Prices of luxury homes in Dubai increased 41 per cent in the fourth quarter of 2021, compared with the previous quarter, with the average property price reaching Dh4.6 million ($1.25m), as sales surged amid a continued economic recovery from the pandemic-induced slowdown.
The emirate's prime residential market recorded a 5.27 per cent increase in the number of home sales, with deals valued at Dh17.07 billion, according to analysis by Luxhabitat Sotheby’s based on data from the Dubai Land Department.
A total of 5,205 apartments and 552 villas were sold during the quarter.
The most expensive property sold was a mansion in Jumeirah Bay Island that went for Dh121m, said Luxhabitat Sotheby's, which handled the transaction.
The top three areas with the highest volumes of luxury home sales were Palm Jumeirah with Dh3.4bn, Downtown Dubai at Dh3.2bn and Business Bay at Dh2.5bn, the report said.
In the prime residential market, Al Barari area recorded the highest growth in sales to Dh373m in Q4 2021, up from Dh122m in Q3, owing to new launches. This was followed by Jumeirah, where sales grew from Dh122m to Dh372m, and Arabian Ranches 1, where sales rose from Dh176m to Dh452m during the same period.
Dubai’s luxury property market recorded the third highest price growth among global cities last year, consultancy Savills said earlier this month, with prime residential centres set to be a safe haven for investment in 2022.
The city’s real estate market is expected to achieve capital growth of 4 per cent to 5.9 per cent this year, after growing 17.4 per cent in 2021, according to Savills World Cities Prime Residential Index, as the economy recovers from the Covid-19 pandemic and demand outstrips supply.
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Luxhabitat Sotheby's said it handled more than three per cent of the total sales within Dubai’s overall residential market of Dh300bn, which amounts to more than Dh9bn in sales in 2021. The company said its revenue grew eight-fold last year from 2020.
Dubai's prime villa market, meanwhile, recorded a contraction of 33.78 per cent as there was a surge in demand for apartments. The last quarter produced Dh4.1bn in sales, with an average price of Dh10.6m for a villa.
There has also been an increase in the price per square foot by 21 per cent – indicating an added interest in quality villas, Luxhabitat Sotheby's said.
The number of top-end apartments sold increased 35 per cent to Dh11.1bn in the period. The average prime apartment now costs about Dh2.4m, with average price per square feet at Dh1,652.
The company expects 2022 to be the best year yet for Dubai’s luxury property market.
"We are still short in stock of premium and luxury properties, specifically larger apartments, penthouses and luxury beachfront or golf course-view villas," Honey Deylami, associate director at Luxhabitat Sotheby's, said.
"I expect a strong market in 2022, especially in the luxury market segment, as we still see a strong demand in those areas and not enough supply.”
Dubai’s top five residential areas by sales volume
1. Palm Jumeirah – Dh3.47 billion
2. Downtown Dubai – Dh3.29bn
3. Business Bay – Dh2.57bn
4. Mohammed bin Rashid City – Dh1.75bn
5. Dubai Marina – Dh1.27bn
Source-/www.thenationalnews.com
A splendid view of Dubai Marina.
Inayat-ur-Rahman, Business Editor
A total of 1,724 real estate transactions worth Dhs4.9 billion were conducted during the week in Dubai, according to figures released by the Dubai Land Department.A total of 139 plots were sold for Dhs784.14 million in addition to 1,172 apartments and villas for Dhs2.73 billion.
The top three transactions were a land in Al Thanayah Fourth sold for Dhs 50 million, followed by a land that was sold for Dhs43 million in Hadaeq Sheikh Mohammed Bin Rashid, and a land sold for Dhs50 million in Al Thanayah Fourth in third place.
Al Hebiah Fifth recorded the most transactions for this week by 62 sales transactions worth Dhs134.73 million, followed by Al Hebiah Fourth with 21 sales transactions worth Dhs154.78 million, and Al Yufrah 2 with 15 sales transactions worth Dhs15 million in third place.
The top three transfers for apartments and villas were an apartment was sold for Dhs383 million in Marsa Dubai; the second was sold for Dhs270 million in Business Bay, and the third apartment was purchased at Dhs 252 million in Business Bay.
