Dubai / WAM
Dubai’s real estate market continues to achieve record numbers in the number and value of real estate sales transactions, thus enhancing the emirate’s global position as the preferred, and most attractive and flexible real estate investment destination.
The 14th edition of Mo’asher, Dubai’s official sales price index, launched by Dubai Land Department, in cooperation with Property Finder shows that 4,832 sales transactions worth AED 10.98 billion were recorded in April 2021, the highest value in four years, specifically since March 2017.
The base year for Mo’asher is 2012 and the base month for the monthly index is January 2012, with the base quarter for the quarterly index being Q1 2012. April 2021 had 4,382 sales transactions worth AED 10.98 billion, 4.2 percent more than March 2021 in terms of volume and 0.6 percent more in terms of value. This brings the year to April total to 16,577 sales transactions worth AED 36.12 billion.
In April, 70 percent of the total transactions were up to AED 2 million, while 23 percent were between AED 2 million to 5 million, four percent were between AED 5 million to 10 million and 3 percent above AED 10 Million.
In April 2021, 60 percent of sales transactions were for secondary/ready properties and 40percent were for off-plan properties. Apartment sales also accounted for 69 percent of the total, and 31 percent for villa / townhouse sales. When we look at the volume of transactions, the off-plan market transacted 1,934 properties worth AED 3.09 billion and the secondary market transacted 2,898 properties worth AED 7.89 billion.
Comparing this to March 2021, the number of off-plan sales transactions in April increased by 12.9 percent, the highest in 14 months and the secondary/ready property transactions decreased for the first time in 11 months by 0.92 percent.
Since the start of the pandemic, we have seen apartment prices decline. This is partially due to more affordable housing coming into the market, more supply of apartments completed and an increase in demand shifting to villa/townhouses.
In the villas/townhouses sector, 18.5 percent of all sales in April 2021 took place in Mohammed bin Rashid City, followed by Dubailand (10.3 percent), Dubai Hills Estate (9.4 percent), Rukan (5 percent) and Town Square(4.9 percent).
Looking at apartments, 8.5 percent of all sales transactions took place in Dubai Marina followed by Jumeirah Village Circle (8.4 percent), Jumeirah Lake Towers (7.6 percent), DownTown Dubai (7.3 percent) and Business Bay (5.4 percent) according to data from Property Finder.
According to proprietary Property finder demand data, the top areas of interest in terms of searches for villas/townhouses in April 2021 were Dubai Hills Estate, Arabian Ranches, Palm Jumeirah, Mohamed bin Rashid City and Damac Hills. As for apartments for the same period, the top areas of interest were Dubai Marina, Downtown Dubai, Palm Jumeirah, Business Bay and Jumeirah Village Circle.
Overall monthly Index recorded 1.072 and an index price of AED 1,002,667. Apartments monthly Index recorded 1.097 and an index price of AED 912,404. Villas/Townhouses monthly Index recorded 0.992 and an index price of AED 1,768,908.