Dubai real estate sector carried to a record transaction performance by remarkable off-plan sector
The Dubai real estate sector recorded a record month in October with AED61.5bn ($16.7bn) of transactions, an impressive 56 percent up on the previous year, according to Property Finder.
It represents the highest values ever recorded for a month and came from 20,670 transactions, up 71 per cent on October 2023.
The Property Finder report identified key trends for property ownership and rents in Dubai.
Dubai real estate analysis
Property Finder said 32 per cent of people who seek to own or invest in properties are searching for one-bedroom units, with 36 per cent showing an inclination for two-bedroom apartments and 14 per cent for studios.
Potential investors looking for villas or townhouses included 38 per cent searching for three-bedroom units and 49 per cent for four bedroom or larger options.
Popular areas for apartment ownership were:
- Dubai Marina
- Downtown Dubai
- Jumeirah Village Circle
- Business Bay
- Palm Jumeirah
The most desired areas to own villas or townhouses were:
- Dubai Hills Estate
- Al Furjan
- Palm Jumeirah
- Dubai Land
- Mohammed Bin Rashid City
Property Finder also offered a breakdown on the performances of the off-plan versus existing real estate markets. In October 2024, the existing market recorded the highest volume and value of transactions ever.
There were 7,140 transactions, compared to 5,598 in October 2023, with an increase of 27.5 per cent. In terms of value, the ready market recorded transactions worth around AED33.7bn ($9.2bn) to break through the highest peak recorded in July 2024 by 11 per cent.
The off-plan market witnessed a year-on-year increase of approximately 109 per cent in volume, with around 13,530 transactions. The value of these transactions experienced a notable increase of 102.4 per cent, touching approximately AED27.7bn ($7.5bn), compared to AED13.7bn ($3.7bn) in October 2023.
Cherif Sleiman, Chief Revenue Officer at Property Finder, said: “As we move into the final quarter of the year, the market remains poised for further expansion, driven by both local and international investor confidence. October has highlighted the resilience of both off-plan and existing properties, continuing the upward trend across volume and value of transactions seen year-on-year.
“Recent initiatives by the nation’s leadership including the Dubai Real Estate Sector Strategy 2033 are a testament to this progress. We are on track to successfully realise this vision to double the real estate sector’s contribution to GDP, particularly through enhanced knowledge-sharing for greater transparency”.
In terms of the rental market, Property Finder shared details on preferred areas, furnishing preferences and the sizes of homes sought.
Roughly 65 per cent of tenants looking for apartments preferred furnished properties, while 34 per cent turned to unfurnished options.
Tenants who sought villas or townhouses showed a difference in preference, with around 53 per cent searching for unfurnished units and 46 per cent going for furnished properties.
When searching for apartments, 35 per cent of tenants were looking for one-bedroom units, while 32 per cent expressed a preference for two-bedroom apartments and 23 per cent for studios.
41 per cent of tenants looked for three-bedroom villas and 38 per cent searched for four bedroom or larger options.
Top areas searched to rent apartments included:
- Dubai Marina
- Downtown Dubai
- Business Bay
- Jumeirah Village Circle
- Jumeirah Lake Towers
The most popular neighbourhoods among those looking to rent villas or townhouses were:
- Jumeirah
- Dubai Hills Estate
- Damac Hills 2
- Al Barsha
- Umm Suqeim
Sources…
