According to the report, around 145,000 new off-plan units were introduced to the market during the year, or 400 units every day on average.
According to top real estate consultancy and property consultant Cavendish Maxwell, Dubai’s residential property market has 243,000 units planned between now and the end of 2027, with flats making up 80% of the projected inventory.
According to the statement, the real estate market reached unprecedented heights last year with a record-breaking 169,000 sales, a 42% increase over 2023.
Prices increased steadily throughout the year, concluding the December quarter 3.1% higher than the previous quarter and 0.9% higher month over month, it noted.
In its 2024 Dubai Residential Market Performance report, Cavendish Maxwell reported that prices increased 16.5% year over year, with the cost per square foot reaching AED1,493 in December, more than 90% higher than the April 2009 low.
The residential real estate market in Dubai ended 2024 after 47 months of steady price increases. But as Cavendish Maxwell had predicted, the rate of appreciation is beginning to decline; monthly growth is currently averaging about 1%, down from 2.5% in the past.
In 2024, mortgage activity also skyrocketed, reaching a record-breaking 36,600 loans, nearly a third more than in 2023.
With sales four times more than before COVID, the off-plan sector remained the market leader.
According to the report, around 145,000 new off-plan units were introduced to the market during the year, or 400 units every day on average.
In terms of units launched and sales value, Emaar Properties, Binghatti Properties, and DAMAC Properties dominated the new launch market. In 2024, 68% of the residential market was made up of under-construction projects.
These remarkable numbers are not solely the consequence of the pandemic recovery, according to Ronan Arthur, MRICS, Partner and Head of Residential Valuation at Cavendish Maxwell. They are indicative of a robust, steady real estate market that has been steadily expanding since 2022 because to ongoing demand from overseas markets, particularly in China, India, and other Middle Eastern nations.
“The residential market in Dubai is still incredibly strong, and additional expansion is anticipated in 2025, but there are now indications that it is stabilizing at more sustainable levels. Regulators, developers, and investors in the emirate are acting appropriately to prevent unchecked growth, which has the potential to jeopardize market stability, as we have seen in the past,” he said.
In 2024, 81% of residential real estate acquisitions were apartments, a 3% rise from the year before. He noted that townhouses accounted for 13% of the proportion, a 1% decline, and villas for 6%, a 2% decline from 2023.
With 5,300 new residences delivered in 2024, Mohammed Bin Rashid City witnessed the most deliveries, according to Cavendish Maxwell. Jumeirah Village Circle (4,800), Business Bay (2,800), Al Furjan (2,600), and Rukan, Dubailand (1,500) were next in line.
With nearly 25,000 units scheduled for delivery between now and 2027, Jumeirah Village Circle tops the future supply table. Business Bay (16,000), Azizi Venice (13,500), Damac Lagoons (11,100), and Arjan (9,000) are next in line.
With 4,048 and 11,917 unit sales, respectively, for both title deed and off-plan purchases, Jumeirah Village Circle likewise held the top rank.
Business Bay came in second with 3,400 title deed sales, followed by Dubai Marina (2,963), Downtown Dubai (2,289), and International City (1,927). There were 6,779 transactions in Business Bay, Mohammed Bin Rashed City (4,156), Dubai Hills (5,487), and Sobha Hartland II (3,957) in the off-plan area.
Apartment prices increased in most parts of Dubai last year, but Barsha Heights saw the most increase, with prices 33% higher in Q4 2024 than in the same period in 2023, according to Cavendish Maxwell.
Jumeirah Lakes Towers came next at 21%, then Dubai Silicon Oasis at 24%. Prices fell at Mohammed Bin Rashid City (2%), Bluewaters Island (4%), and Dubai Production City (6%).
All regions under study saw an increase in the cost of townhouses and villas, but Nad Al Sheba saw the most increase, with home prices rising 54% from Q4 2023 to Q4 2024. According to the report, Jumeirah Village Triangle came in second (33%), followed by Dubai South (29%).
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