Dubai real estate prices to increase up to 7%

Dubai real estate prices to increase up to 7% this year after bumper transactions of $117bn in 2023.

The dynamic performance of both Dubai and Abu Dhabi underscores the resilience of the UAE property market. Government initiatives and sustained economic growth have fuelled a surge in transaction volumes, particularly notable in Dubai, which recorded a significant uptick in new property transactions.

Projections indicate a five to seven per cent increase in property prices in Dubai and a three to nine per cent rise in Abu Dhabi.

In 2023, Dubai witnessed an extraordinary surge in its real estate market, with 116,116 property transactions amounting to AED429.6bn ($117bn).

This marked a remarkable 33.8 per cent increase in transactions and a substantial 36.7 per cent rise in values compared to the previous year, demonstrating the market’s resilience and attractiveness to investors.

Investor demand remains robust, with major players hailing from key regions such as India, China, the UK, Europe, and the CIS countries.

Moreover, there is emerging interest from Latin America, Mexico, and Canada, indicating the UAE’s growing global appeal as a real estate investment destination.

The anticipated post-pandemic recovery in China is also expected to further bolster demand and investor confidence in the market.

As the UAE property market continues to evolve, stakeholders are urged to remain vigilant and adaptable to potential shifts in market dynamics.

Developers, investors, and policymakers alike must collaborate to ensure sustainable growth and long-term stability in the sector.