Dubai has shown good growth in a period from 2023 to till now (June 2024) where there was a huge slowdown in the economy of several countries. This popular city in UAE is showing a good future for the people who decide to stay here and invest in luxurious properties.
There was some prediction in the last year that the property market of Dubai will see a halt in the year 2024 but the market has been doing very well. The property sales and rental prices are rising by a good percentage. This shows that the properties in Dubai are very much in demand where people from all around the world are looking for their dream house in a prime location.
Dubai has become a hotspot for property investors where the buyers have a huge collection of choices of properties from high-rise modern buildings to low-rise luxurious villas and townhouses. For the past few years, some brokers and property agents working in Dubai saw a rapid growth in a short period and expected that in 2024 there might be some decrease in the demand for properties in Dubai and the pricing of properties will also not rise. But the price of the properties is increasing by 5 to 7 percent according to the location of that property.
If we look at the current situation of Dubai’s property market, it is holding up quite good and is also thriving. One of the main things that is still pushing the real estate of Dubai is the foreign investors. Buyers from other countries find Dubai a fine place to invest or buy a property because of its safe environment and modern standard of living that it offers. People normally come to Dubai to spend holidays and to do jobs or start commercial activities with good profit. Foreigners find Dubai’s property market much more profitable because this city has been able to face COVID-19 with not so harsh downfall and was among the safe places and markets in the world. This is why people invest in Dubai.
A report from a popular company that works in the field of real estate has shown that the sales of luxurious properties in Dubai were around 74.6 billion dollars which shows the huge demand for houses in Dubai. In 2024 the growth in transactions for luxurious properties is higher where about 24 billion dollars worth of properties have changed hands in just the first three months and these numbers will go up till the month of December. This boom is just different from what was expected last year but it is good for both buyers and sellers of properties.
Dubai is one of the popular cities where a large number of millionaires live. This means that it is a lavish place having a lifestyle of high standards for the people who live there. Since the year 2020 city-wide prices are rising by 60 percent whereas the rents for houses have increased by more than 80 percent. This change was seen after the government took several steps to promote and improve the real estate of cities like Dubai in UAE because there was some price hit of oil that affected the local economies. Dubai Land Department(DLD) is also working with builders to support local people and citizens to work in the property market.
Another reason for this property boom is because of the return of affordable houses. Developers like Damac Properties and Binghatti Developers are launching properties under the price of AED 1 million and projects like ELO 3 by Damac start at just AED 0.58 million which is making a buzz in the market which can be seen from its first phase that was sold in just a few days. Binghatti also came up with its Phantom located in Jumeirah Village Circle(JVC) and the starting amount was AED 999,999.
The requirement for luxurious properties like townhouses and villas are also increase in 2024 and here again, Damac Properties has launched its new Damac Riverside Community in an open green area in Dubai. Damac Riverside will have 4 and 5 bedroom townhouses for now and in the future villas may be also provided here. Emaar Properties is also bringing its new projects like The Valley Phase 2 to attract the rich people in the world towards Dubai. The amenities provided here are one of the main reasons for the rental demands because rich tenants like to live in luxurious surroundings when they visit Dubai for work or holidays.
The prediction of slowing of property sales and pricing in Dubai is not being seen in the first six months of 2024. The first quarter has already seen a good number of property sales. This means that there is still a craze for the modern houses provided in Dubai because of which the city is defying the past year's prediction of slow down. So, it is not so easy to predict the future of Dubai’s property market but for now, it is going very well and it is a good start according to the professionals.
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