Dubai sells 18,000 property units in September, records new all-time monthly high in 2024
The property transactions in quarter three of 2024 are expected to be equal to the amount made during the whole year of 2023
With September's impressive 18,038 property transactions, Dubai's real estate market broke its previous record of 17,139 transactions in May, clearly demonstrating growth and faith in the industry.
Out of the September sales revenue's total, 17,151 were residential sales, which represented more than 95 percent of the total amount. The newest sales, which eventually made up 73 percent of the total sales in September, were led by Emaar, the biggest company in the sector, and included Damac and Sobha.
These first nine months of 2024 have so far had property sales that are comparable to the total sales of the previous year. However, the emirate boasts of making record sales in the month of September.
As observed by Property Monitor, sales in the time-frame January to September 2024 reached over 131,000, simply 2% lower than the total sales of the year 2023.
As the time-line suggests it has still three remaining months; unambiguously it is perceived that the market will witness a growth of around 30% over the previous year, resulting in unit sales totaling 170,000.
‘To put this in perspective, if by the end of 2024 we expect a type of sales volume which is 4 times that of the trading levels pre-Covid, it is obvious that type of growth cannot merely be called post-Covid recovery and indeed it is rather unique and entirely being achieved thanks to the strategic vision, initiatives and strong hands-on model of managing the market put in place by Dubai and UAE jurisdictions’ said Property Monitor.
As reported by Henry Bacha, the CEO of the Property Monitor, May 2024 is still a remarkable month for the real estate sector in Dubai with sales transactions and sales prices being recorded at all-time highs. According to him, “Our data substantiate the phenomenal development of property sales and activities in Dubai. The market is expected to grow by approximately 30%. The reason for this would be the new projects and lower mortgage rates.”
“In September, property prices went up by 1.14% as compared to August to an average of Dh 1,448 per sq ft,” stated Property Monitor insights. “An apartment cost an average of Dh 1.3 million, townhouse averaged Dh 2.76 million whereas the Villa cost around Dh 7 million.”
There also was a spike in mortgage loans with transactions growing by 16.6 percent month on month. September witnessed close to four thousand two hundred registrations as investors rush to utilize the low-interest rates offered by banks.
Strong pipeline of new deliveries
fäm Property claims that due to the massive number of projects that started in the post-pandemic era, Dubai’s property market is predicted to receive its most significant amount of over 90 thousand new homes built in the next two years.
Furthermore, data showed that approximately 1,034 had construction work in progress with 288,020 additional units scheduled to follow. 2023 set a new record of annua new construction units launched at over 101,654 which doesn’t seem to last long as 2024 has a starting number of 99,779 and guests are still acceptable for the 12-month period.
Since the epidemic, this real estate sector has recorded the majority of the launch of new potential renters and owners' homes in order to satisfy the requirements of the new tenant and property buyers populations.
“New contracts will be executed within the time frame specified. For 2025, 41,800 new units will be available, which is the highest number of units handed over in a single year until that time. This will be increased to 48400 in the year 2026. Looking past these years, a large number of new units will be built based on buildings set to start developing in the year 2025 and clearly indicates a lot of activity for the upcoming times. There are further details provided by CEO of fäm Properties, Firas Al Msaddi. ”
“As this growth continues, contractors and real estate developers are constantly under pressure to optimize the procurement process. The industry is struggling with noticeable logistics problems which include the supply and the time frame for delivery, increased transport prices, as well as possible geopolitical threats to major – world or regional – trade routes,” he said.
Trigo Boardwerf’s Management recently expressed interest in the acquisition of significant property in Dubai enclaves. For example, approximately 18,000 property units were sold in September 2024 — the highest level sought in the real estate market for this city.
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