December begins, and various market players are ready not only to take stock of this year but also to anticipate future development.
In the last week of November, the real estate sector earned $871,000,000. A significant amount came from a transaction in the Island 2 multifunctional complex — $ 16 million. A total of 1,186 deals were made: 120 for land and 787 for apartments and villas.
The community leaders are Jabal Ali First, Nad Al Shiba Third, and Al Yufrah — 49 transactions for $37.7 million, 12 transactions for $9 million, and 11 transactions for $2.72 million, respectively.
The main sales were for apartments. The top 3 are apartments in Marsa Dubai ($84.3 million), Palm Jumeirah ($65.6 million), and Burj Khalifa ($47 million).
According to the data and accumulated information for previous periods, the management company Asteco (one of the UAE leaders) predicts rent increases for residential and commercial properties up to 7-9% and for luxury real estate up to 9-14% in 2022.
Rental of apartments and villas in Dubai continued to increase in the third quarter of 2021 with quarterly growth of 3% and 6%, respectively.
Villas are popular with tenants, and the rapidly declining real estate supply leads to higher rates.
However, consulting agency Knight Frank indicates that 2021, with its records, maybe the peak year in the Dubai property market cycle.
Real estate prices have increased by 21% this year, and the city has attracted many wealthy clients. The market is closer than ever to the record figures of the second quarter of 2014.
Many factors have contributed to the market recovery, ranging from the success of COVID-19 and government policy to developers' actions and Expo 2020.
Faisal Durrani, head of Middle East Research at Knight Frank, however, points out that the company’s specialists detect early signs of divergence in the expectations of sellers and buyers, which is always a sign of the approaching market stabilization, its slowdown.
