Robust Demand Drives Sale of 80% of 214 New Real Estate Projects in Dubai Over Three Years – N24

The real estate sector in Dubai has witnessed significant momentum over the past three years. Since 2022, 80% of new units launched in Dubai have been sold, reflecting a robust demand for off-plan projects in the emirate. According to data from the Dubai Land Department, 214 new projects have been launched during this period, with 148 of these still under construction. The city has seen the introduction of numerous large-scale and diverse real estate developments by both local and international developers.

A report by CBRE, a real estate consultancy, highlights that many developers have managed to sell their entire stock of properties within a relatively short period post-pandemic. In some cases, entire projects were sold out in a single day, while others were sold within hours. The residential real estate market in Dubai has been experiencing exceptionally high demand, driven by end-users and residents looking to purchase their own homes, along with a substantial influx of affluent individuals seeking to live in the emirate.

According to CBRE, the total transaction volume in May reached 15,766 deals, marking a 44.2% increase compared to the previous year. This figure represents the highest monthly record ever. Similarly, prices have surpassed their previous peaks observed in 2014. In May 2024, prices reached 1,360 dirhams per square foot, representing a 10.25% increase over the previous record high set in September 2014.

The monthly report from CBRE also indicates a significant shift in market dynamics since 2019. Historically, the primary focus of sales transactions was in the main and upscale residential areas of Dubai, typically located around various central business districts or entertainment destinations in the city.

These figures underscore the dynamic and ever-changing nature of the real estate market in Dubai. The fact that the majority of projects launched since 2022 have already been sold presents a positive outlook for developers. It is anticipated that Dubai‘s real estate market will continue to demonstrate strong performance in the future. Ongoing and planned projects in the city continue to attract both local and foreign investors.

In summary, the real estate sector in Dubai has gained significant momentum in the post-pandemic period, and this trend is expected to persist. The high demand for off-plan projects is fueling market activity, while rising prices are capturing the attention of investors. The allure of Dubai is further enhanced by these dynamic real estate trends. The emirate remains a focal point for those seeking investment opportunities in a rapidly evolving market.

As the real estate landscape in Dubai continues to transform, the data from recent years paints a picture of a resilient and thriving market. Developers are capitalizing on the demand surge, with many achieving swift sales turnarounds. The continuous influx of high-net-worth individuals is contributing to the elevated demand, solidifying Dubai‘s position as a premier real estate destination. The city’s market resilience and growth potential make it an attractive hub for real estate investments, ensuring its sustained appeal in the global arena.

This surge in demand and the resulting sales success illustrate the vibrancy of Dubai‘s real estate sector. With strategic developments and an ongoing influx of investment, Dubai is poised to maintain its robust market performance, offering lucrative opportunities for developers and investors alike.