The real estate market in Dubai has witnessed a significant increase in residential unit transactions in 2024, with a total of 104,250 units sold year to date. This number is only 14,000 units short of the total transactions recorded in the previous year, indicating a strong market performance. Director of Real Estate Research at Emirates NBD, Swapnil Rajasekharan Pillai, expects the activity levels to remain stable for the rest of the year, setting a record for the highest number of residential units sold across the city.
Compared to the previous year, total units sold in August have increased by 32% year on year, with a total value of Dh37.23 billion. The total value of properties sold across Dubai has reached Dh265 billion year to date, up 30% year on year. Off-plan properties continue to be the preferred option for investment, with 66% of total transactions in August being off-plan units. This segment has seen a significant increase in transaction volumes, with a potential jump of up to 468% compared to 2018.
Jumeirah Village Circle (JVC) and Dubai South were among the top locations for off-plan transactions in August, with JVC recording the sale of 1,000 units. Bu Kadra is emerging as a new area for off-plan transactions, with 780 units sold in August. Villa transactions remain stable, with 3,000 units sold in August, of which around three-quarters were off-plan. Dubai South was the preferred choice for off-plan villa developments in August, with 670 units sold in this sub-market.
Dubai has seen a significant increase in new project launches, with over 93,000 new units launched so far this year. Most of the new supply is expected in locations such as Dubai South, JVC, Al Furjan, and Business Bay. Asset prices across apartments have increased by an average of 12% year on year, while villa prices have seen a more robust growth of 23%. Prices have remained stable on a month-on-month basis, with new launches introduced to the market at a premium compared to existing developments.
Overall, the real estate market in Dubai is showing resilience and strong performance in 2024, with a record number of residential units sold across the city. Off-plan properties continue to be a preferred investment choice, with significant transaction volumes and new project launches driving the market forward. As supply continues to increase and prices remain stable, Dubai remains an attractive destination for property investors looking for growth opportunities in the real estate sector.
