The splendor of the villas, the beauty of the apartments!
Dubai entered the top five cities in the world with the largest rise in prices for luxury real estate in the 1st half of 2024 (+2.9% compared to the 2nd half of 2023). Dubai is on the 1st place in terms of rental cost growth. Renting luxury housing has become more expensive by 12.1% in six months.
Dubai is a world leader in the super premium segment today. According to Knight Frank, 431 properties worth over $10 million were sold here in 2023.
According to the Henley report on private capital migration, the United Arab Emirates has become the largest magnet for rich people on the planet for the third year in a row. By the end of 2024, the UAE is expected to attract a record number of 6,700 millionaires. They flock to the emirate mainly from India and the Middle East in general, from Russia, Africa, and the United Kingdom. Many owners of impressive fortunes from the United Kingdom are projected to move to the UAE in the coming months due to the tightening of UK tax policy towards wealthy foreigners.
What does Dubai offer? Zero income tax, "golden visas", luxurious lifestyle, international school system, low crime rate, infrastructural megaprojects. All this, combined with the favorable geographical location of the country, forces those seeking a safe haven for themselves and their capital to lean in favor of the UAE.
In which areas of Dubai are luxury villas and apartments concentrated? If we are talking about the super premium segment, then these are, first of all, Palm Jumeirah, Emirates Hills and Jumeirah Bay Island. Luxury and premium real estate is offered in Dubai Marina, Business Bay, Downtown Dubai, Meydan, The World Island, Damac Hills.
Nakheel developer pleased with the high-profile launch of projects on the bulk islands Palm Jebel Ali and Dubai Islands (formerly Palm Deira). Large villas and plots of land for the construction of villas were sold in the range from 5 to 22 million dollars for large plots in top locations. The development of the islands, interrupted due to the 2008 crisis, has resumed.
A noticeable trend in the Dubai luxury housing market is branded complexes. There are more projects that developers do in collaboration with international brands from the world of fashion, the auto industry, and the hotel business in the emirate than anywhere else in the world. The number of such facilities in the city is expected to double by 2030.
More good and different projects!
The real estate segment priced from 150,000 to 500,000-600,000 dollars is the main driving force of the market. Thanks to him, among other things, the overall sales figures for the 1st half of 2024 are rosy, plus 12.2% compared to the second half of 2023, according to the Dubai Land Department.
One of the factors of market growth is the influx of new residents. In the 1st quarter of 2024 alone, the city welcomed more than 25,000 new residents.
Popular areas for those looking for inexpensive villas: DAMAC Hills 2, Dubiland and JVC, inexpensive apartments: JVC, International City, Dubai Silicon Oasis, Dubiland.
JVC – Jumeirah Village Circle – leads in terms of sales of budget housing. Transport interchanges are being built in the area, which will make it even more in demand. The minimum cost of apartments in new projects in JVC: from $ 250,000.
Developer Emaar continues to produce new complexes in the already beloved areas of Dubai Creek Harbour on the Gulf coast and Dubai Hills Estate. In addition, the company is developing the territories of Mina Rashid (after rebranding: Rashid Yachts &Marina), Emaar South near Al Maktoum Airport and Dubai South, as well as The Valley, located far away away from the noisy parts of the city. The developer's projects have offers in different price categories.
A brand new location in Dubai deserves special mention - the peninsula Maritime City, which is also called the Sea City. There are many companies whose activities are related to the maritime business, as well as office towers, luxury hotels and, of course, residential complexes. Several projects in the area have recently entered the market, and new launches are expected. The cost of the property started from $ 400,000. The area of the bulk peninsula is limited, so prices should rise during construction.
Most of the new projects are coming out in the following areas: JVC, Dubiland, Dubai Creek Harbour, Dubai South. Growing Al Furjan, Arjan, Rashid Yachts & Marina. The latter resembles the famous Dubai Marina in spirit and has already become very popular with investors from Russian-speaking countries.
Thank you for your help in preparing the material Elena Timchenko, Managing partner Royal Home Real Estate.
Sources:
https://www.globalpropertyguide.com/middle-east/united-arab-emirates/price-history
