Dubai’s residential real estate market has seen strong growth so far this year, with 55,651 sales transactions worth Dhs135.4bn recorded between January to November 2021.
The value of real estate sales transactions for the first 11 months is 88.39 per cent more than 2020 as a whole and is already the highest yearly sales figure since 2014, according to a new report by Property Finder.
November 2021 had 7,000 sales transactions worth Dhs17.96bn, making it the best November on record since the government started publishing data publicly.
On a year-on-year basis, the month had 80.4 per cent more transactions, with values up 138.8 per cent.
Comparing November month-on-month to October 2021, sales transaction values increased by 36.9 per cent and volumes increased by 30.8 per cent.
“The sales trends continue to thrive month-on-month and it’s interesting to note that November 2021 had the highest amount of sales transactions since Expo 2020 was announced in December 2013,” said Lynnette Sacchetto, director of Research and Data at Property Finder.
“The question on everyone’s mind is ‘are we starting to see the effects of Expo 2020 in the real estate market’ and the trends are giving us the answers.”
Since the beginning of the Expo, the market has seen 12,352 real estate sales transactions worth Dhs31.08bn. This included 7,000 secondary/ready sales transactions worth Dhs19.84bn and 5,352 off-plan sales transactions worth Dhs11.24bn.
Overall, there has been a shift towards off-plan – in October 2021, 54 per cent of all transactions were for secondary/ready properties and 46 per cent were for off-plan properties.
Looking at total volumes, the off-plan market transacted 3,219 properties worth a total of Dhs6.84bn while the ready market saw 3,781 transactions worth Dhs11.12bn.
“It is interesting to note that 2021 to date had the highest off-plan value since 2009, which was the peak for off-plan sales in Dubai,” said Sacchetto.
“The data clearly shows that investors and consumers are confident in Dubai’s future which is reinforced by proactive government initiatives, attractive real estate projects and the vision of the city.”
Source- gulfbusiness.com
The tiny Arab nation of Qatar has for years employed a former CIA officer to help spy on soccer officials as part of a no-expense-spared effort to win and hold on to the 2022 World Cup tournament, an investigation by The Associated Press has found.
It's part of a trend of former U.S. intelligence officers going to work for foreign governments with questionable human rights records that is worrying officials in Washington and prompting calls from some members of Congress for greater scr ..
The AP's investigation found Qatar sought an edge in securing hosting rights by hiring former CIA officer turned private contractor Kevin Chalker to spy on rival bid teams and key soccer officials who picked the winner in 2010. Chalker also worked for Qatar in the years that followed to keep tabs on the country's critics in the soccer world, the AP found.
The AP's investigation is based on interviews with Chalker's former associates as well as contracts, invoices, emails, and a review
The AP's investigation is based on interviews with Chalker's former associates as well as contracts, invoices, emails, and a review
The surveillance work included having someone pose as a photojournalist to keep tabs on a rival nation's bid and deploying a Facebook honeypot, in which someone posed online as an attractive woman, to get close to a target, a review of the records show. Operatives working for Chalker and the Persian Gulf sheikhdom also sought cell phone call logs of at least one top FIFA official ahead of the 2010 vote, a review of the records show.
Chalker also promised he could help the country "mai .. he could help the country "maintain dominance" over its large population of foreign workers, an internal document from one of Chalker's companies reviewed by the AP shows. Qatar - a country with a population of 2.8 million, of whom only 300,000 are citizens - is heavily reliant on foreign-born labor to build the stadiums and other infrastructure needed for the tournament.
Qatari government officials did not respond to requests for comment. FIFA also declined to comment.
Source-economictimes.indiatimes.com
Dubai property prices will sustain an upward trend next year after posting strong recovery in 2021 despite a challenging environment worldwide in the wake of the Covid-19 pandemic, experts say.
Industry specialists and executives said Dubai real estate market sustained a price appreciation since November last year due to strong demand from the end-users and investors across the globe.
Referring to latest report released by ValuStrat, they said the citywide residential value price index (VPI) improved 12.6 per cent year-on-year basis as it witnessed accelerated monthly growth from 0.7 per cent in January to 1.8 per cent in October.
“The recovery continued in both villas and apartments this year as prices in few villa areas soared as high as 30 per cent when compared to October last year. Most of the apartment submarket also continued to improve, albeit at a slower pace,” according to the ValuStrat report.
