As Q3 comes to an end, the Dubai residential market continues its expansion, with 47,067 residential transactions valued at AED 116 billion during Q3 2024. This represents a 30%
increase in transactions year-over-year (YoY) and a 12% increase quarter on quarter (QoQ), highlighting the ongoing growth and significant investor interest in the Emirate.
Key Insights:
- In the first half of 2024, off-plan transactions accounted for 61% of all residential deals. This momentum has only increased in Q3 2024, with off-plan purchases making up 66% of overall transactions. This trend underscores the strong investor appetite to capitalise on Dubai’s dynamic population growth story.
- In Q3 2024, transactions in the AED 20 million-plus segment surged by 46% compared to Q3 2023. This upward trend was also reflected in a quarter-on-quarter comparison, underscoring the continued demand for ultra-luxury properties in Dubai.
- Among all the villa/townhouse communities tracked, the median price increase was 20%, indicating that more than half of the communities experienced growth rates of +20% or higher.
- The median price increase for the apartment communities tracked is 9%, indicating that more than half experienced growth rates of 9% or higher. This suggests a stable upward trend in the apartment market, albeit at lower levels compared to the villa/townhouse market. With 85% of the supply pipeline consisting of apartments, this sector is likely to continue lagging behind the villa/townhouse market.
- Across the board rental transactions continues to drop with rental values continuing to rise significantly, continuing a trend whereby tenants are opting for homeownership if they can afford to do so.
- At Espace Real Estate the monthly viewing rate from Q3 2024 is 54% higher than the monthly viewing rate from the first half of this year.
- Espace Mortgage Services has seen a 252% increase in mortgage leads, highlighting the ongoing competitiveness of the mortgage market and its role as a key driver of market activity.
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