Dubai’s residential capital costs remained comparatively static at 65.4 points in January, increasing a marginal 0.1% monthly, thus providing an early sign of rising for the first time in 5 years, as per the leading Dubai-based local consulting firm ValuStrat.
Yearly, the ValuStrat Price Index was 12.3% lesser than the previous year. On a citywide level. Capital values of residential homes reached stabilization, as the falling trend gradually came to a static position.
Firmness and marginal improvements in capital values were seen in all constructed villas communities figured by the index as well as almost half of the free-hold apartment areas.
January recorded a 29.8 monthly fall in home deals volumes, as exiting completed properties witnessed a fall of 24.7%, and off-plan transactions decrease 39.2% in comparison to the last month.
Some places calculated by the VPI witnessed capital values fall around 1% monthly, examples of which were apartments in Dubai Sports City, Dubai Production City, and Jumeirah Village Circle.
A minor improvement in apartment capital values was noticed in International City with a monthly rise of 0.3%. However, provided the rising demand due to record low costs per square foot, villa capital costs shows higher flexibility in comparison to apartments.
All villa freehold places witnessed capital values remain steady this month, and, in certain areas, carried on to register a monthly rise.
Examples include Arabian Ranches, The Meadows, The Lakes, Emirates Hills, and Jumeirah Islands.
As per ValuStrat, 69% of January’s money based deals exchanges volume was towards prepared homes, as off-plan deals have eased back because of restricted venture dispatches.
Properties built by Emaar, Nakheel, Damac, Binghatti, and Nshama topped the sales charts overall. Top off-plan locations transacted during January were in Jumeirah Village, MBR City, Al Jaddaf, Sobha Hartland, and Business Bay.
Most transacted ready homes were located in Business Bay, Dubai Marina, Town Square, Dubai Silicon Oasis, and Palm Jumeirah.