Dubai real estate analysts have projected growth for the sector for the remainder of the year, driven by rising prices and sales volumes. Elite Merit Real Estate forecasts ongoing expansion in the UAE market due to strong demand, a surge in new developments, and advanced technologies. Their analysis suggests a positive outlook for Dubai’s real estate in the 2024-2025 business year, with anticipated strong sales, increasing property values, and rapid absorption of new inventory expected to continue the growth trend.
This growth is anticipated to be supported by both domestic and international investors, highlighting the market’s resilience and strategic importance. Dubai’s market is on track for a strong 2024, with record sales and values. In July 2024, property sales reached AED 49.6B, up 31.63% from the previous year, driven by high demand for luxury properties in prime locations like Palm Jumeirah.
The first half of 2024 saw over 43,000 transactions valued at approximately AED 122.9B, marking a 30% increase from the previous year. The swift sale of new inventory, with 80% of units launched since 2022 already sold, contributes to this growth. However, with around 41,000 units expected in 2025 and 42,000 in 2026, there is a risk of oversupply, which could stabilise or slightly lower prices.
Investors should time their investments carefully in the 2024-2025 season. While the luxury market remains strong, there is growing interest in mid-tier and affordable segments. Technological advancements, such as AI and digital platforms, are transforming property marketing and sales, making processes more transparent and efficient. Despite these advancements, challenges such as potential oversupply and diminishing prime land availability may affect market dynamics.
