• Home
• /
• Realty
• /
• Business

Dubai real estate sales tops Dh50 billion for the first time

Sales were driven primarily by the booming off-plan segment, which soared by 117%

Dubai’s residential real estate market has once again shattered records, with total sales crossing Dh50 billion for the first time,data showed on Thursday.

According to Engel & Völkers Middle East latest report, sales transactions surged to 19,605 — an 80 per cent increase year on year. Sales were driven primarily by the booming off-plan segment, which soared by 117 per cent year on year amid constrained supply in the secondary market, where sales rose by a robust 33 per cent.

“This remarkable performance showcases Dubai’s undeniable resilience and appeal as a premier global real estate market,” said Daniel Hadi, CEO of Engel & Völkers Middle East “The city continues to attract high-net-worth investors and global businesses seeking stability and growth opportunities.”

Despite the rapid growth in property values, with average prices increasing by 1.7 per cent, Dubai remains an attractive destination for investors, boasting a highly competitive average rental yield of 6.9 per cent. This strength comes amid a backdrop of global geopolitical challenges, further reinforcing Dubai’s status as a resilient and sought-after real estate hub.

Engel & Völkers highlighted Dubai’s real estate market as a beacon of luxury, innovation, and unparalleled living. In their latest report, they also listed Dubai’s top five most exclusive residential areas. These neighbourhoods are distinguished for their prestige, unique features, and high-end lifestyle offerings. From iconic waterfronts to serene suburban havens, Palm Jumeirah, Dubai Marina, Downtown Dubai, Dubai Hills Estate, and Emirates Living stand as the epitome of world-class residential living in the city.

1. Palm Jumeirah: The epitome of luxury living, Palm Jumeirah stands as the world’s largest man-made island, boasting exclusive villas, marinas, and high-end shopping. It frequently ranks first for property sales over Dh10 million, with beachfront villas averaging Dh37 million.

2. Dubai Marina: Known for its world-class dining and vibrant nightlife, Dubai Marina is a modern hub that attracts young professionals and families. The district’s iconic canal and premium waterfront properties make it a consistently popular choice among discerning buyers.

3. Downtown Dubai: Featuring the world-renowned Burj Khalifa, Dubai Mall, and Dubai Opera, Downtown Dubai offers unparalleled urban luxury. Its high-end apartments are sought after by affluent individuals looking for the pinnacle of city living.

4. Dubai Hills Estate: A harmonious blend of nature and luxury, Dubai Hills Estate is favoured by families and professionals who value a suburban atmosphere with ample green spaces. Its prestigious 18-hole golf course and expansive parks create a unique living environment.

5. Emirates Living: Home to communities such as The Springs, The Lakes, The Meadows, and the exclusive Emirates Hills, Emirates Living is ideal for families desiring peace and proximity to top-tier schools. Its serene lakes and lush green spaces offer an unmatched suburban experience.

While there was a slight dip in both residential sales and rental transaction volumes, Dubai’s commercial real estate sector proved its robust underlying demand. The total value of commercial sales reached a record Dh10.9 billion — the highest monthly total for 2024 and a 10 per cent increase from 2023. This growth was driven by rising transaction values and sustained interest in premium commercial spaces.

Notably, the office market experienced a 24 per cent year on year surge in sales, with the average office price climbing to Dh1,503 per sq. ft., marking a 37 per cent increase over the previous year. Office rental prices also saw significant growth, up 25.8 per cent year on year, while retail rents rose by 6.9 per cent compared to 2023.

As Dubai continues to experience robust economic expansion and an influx of businesses relocating or expanding within the city, Engel & Völkers Commercial anticipates a strong finish to 2024 and a promising outlook for 2025.