Property transaction value in Dubai for Q2 2024 hit AED123 billion ($33.48 billion), a 35.70 percent increase compared to Q2 2024, according to the Q2 2024 report by Dubai-based real estate brokerage firm Springfield Properties.
The total transaction volume also saw a substantial rise, with 48,220 transactions recorded, marking a 60.06 percent year-on-year growth. Notably, May 2024 was a standout month, with property values soaring to AED47.3 billion—a remarkable 39.12 percent increase from May 2023.
This quarter has seen unprecedented increases in property values and transaction volumes, reflecting heightened investor confidence and sustained demand.
Exceptional resilience and growth
Farooq Syed, CEO of Springfield Properties, said: “Dubai’s real estate market has demonstrated exceptional resilience and growth in the second quarter of 2024. Our data underscores the city’s strong investor confidence and its growing appeal as a global investment destination. The remarkable performance in May is a testament to Dubai’s robust market fundamentals and strategic urban development initiatives.”
Steady upward trend in transactional values
The transactional values comparison indicates a steady upward trend. In Q2 2023, the total transaction value was AED90 billion with 30,000 transactions. By Q1 2024, this had increased to AED110 billion with 40,000 transactions. The continued growth into Q2 2024, with a transaction value of AED123 billion and 48,220 transactions, highlights the robust health of Dubai’s real estate market.
Dynamics of the off-plan and ready property markets
In terms of market dynamics, the off-plan market showed strong performance, peaking at 10,836 units transacted in May 2024. This indicates a maintained upward momentum in off-plan transactions. Similarly, the ready property market saw steady growth, with 8,818 units transacted in May 2024, demonstrating continued investor interest and market confidence.
Drivers of growth
Dubai’s real estate market resilience and growth are driven by strategic investments, regulatory updates, and significant infrastructure projects. The UAE Central Bank’s projected 6.2 percent GDP growth by 2025 supports the sector’s resilience and national economic contribution. Additionally, the expansion of Al Maktoum Airport is anticipated to enhance property values and attract both residential and commercial investments, further bolstering the market.
Strategic initiatives boosting Dubai’s appeal
Syed highlighted the impact of Al Maktoum Airport’s expansion, recent updates to the Golden Visa programme, and robust sustainability initiatives, stating: “These developments, alongside Dubai’s strategic focus on regulatory frameworks and continuous infrastructure enhancements, have significantly bolstered the city’s appeal. Combined with our market insights, these elements reaffirm Dubai’s position as a prime destination for investors seeking enduring value and growth opportunities”.
Read more: UAE citizens can now claim VAT refunds for new home construction via new smart app
Millionaire migration driving real estate growth
The economic benefits of millionaire migration to Dubai are also notable. The city continues to attract high-net-worth individuals, with projections of 6,700 new millionaires in 2024. This influx is expected to drive substantial growth in the real estate sector, reflecting Dubai’s appeal as a premier investment destination.
For more news on real estate, click here.
