Residential property market in Dubai continue to rise in month of July 2024 proving aggressive demand and investment in property sector of Dubai. New data evaluating the South African market shared by ValuStrat has shown that monthly increase is 2. 2% and Market VPI is 178. 2 – 28. 5% higher than the data recorded in the previous year.
Once again, more points were scored in the villa segment than in the apartment segment, with the villa sub-index reaching 232. 1 points to the apartment index’s 149. 6 points. Both indices start in January 2021 using a base index of 100, thus providing a picture of the high number of times prices have been raised in the last couple of years.
To this regard, the report pointed out that no less than three quarters of all freehold villa communities across Dubai have already risen more than double its value within the last four years alone. However, only the apartments in Palm Jumeirah have a similar increase and that goes to show that there is a continual demand for luxury villa.
As for the comparison of some of the communities’ annual rates of appreciation, it was possible to observe truly impressive increases in the capital. Lead overall in the apartment segment was Discovery Gardens with a growth rate of 34. 6% Then followed the Greens with growth rate of 34. 1%. In the villas’ case, the greatest proportion increase was in Palm Jumeirah at 42. 9%, while the one in Jumeriah Islands was a little lower at 42. 7%.
The market was influenced by off-plan sales The market upswing was largely driven by of plan sales. Oqood (contract) registration for off-plan buildings and individual villas and apartments increased by 59. 6% when comparing the points of sale year by year, and by 40. 6% comparing the points of sales between the months of July and June respectively while off-plan transactions contributed to 68. 5% of total transaction volumes in July. This rise proves that there is still a steady interest by investors in the Dubai property market and its outlook.
By market share, the leading developers were Emaar Properties PJSC with 20. 3% for the total sales and Damac Properties with 7. 2 %. Some of the communities recorded the highest volume of transactions ever, and this was particularly witnessed in the likes of Dubai Hills Estate and Dubailand Residence Complex, whereby the relative month reflected the highest retail of off-plan homes.
In conclusion, Dubai property market remains in an upward trajectory tailored by high demand for homes in existing neighborhoods as well as new project with villas remaining the most sought after.
