Betterhomes latest market report shows that the Dubai property market has bounced back with transaction levels at their highest for over a decade. As anticipated from previous quarters, the market continued to see record highs in the first half of 2021.
Highlights include a 92% increase in the total property value sold and a 70% increase in the total number of units sold compared to the same period in 2020 according to DLD. For a pre-pandemic comparison, that is a 52% increase in both the total property value and the total number of units sold versus 2019.
At Betterhomes, we saw an 82% increase in the number of units sold and a 112% increase in the total buyer leads, reflecting the demand for massive luxury properties.
“In the first half of 2021, the Dubai property market saw transaction levels at their highest for over a decade. Domestically, low interest rates and improving job sentiment, coupled with a focus on the “home” brought on by the pandemic, have led to a surge in demand from residents. Internationally, Dubai’s COVID-19 response and business-friendly approach have won many admirers. As a result, investors have returned in large numbers, looking to take advantage of both improving capital growth prospects and attractive rental yields, which remain higher than most established markets,” said Richard Waind, Group Managing Director at Betterhomes.
Across Dubai communities, the average price per sq.ft. shot up for the first time in six years and is projected to continue. Villas/townhouses increased by 24%. In contrast, apartments only increased by 3%. There are several possible explanations for this but it can be chalked up to the fact that during and after the pandemic, people saw the need for more space at home.
When it comes to median price trends in the last 12 months, Jumeirah Islands and Emirates Living took the lead with double-digit growths for villas/townhouses. Meanwhile, DIP, Town Square, JVT, and JVC bagged the top three spots in terms of median price trends for apartments.
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