- Palm Jumeirah, the most popular areas in Downtown Dubai according to square footage price increase
- Property prices in Dubai continue to rise at a healthy pace as the Palm Jumeirah remains the most popular area for villa buyers and Downtown Dubai emerges as the most desirable location for apartments.
- The villa sector dominates the market, with key locations producing high figures. Some apartment communities are also seeing substantial growth.
- The average price per square foot increased in top apartment locations including Downtown Dubai, JBR, Palm Jumeirah, Dubai Hills Estate, Business Bay, MBR City, Dubai Marina, JLT, JVT and JVC.
- Villa communities that have seen an increase in price per square foot are Palm Jumeirah, MBR City, Dubai Hills Estate, Emirates Living, Arabian Ranches, Arabian Ranches 2, Mudon, JVT and The Villa.
- Visa reforms, high liquidity, low rates and open-arms approach lure overseas property buyers
Dubai: Residential property prices in Dubai have continued to rise at a healthy pace, with the sector registering an annual average increase of around 11.5% in the first quarter of this year due to growing investor demand strangers and end users, according to Zoom Property Insights.
Insights also noticed an increase of more than 8% year-on-year and a 0.3% increase month-on-month in house prices in April, as foreign buyers are confident in the emirate’s real estate sector following the successful conclusion of Expo 2020 in March. 31, 2022.
The villa sector maintained its dominance as several key areas including Arabian Ranches, Jumeirah Islands, The Lakes, JVC and Palm Jumeirah saw significant price increases during the first quarter.
Apartment locations have also noticed a similar trend, but overall price growth has yet to hit the double digit mark. Some prominent areas, including Palm Jumeirah, Downtown Dubai, JBR and The Views, remained in high demand.
“The Palm Jumeirah remained the most sought-after destination with a nearly 30% year-over-year price increase during the first quarter of 2022,” according to Zoom Property Insights.
Ata Shobeiry, CEO of Zoom Property, believes Dubai’s property market will continue its upward trajectory in 2022 and beyond due to its visa reforms and open arms approach to foreign investors.
“The steady monthly growth will accelerate as new developments are announced by top developers, designed to attract investors and end users. Government support for reformed visa policies will also facilitate the influx of investors and foreign buyers. This will ultimately have an impact not only on the property market but on the overall economy of the country.”
Rising demand and prices from communities in Dubai
At AED 1,630 per square foot, Downtown Dubai saw the highest price increase during the first quarter in the apartment sector. It was followed by JBR, Palm Jumeirah and Dubai Hills Estate, as properties here cost AED 1,450, 1,425 and 1,400 per square foot respectively.
Business Bay with AED 1,360 per square foot, MBR City with AED 1,300 and Dubai Marina with AED 1,290 per square foot are other popular communities that have seen an increase in apartment prices. The property price in the neighboring areas, JVC and JVT, is around AED 850 per square foot.
Among villa communities, the largest price increase in the first quarter of 2022 was recorded in Palm Jumeirah. Current average villa prices here stand at AED 3,020. MBR City, Dubai Hills Estate and Emirates living with AED 1,800, AED 1,380 and AED 1,270 respectively also saw a significant increase in average prices.
Apart from this, the premium villa communities, Arabian Ranches 1 with AED 1,160 per square foot and Arabian Ranches 2 with AED 1,015 per square foot, remained popular with buyers and investors. Villa prices per square foot at Mudon, JVT and The Villa have risen to AED 1,015, AED 950 and AED 910 respectively.
Shobeiry attributed the recovery in Dubai’s property market to high liquidity, low interest rates and migration to the UAE following the successful handling of the Covid-19 pandemic and the introduction of reforms visas and companies. “Since international borders opened after the pandemic, Dubai has seen more expats settling on its shores for reasons of safety, tax efficiency, quality of life and a favorable business environment. Dubai has opened its arms and welcomed people and businesses from all over the world due to its friendly environment and consistent policies,” he said.
About the Zoom property (www.zoomproperty.com)
Zoom Property is an emerging property portal in the United Arab Emirates, focusing primarily on the Dubai, Abu Dhabi and Sharjah markets. The portal also offers international properties in Saudi Arabia, UK and other regions on the platform to facilitate buyers and renters. It is also popular among developers, real estate brokers and property sellers.
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