Mortgaged properties for the week amounted to Dhs1.25 billion, with the highest being a land in Al Muteena, mortgaged for Dhs113 million.
A total of 55 properties were granted between first-degree relatives worth Dhs196 million.
Meanwhile, real estate expert, Walid Al Zarooni stressed the fact that the security and stability standards forge the added value of the real estate sector in the United Arab Emirates, compared to other markets around the world.
Al Zarooni, W Capital Real Estate Brokerage chairman, said that the UAE gained superiority to all countries in the region by providing the advantage of security and political stability, which is a source of confidence and of great importance for capital inflow. That is added to the diversity of promising and fruitful sectors, especially real estate.
He pointed out that security and political stability is one of the most important factors affecting the future of real estate investments in the UAE where investors are attracted by many incentives. At the top of the list come security, safety and stability, thanks to the availability of security services of international standards. He noted that the UAE is home for more than 200 nationalities from different cultures and ethnicities.
Al Zarooni added that the UAE has succeeded in enhancing the security and safety measures in line with the best practices globally, which contributed to confirming its global position as a safe heaven for real estate investments regardless of the emergency circumstances such as covid-19. The UAE policies, rules and directives, the wise leadership support, vigilance and cooperation of the UAE people in various fields, and at all levels, resulted in making the UAE an oasis of security, safety and stability.
Walid Al Zarooni stressed that the UAE has already scored high ranks on the various peace and security indicators that track the most preferred countries to live happily and work. The UAE also ranks at the top of other indicators that track the economic, social, political and security standards in developed countries. Most international organizations and bodies acknowledge the UAE’s most secure and stable standards.
According to the “Gallup Index” for the year 2021, the UAE has retained its regional lead for the third year in a row, while it has jumped to second place globally, which reflects the steady success achieved from year to year in enforcing pillars of security, order and enhancing the rules and law for all its residents.
This comes after the UAE was ranked first in the Middle East and North Africa, and third globally for the second time in a row, namely, 2019 and 2020 edition of the same index. In 2021, the UAE scored 93 out of 100 points, compared to 92 in the previous year.
In the residents’ feeling of safety when roaming category, the UAE continue the success story in the index, winning the first place globally where 95% of the UAE population expressed their feeling of safety when they roam streets alone. This make the UAE a global lead. Norway came second with 93%, whereas China came third with 91%.
Abu Dhabi ranked first in the Arab world and the Middle East, on the list of the most livable cities. That was set by the annual ranking for 2021, issued by “Economist Intelligence” index run by “The Economist”, the famous British magazine .
The Chairman of “W Capital Real Estate Brokerage” indicated that the Dubai real estate sector is one of the most important markets in the world to invest in, thanks to the nature of this type of investment related to security and economic stability. He added that the real estate sector in Dubai proved to be vital and robust during the Covid-19 crisis. The real estate transactions in the emirate still show figures that reflect the fast pace of work in the sector that never slow down.
Al Zarooni called on the real estate investors to keep alert so as not gamble with markets outside the country where measure of safety and political stability are poor. He warned against buying real estate in countries that are politically and security unstable because at that time they put their investments to risk.
Source-/www.gulftoday.ae/
Dubai’s prime residential property prices jumped 17.4 per cent in 2021, the third-highest among the world’s top cities, but they’re still undervalued when compared to the city’s global counterparts.
Savills data showed prime property prices in Dubai average $630 per square foot as on December 2021, much lower than Hong Kong ($4,530), New York ($2,580), Geneva ($2,250), Tokyo ($2,220), Shanghai ($2,200), London ($2,090), Sydney ($1,990), Seoul ($1,910), and Seoul ($1,910).
2022 yet another good year
Analysts see this upward trend in prime residential units continuing in 2022.
Savills analysts expect prime residential property capital value in Dubai will see another four to six per cent increase in 2022.
Honey Deylami, associate director of Luxhabitat Sotheby’s International Realty, expects 2022 to be the best year yet for Dubai’s luxury property market.
“I believe that we are still short in stock of premium and luxury properties, specifically larger apartments, penthouses and luxury beachfront or golf course view villas. I expect a strong market in 2022 especially in the luxury market segment as we still see strong demand in those areas and not enough supply,” said Deylami.
