Off-plan & Ready Properties for Sale in Dubai

Dubai Real Estate Market Report – 4th Quarter 2023

The Dubai real estate market in the fourth quarter of 2023 presents a dynamic and evolving landscape. The period witnessed a total of 35,430 property sale transactions, indicating a slight decrease of 3.5% quarter-on-quarter. However, when compared to the fourth quarter of 2022, there was a significant rise of 23.1%. This suggests a robust year-over-year growth despite the recent quarterly dip.

The total sales value reached an impressive 122.3 billion AED, showcasing a substantial increase of 12% from the previous quarter and a remarkable 50.8% rise from the fourth quarter of 2022. This growth in sales value outpaces the increase in the number of transactions, indicating a market with increasing property values or a shift towards higher-valued properties.

Top Performing Areas

By Volume

  1. Jumeirah Village Circle (JVC)
  2. Mohammed Bin Rashid City (MBR City)
  3. Business Bay
  4. Dubai Marina
  5. Dubai Hills Estates

By Value

  1. Palm Jebel Ali
  2. Dubai Marina
  3. Business Bay
  4. Downtown Dubai
  5. Palm Jumeirah

These areas represent a mix of well-established locales like Dubai Marina and emerging hotspots like Palm Jebel Ali. The diversity in these top-performing areas highlights the varied appeal of different regions in Dubai, catering to a range of preferences and budgets.

Sales Distribution by Price Range

  • Below 1 Million AED: 33%
  • 1-2 Million AED: 28%
  • 2-3 Million AED: 16%
  • 3-5 Million AED: 12%
  • More than 5 Million AED: 11%

This distribution indicates a significant market segment for properties below 2 million AED, accounting for 61% of all sales. However, a considerable portion of transactions in higher price brackets reflects a healthy demand in the luxury segment.

Sales Volume and Value by Type

  • Offplan Sales: 61% Volume, 69% Value
  • Ready Properties: 39% Volume, 31% Value

Offplan properties dominate the market, both in terms of volume and value. This trend points to a strong investor confidence in new developments and a future-focused market sentiment.

Mortgage Market

  • Transactions: 8,209, a 15.8% increase from Q4 2022
  • Total Value: 31.3 billion AED, a significant decrease of 40.5% from Q4 2022

The mortgage market shows a mixed trend with an increase in the number of transactions but a substantial decrease in total value. This could indicate a shift towards more affordable housing options or changes in financing conditions.

Luxury Segment: Top 5 Expensive Sales

Apartments

  1. Como Residences, Palm Jumeirah – AED 500M
  2. AVA at Palm Jumeirah by Omniyat – AED 220M
  3. One Za’abeel Tower, Za’abeel First – AED 200M
  4. BULGARI Lighthouse Dubai, Island 2 – AED 144M
  5. Casa Canal, Dubai Water Canal – AED 135M

Villas

  1. Palm Jumeirah – AED 200M
  2. Tilal Al Ghaf – AED 100M
  3. Emirate Living – AED 95M
  4. The World – AED 72M
  5. MBR District 1 – AED 66M

The luxury property segment continues to thrive, with Palm Jumeirah emerging as a prominent area for high-value transactions in both apartments and villas.

The Q4 2023 data reflects a vibrant and diverse Dubai real estate market. The growth in total sales value, the dominance of offplan sales, and the buoyant luxury segment point to a market with strong investor confidence and a positive outlook. The varied performance across different areas and price ranges highlights the broad appeal of Dubai’s real estate, catering to a diverse range of investors and end-users. The shift in mortgage market dynamics warrants further observation to understand the long-term implications on the overall market health.

Dubai real estate market in Q4 2023 demonstrates robustness and diversity, with promising indicators for sustained growth and investor interest across various segments.

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