Dubai property prices rise fastest in almost 9 years

Costs rose 16.9% on an annualised basis from a year earlier

Dubai’s property market maintained its unprecedented pace of growth in June, as average prices in the emirate rose at the strongest pace since late 2014, a report showed on Tuesday.

According to data from the real estate brokerage firm CBRE, the average prices in Dubai rose 16.9 per cent last month, compared to 15.9 per cent in the previous month.

Over this period, average apartment prices grew by 17.2 per cent and average villa prices by 15.1 per cent. As of June 2023, average apartment prices reached Dh1,294 per square foot, and average villa prices reached Dh1,525 per square foot. These average apartment sales rates remain 13.1 per cent below the 2014 levels.

That being said, several communities have already surpassed their peak. On the other hand, average villa sales rates currently sit 5.5 per cent above their 2014 figures.

Downtown Dubai registered the highest sales rate per square foot in the apartment segment of the market, reaching Dh2,440, while Palm Jumeirah registered the highest sales rate per square foot in the villa segment of the market, reaching Dh4,845.

In June 2023, the volume of transactions in Dubai’s residential market totalled 9,876, marking an 18.8 per cent increase from the year prior. Over the same period, off-plan transactions grew by 44.9 per cent, whereas secondary market transactions marginally declined by 0.5 per cent. In the year to date to June 2023, a total of 57,737 residential transactions were recorded. This is the highest figure registered over the year’s first two quarters.

News Source: Khaleej Times