According to data released on Monday, the price of an apartment in Dubai increased by 24.8% over the previous year, while the price of a villa increased by 33.1% in the same time frame.
September 2024’s ValuStrat Price Index increased by 2.1% on a monthly basis to reach 190.1 points; this growth was marginally slower than August’s 2.2% increase. Annually, the valuation-based index was up by 28.9 per cent. When compared to a base of 100 points established in January 2021, villas scored 243.2 points, while apartments scored 155.4 points.
A valuation-based price index called the ValuStrat Price Index, or VPI, was created to reflect the regular changes in capital values and rental values that typical residential and commercial properties go through. Every month, the residential capital values of Dubai are updated in the VPI. Every quarter, the residential rental values in Dubai are updated in the Value Pro Index (VPI).
The monthly capital values of homes in Dubai showed overall positive gains, albeit with a minor softening from the previous month. Ready sales increased by double digits, but off-plan registrations experienced a record triple digit annual growth.
The monthly capital gains for Villa were 2.3%, up 33.1% from the previous year. Villas in coveted locations such as Palm Jumeirah (42.8%), Jumeirah Islands (42.3%), Dubai Hills Estate (35.3%), and Emirates Hills (33.8%) are among the top annual performers. Mudon (20.4%) and Jumeirah Village Triangle (20%) had the lowest capital gains, with the latter remaining steady month over month.
Monthly apartment price increases of 1.9% kept the record annual growth of 24.8% intact. Among the areas with the highest apartment capital gains compared to last year were Discovery Gardens (33.5 per cent), The Greens (33 per cent), Palm Jumeirah (30.9 per cent), and Al Quoz Fourth (30 per cent). The properties with the lowest capital value increases were Jumeirah Beach Residence (17.6%) and Dubai Sports City (17.8%).
This month, nearly three-quarters of all home sales were made up of oqood (contract) registrations for off-plan homes, which increased by 9.1% monthly and a record 254.2 percent annually. Additionally, there was a monthly growth of 10.9% and an annual growth of 19% in the volume of ready secondary home transactions.
16 deals for ready properties in Palm Jumeirah, Emirates Hills, Jumeirah Bay Island, Dubai Hills Estate, and District One with prices over AED 30 million were completed.
Top Developers and Locations
In September 2024, the top five developer sales charts were led by Emaar (18.8%), Damac (14.7%), Sobha (7.4%), Azizi (5%), and Binghatti (2.9%). Projects in Jumeirah Village Circle (8.5%), Damac Hills 2 (8%), Bu Kadra (6.9%), and Dubai Hills Estate (6.2%) were the top off-plan locations that were transacted. In the meantime, Jumeirah Village Circle (12.2%), Business Bay (5.2%), Dubai Marina (5.2%), and International City (3.4%) had the highest percentage of ready homes sold. With the most ready homes traded in a single month, Jumeirah Village Circle also shattered its own record this month.