Welcome to our monthly market update! If you are eyeing Dubai’s premium properties, this is your essential data insights to enable informed investment decisions.
Another month of remarkable growth in the property sector showing no signs of summer break. Here’s a closer look at the impressive figures recorded in July.
The volume of real estate sales transactions reached 16,487 second highest month this year after May. 50.92 billion AED (13.87 billion USD) in total sales value, making it the month with the highest value of transactions this year.
This represents a 43.2% increase from July last year, underscoring the market’s sustained demand and the growing interest from global investors drawn by the returns on real estate investments in the city.
66% of total sales transactions volume was for off-plan properties, making a 49.7% increase compared to the same time last year. Notably on 15 July was the highest value of sales for off-plan projects driven by new launches.
Factors such as lower prices and flexible payment plans offered by property developers, potential for capital gains from re-sale by the time they are completed, continuous population growth, economy and business-friendly environment and strong buyer protection laws, create a favorable environment for off-plan property sales in Dubai, attracting both local and international investors.
The secondary market for ready properties had an overall demand of 34% of total sales transactions volume for the month. This has resulted in 34.2% increase compared to same month last year.
Buyers for ready properties can move in or start renting it out right away which is appealing for those looking for immediate returns, while they can see exactly what they are purchasing. Ready properties in prime locations can offer high rental yields, making them an attractive option for investors looking for investment returns.
Breaking down the overall transactions volume by asset class* for July:
Apartments 71 %
Villas and Townhouses 13 %
Commercial properties 2 %
Land plots 5 %
Highlighting the multitude of benefits that the Dubai real estate market offers, remembers' us why it makes it an attractive investment destination:
Freehold property ownership and Zero property tax
Zero personal income tax or capital gains tax, or withholding tax
100% foreign business ownership
100% repatriation of capital investment and total profit earned
10-year investor Visa
Investor-friendly policies providing foreign investment protection
One of the world’s top tourist centers
Real estate activities sector... achieved a growth rate of 3.7% during the first quarter of 2024, contributing 7.3% to the emirate's GDP
Final Thoughts
With it's established infrastructure Dubai real estate market has shown resilience and stability over the years, encouraging buyers to invest driven by the continuous influx of expatriates and population growth. The thriving tourism and hospitality sectors also contribute to the demand for real estate, including off-plan properties. These factors collectively contribute to the strong demand for property sales, making it a vibrant and dynamic real estate market.
Stay tuned for more real estate investment insights and updates as we continue to monitor this landscape in the emirate.
Source: Dubai Land Department, DXB Interact
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