Dubai property sales continue to surge in October

October witnessed another stellar month for Dubai’s booming real estate market. Latest data from Property Monitor show that property sale prices rose 1.77 per cent last month in the emirate.

The average property values in Dubai now stand at Dh1,065 per sq ft according to the Property Monitor Dynamic Price Index (DPI), “a level not seen since the time of the last market upswing in November 2013 and then re-visited later in March 2018,” Property Monitor’s Monthly Market Report stated on Friday.

“The current market problems in North America, China and Europe and currently not affecting the Gulf where demand remains robust despite the rising interest rates as a consequence of the dollar-dirham peg,” the report stated.

The volume of sales transactions remains at par with last month, declining a 0.7 per cent to 8,626 registrations. Residential transactions — those for apartments, townhouses, and villas — accounted for 92 per cent (7,935 sales transactions) of the total, with hotel apartments (3.4 per cent ), office (1.9 per cent ), and land sales (1.7 per cent) being the highest transacted commercial property types.

Year-to-date, there have been 77,238 transactions registered (89.2 per cent of which were residential) equal to 126 per cent of the entire annual transaction volume of 2021. At the current annualised pace, Property Montior predicts that sales volumes will reach just over 92,000 and record the second highest year in Dubai market history.

The volume of resales transactions also witnessed a significant increase. They stood at 3,467 in October, representing a market share of 40.2 per cent , jumping 4.2 per cent month-on-month. “This jump in resale activity can be likely attributed to an increase in secondary sales of offplan properties where the initial buyers, in most cases, are cashing out with a premium in hand,” the report said.