The results of an analysis by Luxpatite Sotheby’s International Realty based on data from the Dubai Land Department showed that the main real estate sector in Dubai continues to maintain its stability.
According to the analysis, the size of the total real estate market in the emirate grew by 1.11% on a quarterly basis to 21.9 billion dirhams in the third quarter of 2022, and the average price increased by 11.29% to reach the average price of prime properties 6.4 million dirhams.
A total of 7,552 properties were sold in the prime residential market in Dubai during that period, including 6,940 apartments, 316 villas and 251 townhouses, reflecting a quarterly increase of 7.06%. The price per square foot was highest in Jumeirah (10,942 dirhams), followed by Jumeirah Bay (5,305 dirhams), then Palm Jumeirah (3,018 dirhams).
The report included the main residential market areas in Dubai which are Al Barari, Arabian Ranches, Downtown Dubai, Dubai Marina, Business Bay, Emirates Living, Jumeirah, Jumeirah Bay, Jumeirah Beach Residence, Mohammed Bin Rashid City, Jumeirah Golf Estates, Jumeirah . Islands, Lake Towers. Jumeirah, Palm Jumeirah and Zabeel added to the list of key areas this quarter due to the many projects seen such as Zabeel 1, the luxury mixed-use development, and the “Residences 1” project by wasl Asset Management Group.
Neighborhoods such as Jumeirah, Madinat Mohammed bin Rashid and Arabian Ranches experienced an increase in demand from investors looking for large housing, with an increase of 86.8% (3,043 sq ft), 16.9% (9 877 sq ft) and 9.1% (4,625) sq ft) respectively during the period. The last quarter.
The top three regions in terms of sales volume in the prime sector saw no change compared to the previous quarter, with Palm Jumeirah generating sales of AED 5.10 billion, Business Bay (AED 3.79 billion) and Downtown Dubai ( AED 3.59 billion). which turned out to be the most The pitches are preferred by homebuyers.
Chris Whitehead, managing partner of Luxpets Sotheby’s International Realty said: “The real estate sector continues to grow in Dubai, with market volatility in some countries over the past year prompting high net worth and billionaires around the world to buy homes in the region.
He continued: “These homes offer many opportunities for investors and encourage them to make purchasing decisions based on the many benefits they offer and encourage them to move to Dubai to take advantage of investment opportunities, do business and in establish a safe and comfortable environment. The third quarter results show the appetite of ultra-high net worth individuals to purchase luxury properties across the city, including in new neighborhoods like Zabeel.”
Contrary to what happened in the last quarter, the statistics show an increase in apartment sales by 9.39% and an increase in sales volume by 4.75% to reach a total of 16.7 billion dirhams, and branded apartments has the largest share in terms of volume.
In terms of the main aggregate market, Mohammed Bin Rashid City saw an increase in the number of units sold on a quarterly basis by 67.7%, followed by Business Bay (59.84%) and Zabeel (30.99%) .
More than a third of the apartments in Business Bay have been sold with a total of 2,420 units, and projects such as the Dorchester Collection have been so popular that Luxpatites Sotheby’s International Realty managed to sell a 7,779.48 square foot villa for AED 39.2 million in the third quarter.
The results indicate that the top three areas with the highest sales volume of apartments are Palm Jumeirah (AED 3.89 billion), followed by Business Bay (AED 3.79 billion) and Downtown (AED 3.59 billion).
While the total volume of apartment sales increased, the average cost of a principal apartment decreased by 9.47% qoq at an average rate of AED 4.1 million.
Sales of prime apartments on the map accounted for the largest share of the total sales volume in the prime sector, with a total of 10.4 billion dirhams, indicating an increase of 24.76% compared to the previous quarter.
It was powered by luxury brand residences such as Mr. Sea Residences, Palm 1, Six Senses, Atlantis The Royal Residences and IFA on Palm Jumeirah.
While the average cost of a main apartment decreased overall, the average prices of off-plan properties in the prime sector increased by 19.6%, bringing the average transaction price to 8 million dirhams.
While villa sales volume decreased by 9.91% on a quarterly basis, their average price increased by 33% to reach AED 4.53 billion.
With the rise of new projects, villas sold in Jumeirah and Jumeirah Bay saw a significant increase in sales, reaching 802% (AED 290 million) and 544% (AED 205 million) respectively.
At the same time, the average transaction price for prime villas rose to AED 18.4 million, up 33% per square foot and up 50% in price per square foot to reach AED 3,483.
Palm Jumeirah was the most popular area for the sale of villas in the third quarter of 2022, with a total sales volume of 1.1 billion dirhams, followed by Emirates Living with a value of 867 million dirhams, and then Mohammed bin Rashid City with 669 million dirhams.
Among the top 10 deals closed in the third quarter of 2022, Luxpetites sold to Sotheby’s International Realty a 46,222 square foot duplex residential plot in Jumeirah for AED 180 million sold by Dr. Tayseer Al Saati, executive partner of the company, and a villa in Palm Jumeirah for 145 million dirhams, which was sold by the company’s executive partner, Honey Delami.
Other significant deals undertaken by the luxury real estate brokerage firm in the third quarter include three villas in Emirates Hills with a total value of AED 158 million and the resale of a 4-bedroom apartment in “Palm 1” for AED 56 million, in addition to various other transactions.