DAMAC has launched a new exclusive residential project - DAMAC Lagoon
The Dubai real estate market is thriving with a phenomenal growth in monthly transactions throughout Q3 2021. In August alone, the DLD registered the highest sales level since January 2017 with a total record of 5,780 deals worth AED 14.9B (USD 4B). According to Property Finder, this spike has made it the best August on record in the past 12 years, showcasing a steady course of recovery for the city’s real estate sector. Leading up to Expo 2020, September 2021 has proven to be even more impressive with 5,762 transactions worth AED 16.2B (USD 4.4B), as it witnessed the highest value of properties sold in a single month since December 2013. In the first 9 months of 2021 the total number of transactions reached 43,299 worth AED 104B (USD 27B), which is up by 45% compared to the entire year of 2020.
Amid a boost in real estate sales, October 2021 is set to exceed all expectations as well. Investors are showing a strong interest in secondary/ready properties, while the off-plan real estate market is seeing record growth in the villas and townhouses segment. Expo 2020 is said to be the main driving force of the increase as it is set to promote Dubai as a perfect destination for living, working and investing, however, there are many other factors that have been taken into account. One of them is the efficient handling of the global COVID-19 pandemic, which boosted confidence of investors in the Dubai property market. Moreover, the region has launched numerous initiatives and incentives to boost its economy, such as the introduction of the renewable 10-year golden visa, green visas and 100% foreign ownership on commercial companies, among many others. As well as the above, prices on housing in Dubai are expected to rise modestly over the next several years as opposed to Australia, Canada and New Zealand, where already record-high prices on residential properties are set to double.
According to the price index launched by the DLD in cooperation with Property Finder, the average purchase price for apartments in Dubai was around AED 932,000 (USD 253,750), while villas/townhouse prices are at AED 909,600 (USD 248,000). Compared to the base month and January 2012, the overall price index has shown an increase of 1.20%, where the index for apartments has grown by 1.36% and villas/townhouses by 3.18%.
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