UAE Golden Visa Boosts Demand for Dh2 Million Properties in Dubai's Real Estate Market

Recent data reveals that properties priced between Dh1 and Dh3 million dominate Dubai’s real estate market, commanding a substantial 48.5% share.

Notably, the segment of properties valued at Dh2 million continues to attract significant interest from both investors and end-users seeking the UAE’s coveted 10-year Golden Visa.

To qualify for the Golden Visa, investors must purchase property worth at least Dh2 million. This can be a single property or multiple assets with a combined value of Dh2 million. In the first half of 2024, property transactions above Dh2 million saw a 30% year-on-year increase, highlighting the Golden Visa’s role as a key driver of market activity, according to Prathyusha Gurrapu, Head of Research and Consulting at Cushman & Wakefield Core.

In 2023, Dubai issued 158,000 Golden Visas to a diverse group including property buyers, students, and professionals. Property Monitor’s July report underscores that properties priced between Dh1.5 and Dh2 million have seen their market share grow to 14.5%, up by 3.5% due to new high-quality projects like Palace Residences and Arlo, with average prices of Dh2,421 and Dh2,601 per square foot respectively.

Similarly, properties in the Dh2 million to Dh3 million range experienced a 2% increase, driven by new developments such as Bayz 101 in Business Bay and Park Greens in Damac Hills 2. Despite the growth in mid-range property segments, low-price tiers under Dh1 million now constitute 29.6% of the market, a decrease of 1.0% month-on-month. Conversely, the high-end Dh5 to Dh10 million segment saw a decline of 2.4%, falling to 5.5% of the market.

The demand for Golden Visas also extends to high-net-worth individuals, who must either invest Dh2 million in property or deposit the same amount into a bank account to qualify.

News Source: Khaleej Times