According to Luxhabitat Sotheby’s International Realty, Dubai’s prime residential market received a 5.27 per cent surge in volume in Q4 2021 at Dh17.07 billion. The residential market also saw an increase in prices by 41 per cent, with an average price of prime property at Dh4.6 million. Over 5,200 apartments and 552 villas were transacted in Q4 2021 in the Dubai prime residential market, said Luxhabitat.
The top three areas in terms of sales volume were Palm Jumeirah, Downtown Dubai and Business Bay. In the prime residential market, the Al Barari area showed the highest growth of sales owing to new launches, followed by Jumeirah and Arabian Ranches 1.
Dubai rentals see the biggest jump
According to Savills report, high-end areas in Dubai saw rental growth of 25 per cent last year, the highest among 30 cities listed in the index, fuelled by national government measures and the return of professionals to the city.
Paul Tostevin, head of Savills World Research, said Dubai, Miami and Lisbon have benefitted from the flexibility of remote working, the desire for more space and the influx of expatriate professionals.
The other cities that witnessed a massive increase in prime residential properties are Miami, Moscow, London, Singapore, Berlin, Hangzhou, New York, Seoul and Guangzhou.
Source-/www.khaleejtimes.com
An aerial view of the Sheikh Zayed Road. The 2022 projections of the Emirates NBD are in line with the overall growth rate of the UAE economy projected for 2022 by the Central Bank. The apex bank expects the economy to expand by 4.2 per cent in 2022. — Reuters file photo
Dubai economy will continue to expand at a good pace this year, backed by the strong recovery in key sectors and successful Expo 2020.
The emirate’s economy could expand by 4.5 per cent this year as almost all the major industries are seeing an upward growth trajectory this year including hospitality, food and beverages, real estate, wholesale and retail, transport, manufacturing and financial services. The economy’s growth phase started in the second quarter of last year after a tough 2020. But the growth is expected to moderate this year.
Preliminary data from the Dubai Statistics Centre showed economy growing 6.3 per cent year-on-year in the first nine months of 2021, underpinned by a strong rebound in hospitality, trade and real estate sectors. After contracting by 3.7 per cent in the first quarter, the economy expanded 17.8 per cent and 6.3 per cent in the second and third quarters of 2021, respectively.
“We had pencilled in growth of four per cent for Dubai in 2021 but the data through September, and expected growth in fourth quarter of 2021, suggest that there is significant upside risk to this forecast. We now estimate Dubai’s economy grew around 5.5 per cent for the full year 2021. With headwinds to growth in 2022 including slower global growth, higher interest rates and a stronger dollar, we expect growth to slow in 2022 to four per cent to 4.5 per cent,” Khatija Haque, head of research and chief economist at Emirates NBD Research.
The 2022 projections of the Emirates NBD are in line with the overall growth rate of the UAE economy projected for 2022 by the Central Bank. The apex bank expects the economy to expand by 4.2 per cent in 2022.
“While growth is likely to slow somewhat in 2022, Dubai’s economy will continue to recover from the pandemic-related contraction in 2020,” said Haque.
Dubai GDP contracted -10.9 per cent over the course of 2020 but the economy and good progress with the recovery. But it was still not back to pre-pandemic levels of real output by the end of Q3 2021, Emirates NBD said.
In the first nine months of 2021, real estate services saw strong growth of 23.3 per cent during the first 9 months of 2021, more than making up for the contraction in the sector in 2020. “Low interest rates, demand for larger units and increased foreign demand for homes in Dubai supported the recovery in the real estate market last year,” added Haque.
While the wholesale and retail trade sector also benefitted from the normalization of economic activity and the recovery in consumer demand last year.
Among the other sectors, transport and storage, manufacturing, financial services and the arts and entertainments sectors also posted positive GDP growth last year.
However, some sectors contracted in the first nine months of 2021 relative to the same period in 2020. Oil and gas GDP declined more than -8 per cent year-on-year, information and communication contracted -1.9 per cent and the government services sector declined -2.4 per cent. Construction GDP shrank -0.7 per cent.
