Dubai average property prices to remain steady in 2024

The rally witnessed in the prices over the past few years seems to be stabilising now as prices have decelerated over the past few quarters

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by

Waheed Abbas

Published: Thu 11 Jan 2024, 5:17 PM

Last updated: Thu 11 Jan 2024, 5:26 PM

​Average property prices in Dubai will either remain steady or see smaller growth following three years of rally, industry executives said on Thursday.

However, the luxury segment is projected to see decent growth this year, but still slower than last year, on the back of demand from the high net worth individuals and shortage of supply in the market.

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“I don’t think prices will go up massively as they’re are in a decent place. I would like to see prices to be stable so that the market can digest the appreciation we have seen,” said Michael Lahyani, founder of Property Finder.

In terms of transactions, Lahyani sees 15-20 per cent growth this year, slower than last year.

The rally witnessed in the prices over the past few years seems to be stabilising now as prices have decelerated over the past few quarters.

“We don’t go with numbers that might be inflationary. Our expectation is volumes to grow 15-20 per cent and prices to remain where they are,” Property Finder chief said during a media briefing on Thursday.

“There will be a smaller increase in transactions as growth is decelerating. If we hover between 15-25 per cent growth that would be great,” he said.

Lahyani added that the luxury segment can continue to see a bit of growth in price in the double-digit range.

Ari Kesisoglu, president, Property Finder, sees transaction volumes to remain over the next 3-4 months to stay steady.

When it comes to pricing, Kesisoglu said location-based prices are super volatile.

“For example, if there is a location with 100 villas in total and there is only one seller. So the prices will massively go up. So average prices may not change but location will go up and down,” he added.

Turkish unit merged with Hepsiemlak

Dubai-based real estate portal Property Finder on Thursday announced to merge it Turkish subsidiary Zingat with Hepsiemlak, a Doğan Holding company in Türkiye.

The Dubai firm will become a minority stakeholder with 20 per cent stake in Hepsiemlak, and provide advisory services.

“The strategic partnership underscores our confidence in the Turkish market’s long term potential and aligns seamlessly with our vision of expanding our market share in the MENAT region. The merger is an opportunity to be positioned more strongly in the market, capture substantial growth and further ease millions of people’s lives with technology, which both Hepsiemlak and Zingat have a proven track record in,” said Michael Lahyani, founder and CEO of Property Finder.

Property Finder bought a minority stake in Zingat in 2017.

"We are proud to continue with our growth plans in Turkey, having first acquired all of Zingat in 2023 and now our partnership with Hepsiemlak, the leading player in our sector. Our global experience will contribute immensely to the growth and development of the sector, as well as the synergy that will be brought by the merger of two important technology pioneers in the real estate sector,” added Ari Kesisoglu, president, Property Finder.

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Waheed Abbas

Published: Thu 11 Jan 2024, 5:17 PM

Last updated: Thu 11 Jan 2024, 5:26 PM

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