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Dubai Real Estate Dominates 2024 Market with High Demand

Dubai Real Estate

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Dubai real estate is a contributor that can never be excluded from the list of top real estates on a global scale. Whether it is 1950 or 2024, Dubai has never failed to serve the best for the people who relied on this emirate. From a number of job opportunities to a unique collection of residential properties, Dubai as a metropolis is sufficient with all of it. Basically, Dubai earns its growth and fame by providing the best opportunities in all possible ways for anyone searching for potential returns in any field. But this blog will show you what makes Dubai real estate remain as a hotspot in 2024. Continue reading for more insights on Dubai real estate and which all segments experience high demand in the emirate’s property market.

Dubai Real Estate Dominates 2024 Market with High Demand

Dubai Real Estate in 2024

Dubai’s real estate market experiences high demand, and it is clear from the sales records that have been recorded in the initial month itself. As per the recent reports, Dubai real estate sector has seen a year-on-year increase of 17% in its sales transactions. And in the initial month of this year itself the market had over 11,000 transactions compared to the initial month of 2023. This month has also shown a significant increase in the value of transactions reaching almost AED 35 billion by marking an increase of 27% in contrast to the same month last year. This year has completed January by revealing positive scope for sustained successes in 2024. Furthermore, the demand for off-plan properties in Dubai have gained more attraction with promising demand for new projects.

Transaction Type

Volume (Year-on-Year Increase)

Value (Year-on-Year Increase)

Off-plan Properties

Increased demand

Increased demand

Existing Properties

11,000 transactions (+17%)

AED 35 billion (+27%)

Evolving Segments in Dubai Real Estate

Off-plan Properties in High Demand

Off-plan Dubai properties in the Dubai real estate sector have felt more demand, because of its potential to appreciate by the time of handover with a reward of greater ROI. Even just after the completion of the month of January, it shows an approximate year-on-year increase of 25% in volume with 6,000 recorded transactions. In terms of values, it has experienced an increase of around 21% Year-on-Year by reaching AED 15 billion roughly when compared to January in 2023. Meanwhile, existing property transactions revealed a Year-on-Year increase of approximately 8% in volume, with over 5,000 transactions. The value of these transactions increased by 31% Year-on-Year by touching AED 21 billion when compared to AED 15.7 billion in January 2023. In Dubai real estate, off plan properties from any of the leading developers could offer you the best return on investment.

Transaction Type

Volume (Year-on-Year Increase)

Value (Year-on-Year Increase)

Off-plan Properties

6,000 transactions (+25%)

AED 15 billion (+21%)

Existing Properties

5,000 transactions (+8%)

AED 21 billion (+31%)

Apartments vs Villas/Townhouses

The recent reports indicate that a majority of individuals, that is 58% of those are looking to purchase property, were on the lookout for apartments for sale in Dubai, whereas the remaining 42% preferred villas or townhouses, as those are the ones who would love to live in a spacious home. This trend was much more obvious in the rental market with 80% of tenants in the rental market looking for apartments for rent in Dubai, meanwhile the remaining 20% were searching for townhouses/villas for rent in Dubai. Dubai real estate has set the stage to cater to the caliber of investor or buyers with any preferences.

Property Type

Percentage of Buyers

Percentage of Renters

Apartments

58%

80%

Villas/Townhouses

42%

20%

 

Types of units in demand

While mentioning it generally, it can be said that there are individuals in need of all types of properties in Dubai. But when we look in specific, an approximate of 36% tenants search for one-bedroom units, 31% for two-bedroom apartments and 22% for studios. As there are over 17.5 million overnight visitors in Dubai, short term rentals are having high scope these days. So, these types of units can make a great profit by just calculating the rental returns per night. For villas/townhouses in Dubai, 43% tenants were looking for three-bedroom units, while 34% searched for four bedroom or larger options. Still these types were also experiencing high demand among the individuals in search for luxury properties in Dubai real estate.

