Ups and downs of real estate prices in Dubai in February 2022

Ups and downs of real estate prices in Dubai in February 2022

Throughout February, prices for all categories of real estate grew in most areas of the city. Predictably, Palm Jumeirah turned out to be the most expensive area.

In total, 5,538 real estate transactions were registered in the past months. In February 2021, there were 3,787 transactions.

From the beginning of the year to the end of February, average real estate prices increased by 10.7%. On average, prices for apartments increased by 9.1% and villas - by 21%.

In the apartment segment, the highest price growth was recorded in Green Community (Dubai Investment Park) — 3% monthly growth. It is followed by Jebel Ali — 2.8%. Jumeirah, Dubai Festival City and Meydan City showed 2.7%.

The most expensive area to buy apartments was Downtown Dubai.

In the villa segment, Jumeirah Village Circle holds the leadership of growth: this increase was 3%. Palm Jumeirah remains the most expensive area to buy real estate with monthly growth of 2.9%.

The reasons for the growth are the following: it is possible to list the success of vaccination, the new visa policy, incentives for investors, but at the moment we know about more interesting changes in the market.

In February, a sharp improvement in the economy was recorded in all sectors not related to oil, gas and other natural resources. IGS Market business activity index for the emirate showed an increase to 54.1 points, compared with 52.6 points in January 2022.

According to the index, 50 points is a neutral indicator. The deviation towards growth indicates the expansion of the economy and increased activity in the market.

The emirate also recorded an increase in the number of new businesses and enterprises. Not least because of the decrease in information activity around the topic of COVID-19 and, as a result, a decrease in panic in the markets.

At the moment, the main information channel for world markets has become the armed conflict between Russia and Ukraine, regardless of what really affects certain phenomena in the global economy.

Read also