According to an annual real estate transaction report issued by Dubai Land Department, Dubai real estate industry showed significant rise not only in total number of real estate property transactions made in year 2012 rather it also displayed remarkable increase in total amount of transactions made during previous year. The real estate sector made huge transactions of Dh 154 billion as compared to 2011 transaction of Dh 143 billion. It is mentioned in the report that total number of transactions and total worth of the property transaction made in year 2012 showed total 18% and 8% rise respectively. Report also mentioned specific figures for all types of transactions made in Dubai real estate in year 2012.
Specific numeric and percentage values mentioned in DLD Report
The DLD annual report estimated total number and worth of real estate property transactions made in year 2012 after including all types of sales, mortgage, ijarah, mortgage portfolios, deferred sale and other types of transactions. The Director General of DLD Sultan Butti bin Mejren said that year 2012 has shown record progress in property transactions. Following are specific numeric and percentage values represented in DLD annual report for year 2012.
All kind of Dubai Property Transactions
Total transactions made exceed to 41,767 which is significantly greater than transactions made in year 2011 i.e. 35297. Total includes all kind of real estate transactions made in Dubai.
Cash and Mortgage Transactions for Apartments
More than 84% of apartment deals were made in cash. Total transactions of Dh38 billion were made in this sector. Property buyers and tenants made cash payments of 32 billion for 25,515 units, whereas mortgage transactions of Dh 5 billion were made for 4,300 units.
Transactions for Villa
Dubai villas also showed cash transactions of valued Dh3 billion to purchase or lease 1282 villa units, while mortgage deals of Dh 2 billion were made for 621 villa units.
Transactions for Land
Like previous years, transactions for land/plot remained highest among all other property deals in Dubai. Total Dh 111 billion contracts were made for land. Total 5413 cash transactions of Dh34 billion are made for land. In addition to these cash transactions, Dh75 billion mortgage transactions were made for 3,204 land plots.
The percentage and numeric values in DLD report showed record progress in real estate and property business in Dubai not only in terms of number and worth only, rather it also showed upward rise in size also. Moreover, the asset market of the emirate also showed sustainability. It is also observed that UAE nationals remained leading investors in the market by making more investments in premium real estate projects in the emirate. Foreigners are also actively involved in making investments in Dubai real estate demonstrated that real estate market of Dubai has recovered from global economic crisis. This enhanced confidence and interest of international investors to make investments in Dubai real estate proved that international economic crisis no longer influence the local market of the emirate. The market has gained enough strength and become immune from the economic crises in the West and other regions. DLD chief also expects that market will continue to display strong recovery in year 2013 as well. Such progressing trends will efficiently encourage foreign investors to do more investments in real estate sector of Dubai. Jones Lang LaSalle, the global consultants also mentioned in their report that significant recovery will be expected to observe in all segments of Dubai real estate market in 2013. Prime office rents in the emirate are also expected to rise during current for the first time after decline in year 2008. Besides this, villa and apartment prices were also increased to 20% and 7% respectively during year 2012.