Fancy working from your luxury home while enjoying year-round summer along with the world’s finest cuisines? If yes, Dubai is the city of your dreams.
This is what appeals to hundreds of thousands of others, who flocked back to Dubai – right after the situation became favourable. In the first quarter of 2022, millions of foreign travellers visited Dubai for the global event of Expo 2020. Around 4 to 5 per cent of these visitors check Dubai real estate investment opportunities, in order to buy properties there.
With 100% business ownership opportunities coupled with record-low property prices and an attractive mortgage loan option have made properties for sale in Dubai more attractive for investment purposes. Dubai has always been a favourite investment and since the UAE government has flawlessly handled the COVID-19 induced global pandemic, it has become more appealing to potential local and foreign investors.
Dubai has Retained Its Charm
This country always attracts real estate investment sector backed by high capital appreciation and stable rental returns. The emirate has regained its charm as both local and international investors continued investing in Dubai apartments and villas, across the city. The official data released by the Dubai Land Department (DLD) also confirmed the claim.
According to Official Statistics…
According to the Mo’asher, Dubai’s official sales and rental performance index , There were a a total of 25,972 transactions in Q1 2022. With these transactions, Q1 2022 has recorded the highest number of deals since 2010 in a single quarter. It is also the highest volume since the first quarter of 2014.
From January to March, a total of 20,539 sales transactions were recorded worth AED55.51 billion. In March, 8,399 property sales transactions were recorded worth Dh22.58bn, which is up 83 per cent in comparison to March 2021 figures and 109 per cent up in terms of sales value.
8,616 off-plan properties were sold, worth a handsome total of AED16.12 billion, while in the secondary market 11,923 properties were recorded to be sold worth Dh39.39 billion during this quarter. These numbers indicate that over 60 per cent of the total sales in March were for secondary or ready properties.
“The data demonstrates Dubai’s real estate market’s significant growth and continuous upwards trend while it continues to provide vital insights and transparency into the Dubai real estate market,” according to DLD officials.
Despite the mega event that was concluded in March 2022, the Dubai real estate market has continued to follow an upward trend.
Isn’t it a sure sign of market recovery?
Positive Growth in Dubai Rental Market
Dubai property market has made a strong comeback after overcoming the pandemic-driven financial challenges and associated apparent slowdown. The UAE government has not just handled the pandemic most effectively but also adopted several monetary measures.
Several new initiatives such as Golden visa programmes, residence visas for retirees and new business and employment opportunities have brought back people to this country along with potential investors. Improved investors’ sentiment and pent-up demand along with reasonable supply across the emirate have helped drive property sales.
When it comes to the rental market, Dubai recorded a total of 160,530 rental deals – out of which more than 50 per cent were new deals and 48 per cent were renewals. The numbers indicate a 4 per cent increase in the rental volume as compared to Q4 2021.
The annual rental contracts during Q1 2022 were almost 80 per cent and short rental contracts accounted for 20 per cent.
In March 2022, 44,783 Dubai had records of rental contracts – out of which, over 60 per cent were new deals and only 40 per cent were renewals. More than 78 per cent of rental contracts were annual and only around 22 per cent were non-annual contracts.
According to statistics released by Dubai Land Department, one bedroom apartments for rent in Dubai were the most favourite rental option – followed by two bedroom rental apartments. In the villas and townhouses category, three bedroom villas for rent in Dubai were the best pick, closely followed by four bedroom rental villas.
The Most Searched Areas in Dubai
For rental properties in Q1 2022, Jabal Ali First, Al Warsan, Business Bay, Naif and Al Karama remained the most sought-after areas in Dubai.
To invest in apartments for sale in Dubai, Dubai Marina, Downtown Dubai, Jumeirah Village Circle, Palm Jumeirah and Business Bay remained the most popular areas, in the first quarter of 2022.
When it comes to villas and townhouses in Dubai, Dubai Hills Estate, Arabian Ranches, DAMAC Hills (Akoya), Palm Jumeirah, and The Springs remained the top picks in the first quarter of 2022.
“Despite several ups and downs that the Dubai real estate market has experienced in the previous two years, the market is all set to retain its appeal. Following a successful first quarter of 2022, the second quarter will continue its upward trends,” stated Ali Mustafa – Director and Co-Founder of HFRE.