Last week, the Dubai Land Department (DLD) said the year-to-date total sales reached 48,651 valuing Dh177.44 billion, reflecting a 38.34 per cent year-on-year growth in terms of transactions and 63.4 per cent in terms of value during the first 10 months of 2021. The emirate recorded best October in past eight years as investors poured Dh13.12 billion in the property sector through 5,352 deals.
Strong double-digit growth seen
Haider Tuaima, head of Real Estate Research at ValuStrat, said residential market is expected to grow at 15 per cent this year.
“Villas will lead recovery in real estate market with strong 25 per cent increase in prices this year while apartments are likely to grow at five per cent. Some villa locations are expected to grow above 30 per cent due to strong demand from end-users and investors,” Tuima told Khaleej Times.
In reply to a question, he said this positive momentum will continue in post Expo period next year as well.
“Yes, the momentum is expected to stay in positive territory but at a slower rate. This is because of pending supply due next year,” he said.
“The villa segment that saw an exceptional growth this year may have reached their saturation ceiling, therefore it would either stabilise or see marginal improvement by the end of 2022,” he added.
Capital values surge
The ValuStrat report indicated that all 13 villa locations and all 21 apartment areas monitored by the VPI have seen their capital values either stabilise or improve when compared to the previous month.
For villas, the highest annual capital gains continued in older gated communities such as Arabian Ranches (31 per cent), Jumeirah Islands (30.9 per cent), The Lakes (27.9 per cent) and The Meadows (26.7 per cent).
For VPI monitored apartments, top annual performers in terms of double-digit capital gains were found within established beachfront communities in Palm Jumeirah (14.6 per cent), and Jumeirah Beach Residence (12.1 per cent). However, some areas such as Jumeirah Village apartments (-6.3 per cent), Dubai Sports City (-2.8 per cent), and Dubai Production City (-2.6 per cent) saw negative annual performance.
Expo 2020 a major catalyst
Ata Shobeiry, chief executive at Zoom Property, said the positive trend in the market is certainly welcoming, particularly for property developers and investors.
“With the third quarter witnessing a substantial growth in apartment and villa prices, the trend is expected to continue in the fourth quarter and beyond.
In reply to a question, he said Expo 2020 is a major catalyst to drive boom in the real estate market.
“If we look back at the past world fairs, most host nations witnessed a significant increase in the real estate sector post the event. We can expect the same for Dubai, even more because Dubai is following a more sustainable approach as the Expo 2020 site will be converted into District 2020, a mixed-use community,” Shobeiry told Khaleej Times.
Big ticket deals
“October saw 19 transactions valued over Dh30 million and such transactions were concentrated in Dubai Hills Estate, Downtown Dubai, Business Bay, District One, Jumeirah Golf Estates, Emirates Hills, and Palm Jumeirah,” according to the ValuStrat report.
The report further said that properties developed by established players were in more demand as buyers preferred Emaar (30.2 per cent), Nakeel (5.4 per cent) and Dubai Properties (4.3 per cent) over other developers.
“The Valley (14.9 per cent), Business Bay (12.7 per cent), Dubai Harbour (8.2 per cent) and Arabian Ranches phase 3 (6.3 per cent) were top off-plan locations transacted in October 2021 while most transacted ready homes were located in Dubai Marina (8.1 per cent), Business Bay (7.9 per cent), Jumeirah Village (7.5 per cent), Akoya Oxygen (seven per cent), and Jumeirah Lake Towers (4.7 per cent),” according to the ValuStrat report.
Source- www.khaleejtimes.com
Dubai’s economy is rebounding faster than expected, as property sales are rising and restaurants are busy, at a time when Europe is experiencing a surge in Covid cases and tightening restrictions again, Bloomberg reported
“The recovery has been faster than we expected,” said Scott Livermore, chief economist for Oxford Economics Middle East in Dubai.
“Expo has played a role in that but also the success Dubai has had in avoiding a Delta wave that has allowed the domestic economy to pretty much get back to normal,” he added.
Around 90 percent of UAE’s population is fully vaccinated and high-risk individuals are provided with boosters.
Another big contributor to Dubai’s economy is the rise of oil prices.
“Many factors might have contributed to Dubai’s upturn: High oil prices have created a boom in the region, a receding virus and the Expo have boosted tourism and a recovery in the real estate market has improved sentiment. It’s all looking great now although some of these tailwinds could fade over time,” chief emerging markets economist, Ziad Daoud, explained.