Source-/www.khaleejtimes.com
The population of Dubai is projected to nearly double in the next 20 years, according to experts who predict a fresh wave of post-pandemic immigration.
Experts anticipate the growth will drive the need for new schools and hundreds of thousands of new homes, with some new arrivals expected to be from Russia and Sub-Saharan Africa.
Dubai Statistics Centre’s population counter, which records growth using residency visa data, stood at 3.48m this week – and looks set to hit 3.5 million within weeks or months.
I’m predicting the population of Dubai is to double again in the coming 10 years
Prof Philippe Fargues, European University Institute
The GCC recorded a four per cent fall in population over 2020, due to the Covid-19 outbreak, with Dubai experiencing the largest decrease at 8.4 per cent. But the city appears to have already bounced back from that. Today, the population is nearly 100,000 higher than in January 2020.
In anticipation of the growing population, Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, last year, unveiled the 2040 Urban Master Plan. It aims to transform the emirate, making it more sustainable and interconnected to cater to an expected population of 5.8m.
The National spoke to several leading population growth experts and compared Dubai government statistics with the emirate's exponential development
The discovery of oil kick-starts development in Dubai and the UAE
In 1950, the population of what is now the UAE was just 70,000, less than a fifth of what it had been at the beginning of the 19th century. The pearl industry’s collapse had caused the population to dwindle.
However, the discovery of oil from the late 1950s onwards heralded the start of what would become development on a vast scale.
“Lots of economic and institutional development took place in the late 50s and early 60s ... That increased the population from a very low population,” says Dr Aqil Kazim, an assistant professor at UAE University in Al Ain.
“The more development that took place in the UAE, that led to an increase in the population because of the demand on labour to work in different sectors that are developing.”
By 1970, the UAE’s population was up to 226,000 and just five years later had more than doubled to 560,000. Fast forward another five years and, with soaring oil prices fuelling the development of infrastructure and the need for foreign labour and expertise, it was above one million.
Economic diversification continues growth
The 1980s saw one million added to the UAE’s population tally, with initiatives such as the building of Jebel Ali Port, launched in 1979, furthering economic growth and diversification. Another one million increase was recorded during the 1990s, bringing the population up to 2.9 million in 2000. Younger male workers came – principally from across Asia – skewing the population towards foreign men.
“Later on, oil was not a factor for population increase,” says Dr Kazim. “Dubai became a re-export centre in the region, from Central Asia, Africa, the Middle East, all of these regions became dependent on Dubai re-exporting products. Most of the companies in the world started to base themselves in Dubai.”
The first decade of the new millennium saw development and population growth at a lightning pace as the economy grew, with the UAE’s population reaching 4.1 million in 2005, before doubling in five years to 8.25 million in 2010. By 2015, the country was home to 10.8m people.
“UAE real estate played a big role, services played a big role, Dubai airport, Sharjah airport, Abu Dhabi airport – these are all international airports, and Dubai port,” Dr Kazim says.
“Dubai started to sell land to foreigners, to expats, to everybody who wanted to buy from around the world. Dubai land became a global commodity for sale … Those who could afford to buy condominiums and houses and villas in Dubai, they became resident. They settled down. They love to live here.”
While the Emirati population has continued to grow – with birth rates well above replacement levels – it has expanded much more slowly than the number of foreign workers and now makes up about 11 per cent of the total population.
What the future holds UN forecasts suggest the UAE population will continue to grow. Now around 9.4m, the country’s population is predicted to be around 11.1m in 2030, 13.2m in 2050 and 14.8m in 2100.
While still a high level of growth, in percentage terms these forecasts represent a significant decrease on what has been seen until now.
“Up to 2014, every decade brought a doubling, roughly speaking, of the population in Dubai. I don’t think this doubling is going to last,” says Dr Frederic Schneider, a senior research associate at the University of Cambridge’s Judge Business School, who will soon take up a post at the University of Birmingham Dubai.
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Dubai developed according to an American model with spread-out districts and heavy reliance on cars. Despite investment in public transport, including the Metro, the large distances involved in travelling within the city may limit continued growth, suggests Dr Schneider.
