Dubai’s residential Real Estate market witnessed notable growth in June, marking its strongest increase since 2014. The average price for residential units surged by 16.9% Annually, with apartments experiencing a growth of over 17% and villas rising by 15%.
The volume of transactions in Dubai also saw a significant rise, reaching 9,876 in June, reflecting a nearly 19% annual increase. Off-plan transactions grew by almost 45%, while the secondary market transactions showed a slight softening.
Dubai’s economy expanded by 4.6% in the first nine months of 2022, primarily driven by wholesale and retail trade. The property market has rebounded strongly, supported by initiatives such as the golden visa program, economic gains from Expo 2020 Dubai, and higher oil prices.
Dubai has emerged as the leading market for $10-million homes, surpassing Hong Kong and New York. Sales of such luxury properties reached $3.1 billion in the first half of the year. Downtown Dubai and Palm Jumeirah recorded the highest sales rates per square foot in the apartment and villa segments, respectively.
In the rental market, average rents increased by 22.8% year-on-year, with the annual apartment and villa rents reaching Dh104,685 and Dh314,552, respectively. However, the rental market is witnessing a softening trend, with rental growth rates in major areas moderating and many listings reducing their asking rents.
