Record Sales and Transactions
The real estate sector of Dubai has hit a new high with never-before-seen sales for the month of July 2024. This surge in property transactions pushed the value of the emirate to AED 49.6 billion, increasing massively by 31.63% compared to July 2023. This surge in value underlines a strong growth trajectory for the market.
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A report from fäm Properties indicated that the number of transactions last month reached 15,994, up 43.2 percent in volume compared to the same period last year, thereby indicating strong demand across all property segments.
Luxury Properties Sale
The standout transaction in July was the sale of a luxury villa at Eome Residences, Palm Jumeirah, which sold for AED 103 million. Deals like this underline why premium properties in Dubai remain in demand.
For the apartment segment, a surge in sales showed 12,429 units sold for AED 22.3 billion, which is a month-on-month increase of 59.1%. The villa market witnessed growth as well; it recorded 2,336 villas sold for AED 14.3 billion, registering a growth of 8.6 percent compared to July 2023. Commercial property transactions showed a volume increase on a month-on-month basis by 27.4 percent and reached AED 869.5 million.
Plot Sales
Although plot sales declined by 6.5 percent in volume compared to last July, it still contributed AED 12.1 billion from 843 plots, which indicates that even while volumes slide, it is the plot market which is leading from the front to drive the overall numbers.
Surpassing Past Records
The July 2024 numbers beat out the previous best for this year, set in June, of 14,370 properties sold, worth AED 46.48 billion. Not only is this month’s performance going to set a new record, but more importantly, it will indicate the strength and potential resilience of Dubai’s real estate market.
Long-Term Growth Trends
The real estate of Dubai has been on a steady rise for the past five years. July sales have grown drastically from AED 4.4 billion with 2,300 transactions in 2020 to almost AED 50 billion with 16,000 transactions in July 2024. This simple trajectory simply highlights the huge growth the market is undergoing and growing investor confidence.
Top Performing Areas and Projects
In July, Jumeirah Village Circle performed best, amounting to 1,265 transactions worth AED 1.3 billion. Off-plan sales also did well in this month. The top sale for off-plan projects was made by Palace Residences at Dubai Hills Estate, with a total of 915 apartments for AED 2.3 bln. Greenway at Dubai South was the best-selling off-plan villa project, totalling 114 units for AED 406.6 million.
Off-plan sales have far outstripped ready properties to form 67% by value and 66% by volume against the latter’s 33% and 34%, respectively. This trend underlines a rising buyer preference for newly launched projects.
Price Range Insights
The sales are scattered across various price brackets, which reflects the diverse nature of the tastes and inclinations of the different buyers. For instance, properties valued at above AED 5 million accounted for 10% of the transactions. Most of the transactions were purchases that ranged between AED 1-2 million at 31% and below AED 1 million at 30%. Sales of property within the categories of AED 2-3 million and AED 3-5 million were pegged at 17% and 13% respectively.
In its comment on the figures, Firas Al Msaddi of fäm Properties viewed these robust figures as evidence of the continued strength of Dubai’s real estate market and the sustained growth that is translated into consistent building of investor confidence. Dubai’s real estate sector continues to break sales records and rise in transaction volumes, emerging as an attractive investment destination.