The UAE has, he says, made “massive efforts” to attract talented, high-productivity workers as the authorities look to shift the economic focus away from low-productivity migrant labour to other fields that generate more economic activity per capita.
“There’s this push for high-value expats, so you have the golden visa and citizenship programmes,” says Dr Schneider.
While Dubai and the UAE are looking for continued growth, so are neighbours – notably Saudi Arabia and Qatar – so competition to attract the brightest and best foreign workers may intensify.
“People will have a choice where they want to go if they want to go to the Gulf,” says Dr Schneider.
Indeed, not every observer is convinced that population growth will continue at all. Prof Philippe Fargues, director of the migration policy centre at the European University Institute, and co-editor of the book Migration from North Africa and the Middle East, says the population of non-Emiratis could even decline amid Emiratisation efforts.
“That is a scenario that should be considered,” he says. “Dubai has been an extremely fast-growing city, but we don’t know if that will continue.”
There is a wide range of views among experts on how the population will change. The growth of Dubai as a retirement centre, and the need for workers to cater to the requirements of retirees, is one factor causing Dr Kazim to expect continued population growth.
“I’m predicting the population of Dubai is to double again in the coming 10 years,” he counters.
Where will foreign workers come from in future and what will they do?
As Prof Fargues puts it, “migrants move along roads that are charted by former migrants”, so he does not expect major changes in the composition of the UAE’s foreign worker population.
“It’s very much a matter of networks,” he says. “So, the main origins may not change very much.”
This means that many residents of the UAE are likely to continue to come from South Asia. Sub-Saharan Africa, while set for huge population growth of its own, is not expected by Prof Fargues to be a major source of emigration to the Gulf.
Dr Schneider suggests that Russians may be attracted to the Gulf, especially if President Vladimir Putin’s grip on power loosens and wealthy citizens “are in need of a safe haven”.
There is also a large “potential influx to the Gulf” of Iranians, although this depends upon how bilateral ties develop.
=“Most professions are already represented, from unskilled labour to engineers and medical doctors,” says Dr Schneider. “Certainly, there is a shift in composition in many professions. For example, we’ve seen a certain shift away from fellow Arab citizens (Egyptian, Palestinian) in the K-12 education sector.”
The four key non-oil sectors – logistics, finance, tourism and construction – will all remain important employers, but Dr Schneider predicts a fall in the number of unskilled migrant workers from South Asia as that sector cools. They may be compensated for by an increase in the number of unskilled service industry workers, such as delivery drivers.
“We can expect education to increase,” says Prof Fargues. “And the labour market that is linked to rising levels of education – universities, high schools … That will continue to increase.”
Source - www.thenationalnews.com
The outlook for the Dubai property sector is more promising this year as there is a strong interest from key markets across Asia, Europe and the Middle East, said Khalifa Al Suwaidi, CEO and board member, Emirates Real Estate Solutions, Dubai Land Department.
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According to the annual transaction report issued recently by the Dubai Land Department (DLD), Dubai's real estate market recorded 84,772 transactions worth Dh300 billion in 2021.
“2021 has been a very successful year for the real estate sector. Some of the key factors were the world-class infrastructure that Dubai offers as well as the local healthcare sector that didn’t stop innovating in 2020 and 2021. With Expo 2020, we have seen a lot of investors from other countries coming to Dubai. During the pandemic, we saw some challenges but overcame them with the help of infrastructure and new technologies by providing the right solutions to the community,” he added.
Al Suwaidi was speaking on the sidelines of a panel discussion titled “Government Transformed” organised by Khaleej Times and Oracle on Tuesday. The roundtable discussion was attended by senior government officials from the Department of Finance, Dubai Health Authority, Roads and Transport Authority, Dubai Municipality and others.
New services on the cards
Al Suwaidi pointed out that Dubai Land Departments continues to enhance its mobile app DubaiRest.
“We are in the process of enhancing the experience of people to find the right property inside Dubai by tying up with partners to provide the right information and data for property buyers. We’ll allow portals to list right information regarding properties in Dubai sourced directly from the Land Department,” he said.
