With just a few weeks left in the year, Dubai’s real estate market remains active, with about $500 million worth of property circulating in the economy on Thursday alone.
Dubailand department data shows that on Thursday there were 468 sales transactions worth a total of $379m (AED1.39bn), 84 mortgage deals worth $71m (AED259.89m), and 65 gift contracts worth $30m (AED109.6m).
A total of 401 houses and apartments were sold for AED1.03 billion, and 67 land plots were sold for AED363.83 million; in addition, mortgages were taken out on 70 houses and apartments for AED196.01 million and 14 plots of land for AED63.88 million, bringing the total real estate transactions for today to over AED1.7 billion.
Milestone Reached With 909.61M AED & 481.38M AED Worth Existing & Off-Plan Properties
The International Monetary Fund projected last month that the GDP of the United Arab Emirates will increase by more than 6% this year, after a growth of 3.8% in 2021.
Market growth can also be attributed to the tens of thousands of visitors that made the United Arab Emirates (UAE) and Dubai their home base while attending events in neighboring Qatar for Expo 2020 and the World Cup.
According to Taimur Khan, head of research – MENA at CBRE in Dubai, “residential rentals in Dubai grew by 27.3% compared to a month earlier in November 2022,” breaking the record high annual growth seen in the previous month.
According to him, tenants are less eager to move given present market conditions because the number of new contracts registered through Dubai’s online registration system, Ejari, dropped by 4.7% while renewals jumped by 33.6%.
By the end of 2022, we anticipate a slowing in the rental market’s pace of change. There were 8,269 sales in November, 72.5% from the same month last year, as reported by Khan.
According to the CBRE expert, there have been 71,412 transactions registered from the beginning of the year to the mid of December. ‘We estimate total transactions in 2022 to significantly surpass the 2009 figure,’ he added to the market’s anticipated growth.
According to CBRE, the average selling price per square foot in residential areas in Jumeirah was 2,226 dirhams, while in the villa market segment in Palm Jumeirah, it was 3,704 dirhams.
According to CBRE, Palm Jumeirah has the highest average annual apartment rent at 242,250 dirhams, and Al Barari has the highest average annual villa rent at 956,174 dirhams.
MAG Aims To Provide Dubai’s Booming Economy An Additional Boost
The biggest real-estate firm in the United Arab Emirates has collaborated with CoinMENA, the largest crypto asset service provider in the Middle East and North Africa (MENA), to make it easier for cryptocurrency buyers to invest in Dubai real estate. The developer agrees to take USDT and USDC and other stablecoins as payment per the terms of the agreement.
CoinMENA’s founders Talal Tabbaa and Dina Sam’an publicly stated: “We are pleased to sign this agreement with CoinMENA to accept cryptocurrency transactions through its platform. We must adapt to changing market dynamics and satisfy our valued investors’ high expectations, who want to use digital currency to turn their financial gains into physical assets. We will make every effort to advance the emirate’s digital economy and solidify its eminent global position as a catalyst for Dubai’s real estate sector.”
Most Expensive Real Estate Deals This Week Were For a Total Of AED 47.38M, AED 40M, & AED 47.38M
This week’s sales activity was led by Al Hebiah Fifth, which had 92 sales worth AED 244.61 million, followed by Jabal Ali First with 21 sales worth AED 147.11 million and Al Hebiah Fourth with 15 sales totaling AED 290 million.
An apartment in Al Thanyah Fifth sold for AED 80 million, followed by another apartment in Palm Jumeirah that sold for AED 61 million, and finally another apartment in Palm Jumeirah that sold for AED 59 million.
Mortgages on real estate totaled AED 2 billion last week, with the largest being for 693 million on a plot of land in Al Qusais Industrial First.