Source-www.arabnews.com
(REUTERS) - Dubai plans to merge the departments of economy and tourism and hopes to attract 25 million tourists in 2025, Sheikh Hamdan bin Mohamed Bin Rashid Al Maktoum, Dubai's Crown Prince, said on Twitter on Saturday.
Sheikh Hamdan added that Helal Al Marri will be appointed as a general director of the new department.
Dubai's ruler Sheikh Mohammed bin Rashid Al Maktoum said the new department's main objectives include increasing the added value of the industrial sector by 150% over the next five years, expanding foreign export markets for local products by 50%, and increasing the number of tourists by 40%, his media office said.
He added that the Emirate also wants to attract 100,000 companies in 3 years, 400 global economic events annually by 2025, and encourage private sector companies and family businesses to list on the financial markets and stock exchanges in Dubai.
(Reporting by Moataz Abdelrahiem; Editing by Giles Elgood)
Source- money.usnews.com
There is a "true rebound" in the UAE’s property market, driven by government initiatives with the market momentum expected to sustain for the next 12 to 18 months as more people buy homes, according to industry experts.
“There is a lot being done in Dubai and in the UAE to ensure longevity of residency and that’s very important for us as developers and that’s really underpinning the real estate recovery that we’ve seen,” Alexander Davies, the chief commercial officer of the Dubai Holding Real Estate told the Cityscape Global Summit on Sunday.
“This is a true rebound and there are very good fundamentals underlying it.”
The sentiment so far is very positive
Dounia Fadi, chief operating officer of Berkshire Hathaway Home Services Gulf Properties
Over the past year, the UAE government has introduced a number of measures to support the economy, including visas for retirees and professionals working remotely and the expansion of the 10-year golden visa initiative.
The UAE government also overhauled its commercial companies' law and annulled the requirement for onshore companies to have an Emirati shareholder to attract foreign capital.
Property markets in Abu Dhabi and Dubai have rebounded strongly, as pent-up demand and supportive stimulus measures offered by the government boosted economic activity.
Dubai recorded 37,537 sales transactions worth Dh88.12 billion ($23.99bn) in the eight months of this year, up 22.61 per cent compared with the whole of last year, according to the listings portal Property Finder.
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Residential property prices in Dubai increased 4.4 per cent on average in the first eight months of the year, registering the highest annual growth since February 2015, according to real estate consultancy CBRE.
Average residential prices in Abu Dhabi increased 2.2 per cent in the year to August, the CBRE report said. The UAE capital registered Dh16.2bn of property transactions during the third quarter of 2021.
“The sentiment so far is very positive,” Dounia Fadi, chief operating officer of Berkshire Hathaway Home Services Gulf Properties, told The National.
“It is not only the sentiment but the numbers as well, which have been rising since the fourth quarter of 2020 and so far it has been really sustainable growth. It didn’t really shoot up to crazy numbers and in tune with the demand we are seeing.
“We have a lot of people within the country looking for properties … the mortgage rates are promising and in the next 12 to 18 months the market will be on the rise,” she said.
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The demand is driven by “how Dubai and the UAE government has handled the pandemic and a lot of people are relocating from Europe, the US, India and South Africa. People are moving here because they feel safe and because the pandemic is under well control”, she added.
The UAE, the Arab world’s second-largest economy, has been recording less than 100 coronavirus cases every day for the past few weeks. The country also accelerated the vaccination programme to prevent the pandemic from spreading.
According to official data, more than 21.3 million vaccine doses have been administered since the start of last December.
Ms Fadi also underscored the importance of sustainability in new projects and said there is only one development in Dubai, which is based on renewable energy and “there is a huge demand for that”.
“We do need more supply in that segment (sustainability) and after Cop26 summit, all governments have taken the pledge to do more in that segment,” she said. She also said the Dubai 2040 urban master plan is step in the right direction to boost green space in the emirate.
Earlier this year, Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, set forward a plan to overhaul the emirate's urban landscape, dramatically increasing community, economic and recreational areas, as well as nature reserves, by 2040.
As per the plan, areas for economic and recreational activities will grow by one-and-a-half times and the length of beaches will increase by 400 per cent over the next 20 years.
Source-www.thenationalnews.com
What a difference a year makes. This time last year, the writing was on the wall. It was all but decided that the property market was a spent force, on the verge of being wiped out by the great pandemic. Its residents should have succumbed to nerves from the fearful haze of pain that the downturn had brought ashore.
