Dubai’s real estate market is set for a remarkable expansion, with over 30,000 new residential units expected to be delivered in the second half (H2) of 2024, according to a report by W Capital, a prominent real estate brokerage firm in the emirate.
The report highlights that the total number of new units to be handed over in 2024 is projected to reach approximately 48,000, representing a substantial increase from the over 17,000 units delivered in the first half (H1) of 2024. This aligns with the expected surge in new deliveries, indicating a robust growth trajectory for the market.
Ongoing market imbalance and projections
Despite the surge in new units, the market remains imbalanced, with demand outpacing supply. However, W Capital’s report suggests that this imbalance may be corrected in the coming years, with hand-offs potentially exceeding 65,000 units next year and reaching 70,000 units by 2026.
Resilience and growth
Walid Al Zarooni, CEO of W Capital, expressed optimism, stating, “The Dubai market proved solidarity again during 2024 through record sales numbers and new deliveries that met expectations in the first half of the year.” He further noted, “The market has reached a state of maturity that has contributed to supporting growth and breaking unprecedented limits.”
Drivers of continuous prosperity
Al Zarooni highlighted the continuous prosperity and growth of Dubai’s real estate sector, driven by strong investor confidence and the launch of large-scale projects by developers across the emirate. He also noted that off-plan properties, preferred by investors for their higher returns of up to 10 percent, are maintaining the momentum of the market.
Dubai’s allure as prime real estate destination
Dubai’s real estate boom is attracting foreigners who seek safe investments and residency options provided by the government. Al Zarooni emphasized the emirate’s appeal to new residents, investors, and individuals looking for luxurious properties, which offer higher rental returns compared to many global markets.
Sustained demand, future expectations
“The growth track of the Dubai real estate market during H1-24 is amazing, and we expect this performance to continue in the second half of the year,” Al Zarooni added, predicting sustained demand fueled by Dubai’s allure as a prime destination for high-end real estate.
The report underscores the significant maturity and resilience of Dubai’s real estate sector, setting the stage for continued growth and record-breaking achievements in the near future.
Residential price growth
Earlier in July, DHG Properties revealed that the growth rate of Dubai’s residential real estate prices rose from 20.30 percent in February 2024 to 20.70 percent in March, further highlighting the strength of the market.
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