PC: Arabian Post
Historic Growth in Property Sales
Sales in the real estate sector had gone to a record high of AED 141.9 billion, which translates to $38.6 billion, in Q3 2024, as is stated to be the highest ever record for sales as per historical studies. Further, it was also the time when it surpassed the previous record of AED 124.07 billion marked from Q2 of the same year, symbolising an increase of 30.1% in terms of value as compared with the same period in Q3 2023.
According to a report by fäm Properties, the reported sales transactions were 50,423 as of Q3. This is 37.9% higher as compared to the same period last year and 16.6% higher than Q2.
Apartment and Villa Sales Lead the Market
Apartments were the most prevalent type of transaction, accounting for 77% of all Q3 activity in terms of 39,058 worth AED 70.5 billion in transactions. This type had a 43.9% increase from last year’s Q3. The sales of villas amounted to 8,156 transactions valued at AED 39.2 billion, up 16.6% in volume from Q3 2023 and 18.4% more than in Q2 2024.
Some of the key indicators for Dubai are recent-year appreciation in Dubai property values as shown in the Q3 median price at AED1,511 , AED 1,017 in 2021, AED 1,179 in 2022, and AED 1,405 in 2023.
Significant Increase in Plot and Commercial Sales
Land plot sales in Q3 had recorded 2,102 transactions worth AED 29.9 billion, which indicates a 45.9% volume growth compared to Q3 2023 and also increased by 42.3% compared with Q2 2024. From the commercial side, it had 1,112 transactions worth AED2.3 billion with a 12.1% year on year volume growth.
Resilience and Investment Appeal
The figures once more emphasise the resilience of the Dubai real estate market and the consistent growth we have witnessed in previous years, which further enhances investor confidence,” Firas Al Msaddi, CEO of fäm Properties, said. “The exceptional performance reinforces Dubai’s stature as a preferred destination for both global and regional investors for real estate investments.”
Dubai’s Q3 property sales have increased gradually for the past five years-from AED 18.1 billion transacted in 8,600 deals in 2020 up to this top level-great resilience and progress of the market.
Top Areas and High-Value Transactions
The top five areas by performance in Q3 were Jumeirah Village Circle, with 4,467 transactions that totaled to AED5.33 billion; Dubai South, which had 2,910 transactions valued at AED8.25 billion; Business Bay, with 2,651 transactions worth AED7.22 billion; Wadi Al Safa 5, which had 2,382 transactions valued at AED5.3 billion; and Dubai Hills Estate, with 2,358 transactions amounting to AED7.38 billion. The highest value transaction in Q3 was a luxury One of Palm Jumeirah apartment, sold at AED 275 million.
Sales by Price Band
Of the selling price bands, properties priced between AED1 and AED 2 million accounted for 31% of all sales. Those with selling prices below AED 1 million accounted for 29% of sales. Selling prices within the AED2-3 million bracket accounted for 18%, while selling prices between AED3 and AED 5 million accounted for 14%. Those in excess of AED 5 million sales accounted for 8%.
Sales by Developers Better Than Secondary Market
The new sales by developers comprise a majority both in volume and also in half of the value sold, which surpasses resale transactions. First sales account for 68 percent in total volume and 63 percent in the total value, while resale transactions take 32 percent of the volume and 37 percent of the value.