He further revealed that the property portal will be able to provide authentic real information directly sourced from DLD so that end-users can browse existing properties for sale or lease with the right number and information. “When people see a property listed for sale or lease and contact the agent, they discover that this property has already been sold or leased. That’s why we are trying to empower partners to provide authentic and real-time information.”
Al Suwaidi noted that this will increase transparency and help investors make the right decision when buying the property.
“DLD thinks of real estate community as a whole as we want to provide all private sector partners access to certain information to help grow their business and grow Dubai. We have started providing information to many partners directly from our database to offer better solutions to end-users.”
Source- www.khaleejtimes.com
Dubai has managed to secure first place on the list of most popular destinations in the world for 2022, according to TripAdvisor’s “Travelers’ Choice Awards for 2022.”
“To rank as the world's best means a destination has obtained stellar traveller reviews across all of its tourism sectors,” CNN reported, citing Justin Reid, director of media, destinations and travel at TripAdvisor.
The city attracted global visitors over the last year in spite of the consequences of the pandemic.
In 2022, rules of entry to the UAE are somewhat complicated and usually depend on the country you’re coming from.
Aside from some African countries, the UAE has opened applications for tourist visas for vaccinated travellers globally.
Other Middle Eastern cities such as Hurghada, Egypt also made it to the leading travel platform’s list of most popular destinations for 2022.
Source-www.arabnews.com
Dubai's real estate market continues to serve as a key driver for the growth of various sectors and economic activities in the emirate, with the sector recording 84,772 transactions representing a value of AED300 billion in 2021, according to the annual transaction report issued by the Dubai Land Department (DLD). Guided by the leadership’s directives and strengthened by the government’s economic stimulus packages and the emirate’s hosting of Expo 2020 Dubai, the sector was able to achieve a high volume of transactions last year. Additionally, the strong fundamentals and attractiveness of Dubai’s real estate market and flexible and transparent procedures continued to draw investors from around the world.
The report revealed a 65% growth in the number of transactions and a 71% increase in value compared to 2020. A total of 52,415 investors concluded 72,207 new investments in 2021 worth AED148 billion representing a 73.7% growth in the number of investments, a 65.6% rise in the number of investors, and a 100% increase in the value of investments compared to 2020. Reflecting the sector’s ability to achieve progress despite the current exceptional circumstances, the results further reinforce its leading regional and global position.
Commenting on the results, His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, the Crown Prince of Dubai, said: “The directives of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, to make Dubai the world’s best city to live and work has served as a key driver in increasing its attractiveness as a global investment destination.
“Dubai’s robust infrastructure, flexible legislations that have kept pace with evolving market conditions, and its safe environment have all contributed to deepening investment confidence in its real estate sector. The rise in investments and the increasing interest shown by global investors in Dubai is testament to the effectiveness of the emirate’s strategic economic initiatives that have sought to strengthen its leadership in various sectors and enhance its global rankings in development indicators. Dubai has a clear vision for the future, and its partnership with the global investment community continues to be vital to its ability to accelerate growth and meet its ambitious goals for the future,” His Highness said.
HE Sultan Butti bin Mejren, Director-General of DLD, said: “Dubai's real estate sector has once again proven its resilience, attractiveness and ability to achieve sustainable growth even during the exceptional circumstances being witnessed globally. The results highlighted in the report bode well for the future as the country ushers in another 50 years of economic development. The real estate sector represents a major catalyst for the growth of various other sectors.
Bin Mejren added that the directives of His Highness Sheikh Mohammed bin Rashid Al Maktoum and the follow up of His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum have contributed to strengthening the capabilities of Dubai’s real estate sector and establishing it as the preferred destination for investors both regionally and globally and among the world’s the best cities to live and work.
“We are committed to continue working to achieve our strategic objectives in 2022 to becoming regional and global leaders in the real estate market as well as providing exceptional integrated services to all customers in the sector. We will also continue to develop legislations that will help regulate, encourage and manage investments in the real estate sector, in addition to enhancing knowledge of the real estate culture in the emirate.
Distribution of new investments
The report revealed that there were 6,897 investors from the GCC that registered 8,826 investments worth over AED16.88 billion.
