per cent increase.
The existing property market also saw growth in the previous quarter with transactions showing a year-on-year increase of around 13.3 per cent in volume. This came as there were around 18,639 transactions, compared to 16,450 during the same quarter last year.
This accounted for 37 per cent of the total transactions in Q3 2024. The market also experienced a notable volume growth of 7.9 per cent from Q2 2024.
The value of these transactions increased by 20.8 per cent YoY, touching AED74.53bn ($20.3bn), compared to AED61.7bn ($16.8bn) in Q3 2023.
This contributed to 52 per cent of the total sales transaction values, compared to 57 per cent in Q3 2023.
Cherif Sleiman, Chief Revenue Officer at Property Finder, said: “Q3 2024 achieved significant milestones for Dubai’s real estate market, reflecting a robust surge in activity and a clear shift towards owner-occupancy.
“This transformative trend underscores the growing appeal of off-plan properties, which are increasingly resonating with buyers. We’ve observed an uptick in buy-to-live transactions, evidenced by the increase in mortgage processing through our Mortgage Finder advisory service.
“We also welcomed The Dubai Real Estate Strategy 2033 this quarter, aligning seamlessly with our own vision, reinforcing the importance of strategic investments and cross-industry collaboration to enhance resilience within the sector”.
Courtesy of Arabian Business
