Sales of off plan property in Dubai have registered strong growth this year, according to findings announced by Property Finder. In August this year, off-plan properties recorded AED 4.95 billion, or USD 1.3 billion across 2,599 sales deals, a statement from the company said.
This is the highest sales value to be recorded for sales of off plan property in Dubai since December 2013, representing an eight-year high. It also represents the highest monthly off plan transactions by number since November 2019.
“During the pandemic last year, the off-plan market significantly declined. The average was about 30% of properties sold were in the off-plan segment.”
“Today, we have bounced back to 2019 ratios where secondary and off plan segments are almost 50/50,” Lynnette Sacchetto, Director of Research and Data for Property Finder, said. “This is a clear indication that investors are coming back into the market due to their confidence in the future of Dubai.”
MEDIAN PRICES FOR OFF PLAN PROPERTY IN DUBAI MOVE UP
Arabian Ranches 3 and Villanova recorded the most off-plan villa and townhouse sales, the report said. A total of 187 units were sold in Arabian Ranches 3, and 157 in Villanova. Other areas of interest included Tilal al Ghaf with 79 units, Dubai South with 58 units, and Mohammed bin Rashid City with 16 units.
Dubai Harbour recorded the most sales of off-plan apartments, with 260 units sold. Mohammed bin Rashid City also showed strong sales of 239 units, followed by Business Bay with 219 units, Jumeirah Village Circle with 171 units, and Jumeirah Lakes Towers with 137 units.
Meanwhile, in terms of demand for off-plan property in Dubai during August, top areas for villas and townhouses included Dubai Hills Estate, Arabian Ranches, Palm Jumeirah, Damac Hills 2 and Mohammed bin Rashid City. Dubai Marina, Downtown Dubai, Palm Jumeirah, Business Bay and Jumeirah Village Circle were most in demand for off-plan apartments.
Further, the average transaction price for off-plan property in Dubai saw a year-on-year increase of 53%, climbing from about AED 1.2 million in August 2020, to AED 1.9 million in August 2021.
Median prices for off-plan apartment sales stood at AED 1.1 million in August 2021, a growth of 48% from AED 745,500 in the same period last year. Median prices for off-plan villas and townhouses stood at about AED 1.8 million for the month this year, gaining 12% as compared to 1.6 million last year.
Photo credit: https://propsearch.ae/dubai/villanova
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