A total of 6,097 Arab investors recorded 7,538 investments, with a value exceeding AED12.4 billion. Dubai’s real estate sector also attracted 38,318 foreign investors, who concluded 51,553 new investments worth over AED99 billion.
DLD's statistics also revealed that 17,705 women registered 22,165 investments worth over AED38.4 billion in 2021, a 72% increase compared to 2020. The results indicate that businesswomen have great confidence in Dubai's real estate market.
Top areas
The Dubai Marina area saw the highest number of transactions, with 7,968 transactions, followed by Business Bay (5,687), Al Thanyah Fifth (5,092), Al Barsha South Fourth (4,813), Hadaeq Sheikh Mohammed bin Rashid (4,352), Burj Khalifa (4,279), Wadi Al Safa 5 (3,536), Al Hebiah Fourth (3,261), Al Merkadh (3,150), and Palm Jumeirah (2,803).
Dubai Marina also saw the highest value of transactions with over AED28.6 billion, followed by Palm Jumeirah (AED26.6 billion), Hadaeq Sheikh Mohammed bin Rashid (AED15.8 billion), Burj Khalifa (AED14.2 billion), Business Bay (AED13.19 billion), Al Thanyah Fifth (AED8.19 billion). Wadi Al Safa 5 (AED8 billion), Al Yufrah 1 (AED7.3 billion), Al Thanyah Fourth (AED7.2 billion), and Al Hebiah Fourth (AED7.19 billion).
The highest number of real estate mortgages were also recorded in the Dubai Marina area (1,440), followed by Hadaeq Sheikh Mohammed bin Rashid (1,046), Al Thanyah Fifth (1,015), Burj Khalifa (922), Al Barsha South Fourth (875), Nad Al Sheba 3 (864), Al Yelayiss 2 (717), Al Thanyah Fourth (675), Me’aisem First (655), and Palm Jumeirah (618).
Palm Jumeirah and Dubai Marina topped the list of areas in terms of the value of mortgages with over AED10.39 billion and AED10 billion respectively, followed by Al Yufrah 1 (AED 6.49 billion), Warsan 2 (AED4.7 billion), Business Bay (AED4.55 billion), Al Barsha South Fourth (AED3.4 billion), Burj Khalifa (AED3.4 billion), Al Wasl (AED3 billion), Al Thanyah Fifth (AED2.9 billion), and Al Thanyah Fourth (AED2.6 billion). The mortgage data reflects the confidence of Dubai’s national and foreign banking sector in the emirate's real estate market, which contributes to the availability of liquidity and cash flows as well as financing solutions offered by banks to encourage investment in Dubai's real estate sector.
Real estate brokers
The report also revealed that 3,171 new brokers entered the market, increasing the total number of registered real estate brokers to 8,002. According to the report, 2,715 brokers in Dubai's real estate market are women. A total of 1,421 brokerage offices were registered in the emirate.
The value of real estate brokers' commissions in Dubai's real estate market in 2021 exceeded AED3 billion through 12,067 transactions. Ten new real estate valuators entered the market, increasing the total to 71 valuators registered with DLD, and two new valuation offices entered the market, increasing the total to 38.
Completed projects
A total of 35 real estate projects with a value exceeding AED11 billion were completed in 2021 and 319 projects are in progress. Additionally, 602,714 Ejari contracts were registered in 2021, of which 315,222 were new contracts. A total of 6,168 real estate permits were also issued last year.
Furthermore, 49,790 real estate units were registered in 2021. A total of 41,020 units were sold, with a value exceeding AED68.5 billion, while 8,030 villas worth over AED18.2 billion were sold.
Three new real estate service trustee offices were registered in 2021, bringing the total number to 13, while the total number of real estate registration trustee offices remained at 13.
Real estate licenses
In 2021, DLD issued 4,230 real estate licenses. They were distributed by activity as follows: brokerage in the sale and purchase of properties (1,229), follow-up services (1,173), brokerage in rental properties (890), administrative supervision services for properties (262), purchase and sale of land and properties (159), private real estate rental and management services (128), real estate development (107), commercial complex (91), administrative supervision services for jointly owned property management companies (70), real estate mortgage broker (42) licenses, and shopping centres and malls (33).
