Dubai’s real estate sector has maintained its upward trajectory with consistent growth across all sectors in 2024. The overall increase in sales and rental prices has highlighted a strong real estate demand in the emirate, as well as hinting at investor’s growing confidence in its thriving property market. With its strategic urban planning, investor-oriented policies and tax-free framework, Dubai further strengthens its appeal as a prominent investment destination.
According to dubizzle’s 2024 search trends, Dubai Marina stood out as the preferred choice for buying and renting luxury apartments. Downtown Dubai and Palm Jumeirah have also solidified their positions among the top three leading areas for buying luxury apartments in Dubai for 2024. The increase in their appeal has been attributed to their proximity to prominent landmarks and attractions.
“Dubai’s real estate market has truly outdone itself, hitting new heights in 2024, with over AED500 billion ($136.13 billion) in business between November 2023 and November 2024. Considering the robust economic progress of Dubai and the announcement of major infrastructure projects like the Dubai Metro Blue Line and Al Maktoum Airport, this momentum is unlikely to slow down any time soon,” stated CEO of dubizzle and Dubizzle Group MENA, Haider Ali Khan.
Trends shaping luxury property buying in Dubai
Dubai Marina has claimed the number one position for luxury apartments in Dubai’s real estate sector with an average sales price of AED2.55 million and a return on investment (ROI) of 28 percent. Downtown Dubai has secured the second spot, with an average sales price of AED3.83 million. Price per square foot has increased by 15.03 percent in Dubai Marina and 10.95 percent in Downtown Dubai.
Meanwhile, Palm Jumeirah, offering an average sales price of AED6.29 million and Dubai Creek Harbour, at AED2.72 million, have established themselves as leading choices for luxury apartment buyers. Palm Jumeirah has recorded an ROI of 44 percent, whereas Dubai Creek Harbour has registered an ROI of 6.36 percent. Luxury apartment seekers have also shown strong interest in Jumeirah Beach Residence (JBR). The sales price of apartments in this area averaged AED3.31 million in 2024.
Dubai’s real estate sector also witnessed a shift in preferences among investors seeking luxury villas. Communities such as Dubai Hills Estate, Palm Jumeirah and DAMAC Hills secure the top three spots for buying villas in 2024. Dubai Hills Estate offered luxury villas with an average price of AED16.07 million and has achieved an ROI of 62 percent. The price per square foot has increased by 14.83 percent, standing at AED2,435 in 2024.
Meanwhile, Palm Jumeirah has reported a notable rise of 23 percent in per-square-foot price, which has reached AED5,392. Meanwhile, DAMAC Hills and Mohammed Bin Rashid City have experienced a 16.54 percent and 19.44 percent increase in their per-square-foot villa price. Luxury villa seekers have also preferred Jumeirah Park, where the per-square-foot price has risen by 97 percent. Villas in this area have had an average sale price of AED8.72 million.
Prices of mid-tier apartments and villas surge
In 2024, Jumeirah Village Circle (JVC), Business Bay and Jumeirah Lake Towers (JLT) attained the top positions as the premier locations for buying mid-tier apartments in Dubai’s real estate sector.
JVC attained the leading rank, delivering an ROI of 55 percent and an average sales price of AED1.12 million. The per-square-foot price in the area has grown by 19.95 percent, reaching AED1,330 in 2024.
Business Bay also saw a 37 percent surge in per-square-foot price, resulting in an average sales price of AED2.12 million. Similarly, the average sales price in JLT has climbed up to AED1.83 million.
Mid-tier apartment seekers also showed interest in Al Furjan and Jumeirah Village Triangle (JVT), where the per-square-foot price has increased by 51 percent and 14.16 percent, respectively. Al Furjan has also emerged as the leader in mid-tier apartment ROI, recording an 8.37 percent return in 2024.
As for investors seeking mid-tier villas, Al Furjan emerged as a popular choice, recording an average sales price of AED4.86 million and delivering an impressive ROI of 89 percent. The sales prices for 3, 4 and 5-bedroom villas in Al Furjan have increased by 21.61 percent, 25.68 percent and 38.07 percent, respectively.
Trends shaping affordable property market
Key areas including Dubai Silicon Oasis (DSO), International City and Dubai Sports City, have continued to shape Dubai’s real estate sector, rising to the top as the leading destinations for affordable apartments in 2024.
Apartments in DSO recorded an average sales price of AED805,000, offering an impressive ROI of 33 percent. Studio, 1-bedroom and 2-bedroom unit prices in DSO have increased by 30 percent, 26.15 percent and 35.76 percent, respectively. International City has also seen an 81 percent rise in per-square-foot price, driving the average sales price to AED481,000. Meanwhile, the sale price in Dubai Sports City has averaged AED901,000.
For affordable villas, investors were most interested in DAMAC Hills 2 (Akoya by DAMAC), Dubailand and Dubai South. DAMAC Hills 2 offered affordable villas with an average price of AED1.93 million and delivered a solid ROI of 20 percent in 2024. The price per square foot rose by 14.97 percent, reaching AED836 in 2024.
Dubailand, with an average sales price of AED3.66 million and Dubai South, at AED4.13 million, have also emerged as top choices for affordable villa buyers. The price per square foot in Dubailand and Dubai South has advanced by 38 percent and 25.2 percent, respectively.
Meanwhile, Dubai Investment Park saw a 37 percent increase in per-square-foot price, driving the average sales price to AED1.47 million. Similarly, the sales price in International City has risen, amounting to AED1.67 million in 2024.
Read: Who is Hussain Sajwani, the billionaire founder of DAMAC group?
Most popular areas for rent in Dubai
Rent prices across Dubai’s real estate sector also continued to rise in 2024. Tenants seeking luxury apartments for rent preferred areas like Dubai Marina, Downtown Dubai and Dubai Creek Harbour. For mid-tier apartment rentals, Jumeirah Village Circle (JVC), Business Bay and Jumeirah Lake Towers (JLT) emerged as popular destinations. Deira, International City and Al Nahda have also become the most popular areas for renting affordable apartments.
Meanwhile, tenants looking for luxury villas mostly gravitated towards Al Barsha, Jumeirah and Dubai Hills Estate in 2024, as these areas have a reputation for consistently securing top ranks among the most popular options. Jumeirah Village Circle (JVC), Town Square and Reem ranked as the leading areas for mid-tier villa rentals. Meanwhile, DAMAC Hills 2 (Akoya by DAMAC), Mirdif and Dubai South were recognized as the leading options for tenants looking for affordable villas in Dubai.
