Dubai Real Estate Market Sets New Records: May Transactions Hit Record AED 46.5 Billion6 min read
- 08.06.2024
- Posted by: Uwe Hohmann
- Categories: Dubai, Middle East
Dubai’s real estate market achieved record-breaking heights in May, with transaction volumes and values significantly surpassing previous highs.
Dubai’s real estate market reached new heights last month, setting records in both transaction volume and value, as reported by Property Finder on Thursday.
Data from May reveals an impressive 17,713 transactions, a 53% increase compared to May 2023. The total value of these transactions hit AED 46.5 billion, marking a 38% rise.
The market saw a significant boost, with transaction volume surpassing the previous high in March 2024 by 10%, and transaction value exceeding December 2023’s record by 30%.
Popular rental areas for apartments included Dubai Marina, Jumeirah Village Circle, Downtown Dubai, Business Bay, and Jumeirah Lake Towers. For villas and townhouses, Jumeirah, Dubai Hills Estate, Damac Hills 2, Umm Suqeim, and Al Barsha were top choices.
Among prospective buyers, 59% were interested in apartments and 41% in villas or townhouses. Of the apartment seekers, 32% wanted one-bedroom units, 36% preferred two-bedroom units, and 14% were looking for studios. For villas/townhouses, 40% were searching for three-bedroom units and 46% for four or more bedrooms.
The value of off-plan transactions reached approximately AED 22.7 billion, exceeding the previous record in September 2023 by 25%. The existing market also showed strength, with a year-on-year increase of about 8.8% in transaction volume and 6,606 recorded transactions. The value of these transactions rose by 21% year-on-year, reaching around AED 23.8 billion, compared to AED 19.7 billion in May 2023.
Is it a good time to buy property in Dubai?
Deciding whether it’s a good time to buy property in Dubai depends on various factors, including market conditions, personal financial situations, and investment goals. Here are some key points to consider:
Current Market Trends
1. Record-High Transactions: Recent data shows that Dubai’s real estate market is experiencing record-high transaction volumes and values, indicating strong demand.
2. Growth in Off-Plan Investments: The off-plan market has reached unprecedented heights, suggesting confidence in long-term investment prospects.
3. Rising Property Values: With a significant increase in both transaction volume and value, property prices are on an upward trend.
Economic and Investment Climate
1. Economic Stability: Dubai’s economy is robust, with strong growth in various sectors, including tourism, trade, and real estate.
2. Infrastructure Development: Ongoing infrastructure projects, such as the development of Al Maktoum International Airport and mixed-use communities, are enhancing Dubai’s appeal.
3. Favorable Regulations: The government offers attractive incentives for investors, including long-term visas for property investors and initiatives to make the market more transparent and secure.
Personal Financial Situation
1. Affordability: Consider your financial stability, available funds for a down payment, and your ability to secure favorable mortgage terms.
2. Investment Goals: Determine whether you are looking for a long-term investment, rental income, or a place to live. Different goals might lead to different decisions.
How TME Services Can Support Your Business
Our team offers comprehensive real estate services to help you make informed property decisions in Dubai’s dynamic market.
With over 18 years of experience in the UAE and the Middle East, we specialize in legal, tax, accounting, and compliance matters. Visit our services page to learn more about everything we do.