Mass hysteria is a terrible force - and yet Dubai has always managed to escape it by some margin: it even managed to scale the sky during the depths of the last depression. The city has always managed to meet confusion and panic with grit. It is almost as if the city provides its residents with massive doses of a supplementary vitamin: the sense of belonging to something unique, cosmopolitan, mighty and unparalleled.
Today, the verve and the groove is back. Lines outside every restaurant - prosperity, it seems, creates its own breadlines - state what is obvious to the resident. Dubai is nothing like Paris, or New York or London. Its physical majesty serves as a magnet for the world’s best and brightest, but look closer, and the city’s evolution across its various districts signify the development of an expanse that is virtually like no other.
A collection of neighbourhoods
The city is literally a composite of tiny neighborhood units. There are, of course, big districts like the Downtown, Business Bay, Dubai Marina and Jumeirah Village, as well as Emirates Living, each of which has some characteristic. But the curious thing about Dubai is that each large geographical unit is composed of countless small neighborhoods, each of which is virtually self-sufficient. South Marina houses a different feel, District 13 of Jumeirah Billage has a more “partyesque” atmosphere, whilst the local coffee shops of Al Quoz talk of a more somber and academic zeitgeist.
Each area is a city within a city within a city, testifying to its entrepreneurial verve, not merely just in the financial sense, but more holistically, where people no longer feel that the city is one large construction site but rather an agglomeration of an indestructible force. The Expo is already cementing the status of the city as a force of creativity, diversity and opportunity, setting the stage for others to scramble to create opportunities that Dubai has already long surpassed.
A solution for any headwind
As exhibitions return and tourism proliferates, the backbone of the city (which is its infrastructure and real estate), serves to accommodate the legions of people entering its gates, ready to imbibe ideas and infuse it with its local cultural flavor to create an admix of output virtually unseen anywhere else on the planet.
Much has been written about the slew of reforms put into place over the last two years to revitalize the city anew, but Dubai has always possessed the magic dust that it sprinkles on its edifice every time headwinds occur. The city - known for its citizen, commuter, tourist and resident/expat - has sought to blur the distinctions in recent years and as it has done so, has created opportunities anew , at all ends of the market strata, stimulating activity where commentators thought none existed.
Conversations once again are dominated by capital gains and multiplying values, but these animal spirits never really left the citizen or the resident, the ranks of which have multiplied over time, giving the city its sense of invulnerability and poise. As the gates of Cityscape open to welcome the world again, gone are the lamentations of oversupply and despair, replaced by limousines and millionaires jockeying for their places in the race that the city provides once again for those willing to dare to create.
This race - the race between opportunity and security, between optimism and creativity is one of symbiosis - perfectly illustrated by the city. The riddle of in steel and stone is one that Dubai has managed to navigate successfully, showing that brotherhood is as lofty an ambition as the one to create skyscrapers. It is rapidly becoming the capital of opportunity and mobility, housing the deliberations that will shape the world anew.
Source-www.gulfnews.com
DUBAI, 28th October, 2021 (WAM) -- A total of 1,254 real estate transactions were valued at AED4.9 billion during this week, according to the Dubai Land Department (DLD).
The DLD weekly report said 174 plots were sold for AED920.4 million, along with 1080 apartments and villas sold for AED2.18 billion.
The top three transactions were a plot of land in Business Bay worth AED69 million, followed by two for AED47 million each in Mohammad Bin Rashid Gardens.
The top three transfers for apartments and villas were an apartment was sold for AED69 million in Nad Hessa worth AED69 million, followed by two transactions in Burj Khalifa worth AED50 million and AED44 million each.
The Business Bay came on top in terms of volume and value, recording 155 transactions worth AED170 million.
The sum of the amount of mortgaged properties for the week was AED1.64 bn. In addition, 79 properties were granted between first-degree relatives worth AED179.81 million.
Source- .bignewsnetwork.com
There is now a renewed interest in Dubai’s real estate sector, which experts believe is heading towards the path of sustainable growth. That Dubai’s realty sector is doing well reflects in the Dh.16.2 billion transactions witnessed last month, making September the best month on record in the past eight years.
