Dubai’s real estate market reaches new heights, with substantial growth reported in July 2024
Dubai Property market hit a record $13.5 billion (AED 49.6 billion) in sales for July 2024, marking a significant 31.63 percent increase compared to the same period last year, according to an industry report by Springfield Properties.
The report highlights a remarkable 43.2 percent rise in the number of transactions of Dubai Property, totaling 15,994 for the month, compared to July 2023. It also notes substantial growth in the off-plan property market during the first half of 2024.
Dubai Real Estate Surge
This remarkable surge reflects strong demand and investor confidence in Dubai’s real estate sector, driven by strategic developments and favorable economic conditions, according to Springfield Properties. The off-plan market saw impressive growth, with sales transactions reaching AED 103.8 billion in the first half of 2024. The thriving rental market, offering higher yields, supports this trend.
“The exceptional performance of Dubai’s real estate market in H1 2024 underscores the city’s dynamic growth and resilience,” said Farooq Syed, CEO of Springfield Properties. “This surge in off-plan property sales highlights Dubai’s strategic importance as a global investment hub.”
Syed attributed Dubai’s appeal to innovative developments, supportive government policies, and a robust economic environment, making it an attractive destination for global investors.
He expressed optimism about continued growth and opportunities in the latter half of the year.
The report also noted that property sales in July have surged from $1.2 billion (AED 4.4 billion) and 2,300 transactions in 2020 to nearly $13.7 billion (AED 50 billion) and 16,000 transactions in 2024.
Key areas for affordable off-plan properties include Dubai Investments Park (DIP), Dubailand, Dubai Residence Complex, and Dubai South. Verdana 2 in DIP and Reportage Village in Dubai are popular among budget-conscious buyers. For the mid-tier segment, Jumeirah Village Circle (JVC), Arjan, and Jumeirah Lake Towers (JLT) attract considerable interest, while Al Furjan and Arabian Ranches 3 are preferred for villas. The luxury market remains dominated by high-rise projects in Business Bay, Downtown Dubai, and Palm Jumeirah.
The report reveals that off-plan sales have outpaced ready properties; consequently, they account for 67 percent of the total sales value. “The strong demand has heightened competition, drawing investors to prime locations for their potential returns and strategic benefits,” the report added.
Dubai continues to attract high-net-worth (HNWIs) and ultra-high-net-worth individuals (UHNWIs), with 196 sales exceeding $10 million in H1 2024, reinforcing its status as a premier destination for luxury real estate. The off-plan market remains robust, with approximately 48,000 new units launched during H1, showing promising growth amidst a rising influx of new residents, according to Bayut.