Dubai's property market was doing very well in November where both the housing and commercial sectors showed huge demand. Some reports from big companies also say that this growth can be seen in December 2024 also.
The housing market saw high sales of around 12,695 in the month of November which represents a 15.4 percent annual increase. Although this number is a slight decrease from the huge sales number of October. It shows a good and lasting upward trend in the market of Dubai real estate.
Some brokers saw average prices increase by 0.38% these months that continues the market's popularity with people. Sales of properties which do not cost much also rose with transactions under AED 1 million were there for 32.2% of total sales which is up from 26.7% in October.
Apartments have become the top asset class due to rising demand for cosy living options such as studios and one-bedroom apartments. In November, apartments in the group of more than 84% of total residential sales. In the residential sales market, Jumeirah Village Circle was very demanding with 1,035 units sold, followed by Jumeirah Village Triangle with 670 units, and Business Bay with 423 units.
Commercial properties are also in the race of huge sales in the market with total sales worth at AED9.2 billion ($2.5 billion) and it is about a 3.1 percent increase than the last year. Office sales also saw a big growth rising by 24.2 percent yearly.
The average commercial price has increased by 31.1 percent if we look at November 2022 which means that there is a huge demand for luxurious offices even if there is less supply. Sales of office space were high in locations like Business Bay, followed by Jumeirah Lakes Towers and Barsha Heights (TECOM), which touched 119 transactions.
The rental market was also a part of this huge growth with transaction numbers increasing by 21.9% from the month of October. Both residential and commercial sectors saw a yearly average rent increase of 18%.
Some brokers are also saying that the commercial sector helped in the rental growth, particularly in office spaces, which saw a 28.1% rise in average rents which is amazing. High occupancy rates and continuous race for Grade A office spaces have continued to drive this trend, further popularizing Dubai's position as a global business hub. Key rental transaction communities include Deira, Dubai Investment Park, and Bur Dubai and these locations have been attracting a huge number of tenants for years and still doing it.
A CEO of a big company stated that - Dubai real estate market is very resilient and flexible and it continuously shows good toughness due to stable demand and better fundamentals. The residential sector is experiencing steady growth, with an increasing interest in affordable and compact living options, reflecting a popular and maturing market that caters to different needs. Meanwhile, the commercial sector is also doing very well that is highlighted by a surge in office sales and rental growth which is a good thing that is helping Dubai to become a global business hub.
The professionals also highlighted the positive trend in the market because Dubai's economy continues to flourish. As Dubai's economy grows and increasingly attracts global businesses and people all around the world. The real estate sector is also continuing to thrive and it can be seen in the November report. The report highlights the market's attractiveness, investors' huge interest in buying properties, and the expectation for new achievements as we are going towards 2025.
The residential and commercial markets in Dubai continue to show us better fundamentals showing investor confidence and the city’s flexibility to changing market demands. The residential and commercial market continue to show better growth this year. The builders in Dubai are now working on modern style buildings for commercial use also but still the demand for housing is still very high. Companies like Emaar Properties are seeing good profits in the last quarter.