Saleem Mohammed, a Kochi-based property developer who was part of Dubai’s realty sector for over a decade opined that Dubai’s real estate is much more insulated from major fluctuations compared to earlier days. “That is my reading. I believe the current phase of growth is sustainable, but I expect stability only post-Expo,” he said.Expo-2020 is expected to attract 25 million visitors from across the world and experts say it will result in a surge in economic activities leading to over ..3.5% growth in Dubai’s GDP. Any growth happening in the realty sector is expected to benefit Dubai in a big way since it accounts for 42% of the ongoing projects in the United Arab Emirates (UAE), according to Dubai Chamber of Commerce and Industry.
It is true that Dubai is now focused on knowledge-based economy and emerging technology. “But you cannot ignore the real estate sector. It is still the key to the growth of Dubai’s economy, said Nilesh Agarwal, Managing Partner of Pune-based Excellaa Builders which besides participating in Expo-2020 is in the process of setting up an office in Dubai.
Long-term visas and new rules relating to ownership, he said, are helping in the sector’s recovery. These measures, Agarwal said, enhance people’s confidence, who want to live, work or trade in Dubai. Excellaa, according to him, has also been receiving enquiries from Dubai for its Pune properties. He sees it as a definite sign of recovery and sustainable growth.
“We want to make use of this opportunity and that is why we wanted to be part of Expo-2020 with a dedicated office in Dubai,” Agarwal said. This year till September, the value of real estate transactions was about 24% more than 2020 as a whole, with total value exceeding Dh100 billion. Mohammed expects this growth to stabilize eventually.
“It is safe to invest in Dubai property because you come to own a property, perhaps for a lesser price and better rentals compared to Mumbai or Delhi in a world-class city which offers infinite opportunities to grow your business. If my son wants to buy a flat or villa, I would advise him to put the money in there for this very reason,” said Mohammed.
Source-economictimes.indiatimes
Residential property prices in Dubai are still shy of one-fourth of their previous market cycle peak of 2014 with Expo 2020’s positive impact becoming more visible in Q4 this year or early next year, which is accelerating recovery in the sector, say industry executives.
Zhann Jochinke, chief operating officer of Property Monitor, said the Dubai property market’s recovery continues as prices rose for the eleventh month in a row, albeit with the pace of the recovery slowing. In September, prices climbed 1.2 per cent to stand at Dh968 per sqft.
“We are now 19 per cent away from the peak of the previous market cycle. Should the recovery slow to smaller and sustainable monthly price increases, there is a greater likelihood of the recovery lasting longer and the possibility of hitting a new market peak in the current cycle,” he said.
Despite the recovery in prices over the last few quarters, property prices in the emirate are still one of the most affordable when compared to major cities around the world due to a persistent decline in rates over the years.
The International Monetary Fund’s latest data on global real estate
showed property prices in the UAE dropping nearly four per cent in 2020 — one of the highest in the world, due to the impact of the Covid-19 pandemic. But the recovery in the real estate sector is accelerating as new coronavirus cases dropped to around 100 per day, boosting confidence among consumers and investors.
Property Finder’s data for September revealed that real estate transactions in Dubai crossed the Dh100 billion mark in September as the growth of the monthly sales transactions and their values leading up to Expo 2020 has been phenomenal, thanks to the presence of a good number of international investors in the market.
Property Monitor said the effect of Expo opening has not yet been felt in the market, but will be a positive influence on the last quarter of 2021 and the first half of 2022 as new buyers discover the Dubai market and its relative affordability compared to other major capitals and financial centres.
The recovery in the Dubai real estate market has, thus far, been powered by the strong performance of the villa and townhouse segments, especially in traditionally sought-after locations.
2021 looks likely to be the best year in a decade in terms of residential investments, as September transactional volumes already exceeded all annual totals since 2010, said real estate consultancy and advisory firm ValuStrat.
It said residential capital values saw gains of nearly 10 per cent annually to reach 72.5 points in the third quarter of 2021 as compared to 100 points in January 2014.
However, as inventory dries up amid strong demand for villas, a widening buyer-seller expectation gap regarding pricing is now conspicuous. Aggressive pricing by sellers and their brokers after blockbuster months for sales have led to overpriced properties staying in the market as buyers explore other options rather than indulge property owners’ demands, said Property Monitor.
“We, therefore, expect apartments to carry forward the recovery from here on, given multiple options available in the market and the greater headroom they have for price appreciation,” said Jochinke.
Source- .khaleejtimes.