Apartment Preferences:

Apartment Type

Percentage of Tenants

Studio

22%

One Bedroom

36%

Two Bedroom

31%

Villa/Townhouse Preferences:

Villa/Townhouse Type

Percentage of Tenants

Three Bedroom

43%

Four Bedroom or Larger

34%

Furnished vs unfurnished:

In terms of apartments people were mostly opting for furnished properties. On the other hand, people when picking villas or townhouses prefer to have unfurnished properties in Dubai. Considering the data, roughly 62.2% of tenants seeking apartments were found to choose furnished properties, while 36.1% were searching for unfurnished options. In contrast, tenants who are able to afford villa/townhouse rentals revealed the opposite, with about 57% seeking unfurnished units and 42% were looking for furnished options.

Apartment Preferences:

Furnishing Type

Percentage of Tenants

Furnished

62.2%

Unfurnished

36.1%

Villa/Townhouse Preferences:

Furnishing Type

Percentage of Tenants

Furnished

42%

Unfurnished

57%

Ownership vs rental choices

When choosing a decision between buying and renting property in Dubai, there are some factors to be considered. Renting offers flexible and lower upfront cost, whereas buying definitely provides you with long term investment potential to return the best and stability. While looking at the numbers, the Property Finder Dubai revealed that those looking to buy a one-bedroom apartment and a two-bedroom apartment were at 33 and 36% while about 14% were looking for studios. The data for villas or townhouses showed that 40% were primarily looking for three-bedroom units, while 44% were searching for four-bedroom or larger options.

Apartment Preferences:

Apartment Type

Percentage of Buyers

Studio

14%

One Bedroom

33%

Two Bedroom

36%

Villa/Townhouse Preferences:

Villa/Townhouse Type

Percentage of Buyers

Three Bedroom

40%

Four Bedroom or Larger

44%

Most searched areas in Dubai

Each and every area of Dubai has its own potential in different terms. Still there are mostly preferred areas that contribute the utmost to the investor or buyers in all senses and flourishes the Dubai real estate market. So, as per the recently released reports, top areas searched to own apartments were Dubai Marina, Downtown Dubai, Jumeirah Village Circle, Business Bay, and Palm Jumeirah. Meanwhile, Dubai Hills Estate, Arabian Ranches (Especially Arabian Ranches 3), Palm Jumeirah, Al Furjan and Damac Hills were the most desired areas to own villas or townhouses. In terms of rental, the leading areas were Dubai Marina, Jumeirah Village Circle, Downtown Dubai, Business Bay and Deira for apartments. Dubai Hills Estate, Al Barsha, Damac Hills 2, Jumeirah and Umm Suqeim were popular when it came to searches to rent villas or townhouses.

Conclusion

With no signs of contractions, Dubai real estate is experiencing high demand by being a hotspot among the worldwide real estate markets. Dubai real estate is born to boom and will always be the best to all factors with the wholehearted support of its visionary government.

FAQs

Why are Dubai properties experiencing high demand?

While considering the current stage, everything that has been offered in the Dubai real estate market has its own customers. Whether it is luxury or affordable properties, Dubai has developed everything that fits into each investor or buyers’ expectation.

Why are the most searched areas in Dubai?

Buying Property in Dubai

  • Villas/Townhouses: Dubai Hills Estate, Arabian Ranches, Palm Jumeirah, Al Furjan, and Damac Hills.
  • Apartments: Dubai Marina, Downtown Dubai, Jumeirah Village Circle, Business Bay, and Palm Jumeirah.

Rental Properties in Dubai

  • Apartments: Dubai Marina, Jumeirah Village Circle, Downtown Dubai, Business Bay and Deira.
  • Villas/Townhouses: Dubai Hills Estate, Al Barsha, Damac Hills 2, Jumeirah and Umm Suqeim
Is off-plan property profitable in Dubai Real Estate?

Yes, off-plan Dubai properties in the Dubai real estate sector have felt more demand, because of its potential to appreciate by the time of handover with a reward of greater ROI.

Why is Dubai the best option in real estate?

Dubai as a city provides stability, security, safety, high ROI on both long term & short-term investments, world-class amenities, business opportunities, complete ownership, provides luxurious products on an affordable package compared to other global cities and more.

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