According to the latest official data issued on Tuesday, Dubai real estate has maintained its attraction as investors and locals continue to pour money into the emirate to buy a home or apartment.
In the first quarter of 2022, the emirate reported 25,972 transactions, the most in a single quarter since 2010 and the biggest volume since the first quarter of 2014. According to Mo’asher, Dubai’s official sales and rental performance indicator, which was developed by the Dubai Land Department (DLD) in collaboration with Property Finder, it recorded 20,539 sales deals totaling Dh55.51 billion in the January-March quarter.
During the quarter, the off-plan market sold 8,616 properties worth Dh16.12 billion, while the secondary market sold 11,923 units worth Dh39.39 billion.
Most Sales happened on March
In March, there were 8,399 sales transactions worth Dh22.58 billion in Dubai real estate, the most in the last seven years. In comparison to March 2021, there was an 83 percent rise in total sales transactions and a 109 percent increase in sales value. In March, secondary or ready homes accounted for 60.16 percent of all sales.
Rental Market had a higher demand
In the rental market, the emirate recorded 160,530 contracts, with 51.89 percent being new and 48.1 percent being renewals, representing a 4% increase in total contract volume over the fourth quarter of 2021. Annual contracts accounted for 79.95% of total contracts in the January-March quarter, while non-annual contracts accounted for 20.04 percent.
In March, the industry witnessed approximately 44,783 rental contracts in Dubai, with 60.28 percent of contracts being new and 39.72 percent being renewals; 78 percent were yearly contracts and 21% were non-annual agreements.
According to Property Finder data, the most common apartment rental contracts were for one-bedroom apartments, followed by two-bedroom apartments, while the most popular villa or townhouse rental contracts were for three bedrooms and four bedrooms.
Popular Areas
According to the most recent data in terms of Ejari registration, Jabal Ali First (6,259 contracts), Al Warsan First (6,224), Business Bay (5,056), Naif (5,011), and Al Karama (5,007) remained the most sought-after regions for tenants throughout the quarter.
The most popular areas searched for apartments in the first quarter were Dubai Marina, Downtown Dubai, Palm Jumeirah, Business Bay, and Jumeirah Village Circle, while the most popular areas searched for villas or townhouses were Dubai Hills Estate, Palm Jumeirah, Arabian Ranches, Damac Hills (Akoya By Damac), and The Springs.
Furthermore, Dubai Marina, Downtown Dubai, Business Bay, Jumeirah Village Circle, and Jumeirah Lake Towers were the top searched areas for apartment rentals in March, while Dubai Hills Estate, Jumeirah, The Springs, Al Barsha, and Arabian Ranches were the top searched areas for villa or townhouse rentals.
Quarterly index prices, Rental Prices Goes Up
The entire quarterly sales index increased by 1.251 points in Q1 2022, with an index price of Dh1,186,002. The flats quarterly index increased by 1.26 points to Dh1,067,385 in index price, while the villas or townhouses quarterly index increased by 1.234 points to Dh2,094,633 in index price.
The entire quarterly index for renting, on the other hand, increased by 0.947 points in Q1 2022, with an index price of Dh51,177. The apartments quarterly index increased by 0.967 points to Dh46,952 in index price, while the villas or townhouses quarterly index increased by 0.851 points to Dh131,639.
Source: Khaleej Times
