This year’s real estate market in Dubai has seen exceptional performances, as evidenced by the results and numbers in December, whether they are real estate sales transactions or index figures.
The month of December 2021 saw 5,601 sales transactions worth AED 15.68 billion, which results in over 84,196 sales transactions in 2021 worth AED 300 billion, which is the highest value ever in Dubai’s history. As of December 2021, the overall index registered 1.156 and an index price of AED 1,115,937, making it the highest since February 2019 on the index numbers side, and the highest since August 2018 on the price side. This is based on the 22nd edition of Mo’asher, Dubai’s official sales price index, published by the Dubai Land Department (DLD) in cooperation with Property Finder.
The base year for Mo’asher is 2012, and the base month for the monthly index is January 2012, with the base quarter for the quarterly index being Q1 2012. The data affirmed that 2021 concluded with record numbers, positively reflecting on 2022, which is the first year in our journey towards the next 50 years, during which Dubai and the UAE seek to build the best global economy.
As of December 2021, the overall monthly index registered 1.156 and an index price of AED 1,115,937, the apartment monthly index registered 1.182 and an index price of AED 1,000,253, and the villas/townhouses monthly index registered 1.167 and an index price of AED 1,990,496.
During Q4 2021, the overall quarterly index was 1.181 and the index price was 1,118,218, the apartment quarterly index was 1.184 and the index price was 1,000,054, and the villa/townhouse quarterly index was 1.204 and the index price was 2,060,863.
In 2021, the overall yearly Index was 1.193 and the index price was AED 1,133,776, the apartments yearly Index was 1.201 and the index price was AED 1,041,679, and the villas/townhouses yearly Index was 1.198 and the index price was AED 1,961,679.
Index numbers for December 2021 were the highest since February 2019 and index value was the highest since August 2018. In terms of apartment numbers, last year was the highest since March 2019 and for index value since April 2019. Villas/townhouses performed the best, with December 2021 being the highest index number and index value since February 2019.
Dubai Real Estate had over 84,196 real estate transactions in 2021, totaling almost AED 300 billion – the highest value ever recorded in the history of Dubai’s real estate sector. In comparison with 2020, the volume of transactions grew by 66.3 percent, and their value increased by 72 percent.
Real estate sales in the UAE broke a 12-year record in 2021, with properties worth AED 151.07 billion sold. There were also the most real estate sales transactions since 2013.
59.5 percent of all transactions in 2021 were for secondary/ready properties, and 40.4 percent for off-plan properties. According to the volume of sales transactions, the off-plan market transacted 24,761 properties valued at AED 45.5 billion, and the secondary market transacted 36,480 properties valued at AED 105.56 billion. This is also the highest secondary real estate sale value since 2008.
In contrast to 2020, sales transaction volume in 2021 increased by 74.77 percent, and value increased by 110.19 percent. In comparison to pre-COVID, 2019, 2021 showed an increase of 55.47 percent in volume and a 90.10 percent increase in value.
There were 17,942 transactions worth AED 46.75 billion in Q4 2021, the highest volume and value since Q4 2013.
In Q4 2021, 55.9% of all transactions were for secondary/ready properties and 44.1 percent were for off-plan properties. According to the number of transactions, the off-plan market transacted 7,913 properties worth a total of AED 16.92 billion, and the secondary market transacted 10,029 properties worth a total of AED 29.82 billion.
Comparing Q4 2021 to Q4 2020, there was an increase of 64.12 percent in volume and an increase of 114.74 percent in value. Q4 2021 showed an increase of 47.53 percent in volume and 97.59 percent in value compared to Q4 2019.
Comparing Q4 2021 to Q3 2021, the volume of off-plan transactions increased by 14.53 percent, and secondary/ready property sales increased by 11.22 percent. There was a 25.38 percent increase in the value of off-plan sales and a 3.36 percent increase in the value of secondary sales. Q4 has seen a surge in off-plan sales transactions, as evidenced by the fact that this is the highest number and value of off-plan sales transactions in a quarter since Q1 2010.