According to Zoom Property Insights, the Dubai real estate market is experiencing a strong finish to the year. There was a 1.8 percent price increase in October and a similar trend November.
Investors in the sector are driving increased prices as well as end users.
Zoom Property Insights stated that the average property price in Dubai is AED1,070/square foot.
Dubai real estate growth
The report also stated that prices for apartments and villas have increased by more than 8.5 percent, and 13 percent, respectively, in this year’s so far.
The luxury property sector is flourishing, thanks to heavy foreign investment. This has led to a surge in prices.
Zoom Property Insights reported that luxury property sales have increased by 88.9% between Q3 2021 and Q3 2022.
This is the most significant global growth. Miami and Tokyo rank 2nd and 3rd, respectively, with 30.8 percent growth and 17% growth, respectively.
Ata Shobeiry CEO of Zoom Property stated that “2022 was a great year in the luxury property segment, and this trend is expected to continue into 2023.”
He stated that “the launch of several new developments featuring ultra-prime property will continue to attract high net worth individuals (HNWIs) and foreign investors.”
Jumeirah and Downtown Dubai were the most popular choices for apartments in Dubai. They had more than 3.3, 2.5, and 2 percent price rises, respectively.
Palm Jumeirah maintained its dominance in villas with an almost 3 percent increase in property values. The growth in villas in Jumeirah was also impressive at over 3.5 percent.
Dubai’s prime locations will continue to attract millionaires. In 2023, prices are expected to remain on the rise.
The mainstream residential market will see steady price growth next year.
Zoom Property Insights predicts strong double-digit growth in 2023. This includes the prime areas of the Emirate, which include the neighborhoods of The Palm Jumeirah and Emirates Hills.
In 2023, the average price of a home in the main residential market of the Emirate will rise by 7 percent.
This figure is possible due to the performance of the property market.
Shobeiry stated that “the areas renowned for luxury and affordable properties are performing extraordinarily well, paving way for a strong finish to the year 2022” and a similarly strong start to the 2023.