Dubai’s off-plan property market has established a new record in Q2 of 2024, with 25,466 transactions totaling over AED52 bn, a statement by Betterhomes said. This symbolizes an 81% growth compared to the previous year’s period.
Strong Growth Across Property Types
Villas saw a 44% year-on-year rise in transactions and a 76% increase in value. Off-plan apartments dominated the market with an 86% year-on-year increase in transactions. The ripple in activity has been attributed to Dubai’s increasing appeal, with each quarter exceeding previous transaction records.
Shift Towards Off-Plan Transactions
The market has moved towards off-plan transactions as developers strive to meet growing demand through the latest project launches. Dubai, the first emirate to deliver property ownership to non-Emiratis, now has the most elevated future residential supply in established freehold areas. Over 70% of the latest developments are located in these zones.
“The market sentiment is heavily skewed towards off-plan projects, driven by a notable shortage of ready-to-move-in inventory,” the report added.
Surge in New Developments
In 2024, developers will have completed more than 200 residential projects, bringing the total number of off-plan units to about 50,000.
Luxury Market Remains Strong
The amenity off-plan market for properties worth over AED15 million stays strong. Palm Jumeirah directs 51 transactions, tracked by Dubai Healthcare City II and Dubai Water Canal, with 18 and 28 transactions, respectively.
Also Read: Why Sol Avenue Dubai is the Perfect Destination for Modern Urban Living
Top Areas for Transactions
The top 5 areas for villa and apartment transactions in the second quarter of 2024 were Business Bay, Mohammed Bin Rashid City, Jumeirah Village Circle, Dubai Hills Estate and Ras Al Khor, the report said, citing Property Monitor.
Diverse Buyer Demographics
Dubai’s off-plan property market resumes to draw a range of buyers. In the villa segment, properties priced between AED2 and 5 million account for 75% of sales. This price stand draws buyers who seek more space and amenities without entering the high-end market.
The off-plan apartment market sees properties under AED2 million dominating, making up 71% of total transactions. This price range pulls middle-income earners, immigrants, and investors with lower capital due to its accessibility and affordability.