The remainder of the licenses were granted for other commercial activities, such as real estate rental and management services for third parties, real estate valuation services, real estate representation office, and real estate survey services, among others.
Source- mediaoffice.ae
A general view of the downtown Dubai.
The value of real estate transactions in Dubai on the first working Friday following the adoption of the new weekly work system in the country exceeded Dhs2.53 billion, with 227 real estate transactions. The total value of real estate transactions recorded in the first week of the new year exceeded Dhs7.24 billion, with 1,766 transactions.
Data from Dubai Land Department (DLD) showed that the first working Friday witnessed 173 sales transactions worth Dhs2.38 billion, 12 of which were plots of land worth Dhs451.16 million and 161 were apartments and villas worth Dhs1.93 billion.
The top three areas that saw the highest value of land sales transactions on Friday were Marsa Dubai, which saw land sales worth Dhs369 million, followed by Al Thanya Fifth, where a plot of land was sold for Dhs28 million and Palm Jumeirah where a plot of land was sold for Dhs17 million.
Jebel Ali First recorded the highest number of transactions on Friday with three sales transactions worth Dhs6 million, followed by Palm Jumeirah with an Dhs17 million sales transaction, and Warsan First with an Dhs4 million sales transaction.
The three highest valued sales transactions featuring transfers of apartments and villas included an Dhs500 million sales transaction in Palm Jumeirah, followed by an AED495 million sales transaction in Marsa Dubai, and an Dhs402 million sales transaction in Marsa Dubai.
Jebel Ali First recorded the most villa and apartment sales transactions on Friday with 23 sales transactions worth Dhs18 million; followed by Business Bay with 21 sales transaction worth AED25 million; and Al Barsha South Fourth with 13 sales transaction worth Dhs16 million.
The total value of mortgage transactions concluded on Friday was Dhs125.03 million, which included nine mortgage transactions for land worth Dhs47.88 and 40 mortgage transactions for villas and apartments worth Dhs77.15. The biggest mortgage transaction was registered in Al Thanyah Fourth featuring a value of Dhs37 million followed by a mortgage transaction in Nad Al Sheba Third worth Dhs11 million.
Five properties worth a total of Dhs19.16 million were granted to first-degree relatives. Among these, the highest value of Dhs12 million was registered in Al Merkadh followed by Dhs3 million worth of property in Jebel Ali First.
Source- /www.gulftoday.ae
Firas Al Msaddi, CEO of FAM Properties, said newly-handed over projects, particularly beachfront villas and apartments, will get a lot of attention in terms of rentals and prices.
“Waterfront villas, town houses and apartments demand will remain very strong and rents would increase due to the lack of supply. In addition, some ultra-luxury properties on Bvlgari Resort & Residence and the Palm will be handed over during 2022, which would also get lots of attention. We will continue to witness some slight increase on rent for apartments during 2022, with holiday homes trend getting stronger in Dubai,” he said.
According to real estate consultancy Asteco, apartment and villa rental rates continued to record a notable upward trajectory in third-quarter 2021, with quarterly increases of 3 per cent and 6 per cent, respectively.
Annual rental growth in the villa market was particularly significant with 19 per cent, whilst average apartment rental rates rose marginally by 3 per cent.
Ayman Youssef, vice-president, Coldwell Banker UAE, said: “We anticipate a moderate rise in the overall market in 2022, especially in prime apartment buildings providing high-quality units, modern amenities and services.
"The rents for villas and gated communities will continue to rise steadily. But apartment buildings that are not in communities, particularly the older properties situated in old Dubai may not do as well and may see a rent drop in the new year."
He added that apartments and newer buildings in Downtown, Creek Harbour and quality buildings in Dubai Marina will witness a quick rise in rentals.
“The last quarter of 2021 saw a rise in the rents of villas and gated communities and we are anticipating a steady rise in 2022 too especially in areas such as Dubai Hills, Emirates Living and Reem Community. Apartments in old Dubai may witness a further fall in rents,” he added.
“As things ease down and life begins to get back to normal, we see a reverse shift back from urban to city centre areas such as downtown which is hustling with various activities, nightlife and shopping,” he added.
Source- www.khaleejtimes.com
