ValuStrat: For 2021, average property prices in Dubai rose by 17%

ValuStrat: For 2021, average property prices in Dubai rose by 17%

Prices for villas in Palm Jumeirah are only 1.5% of the record figures of 2014.

The annual average price increase of 17% has been unprecedented since 2014.

According to ValuStrat Price Index (VPI), an index of changes in the capital value of freehold real estate and offices, villas increased by 2.5%, while apartments increased by about 1%.

According to the Dubai Land Department (DLD), in 2021, there were 84,772 real estate transactions for about $82 billion.

Economic incentives to encourage foreign investors, the successful fight against COVID-19, and EXPO 2020, which began on October 1, 2021, played an important part.

ValuStrat reports that the apartments in the emirate have shown growth between 0.9% and 8.8%. However, in some areas, such as Jumeirah Village and Dubai Sports City, prices fell by 4.7% and 1%, respectively.

Palm Jumeirah (19.4%) and Jumeirah Beach Residence (15.6) were the leaders of apartment price growth.

These areas were the leaders of villa price growth:

  • Arabian Ranches — 36.5%;
  • Jumeirah Islands — 36.3%;
  • The Lakes — 33.6%;
  • Emirates Hills — 32.9%.

ValuStrat states that the prices for villas have exceeded the pre-pandemic figures.

The best areas for off-plan real estate construction, according to the rate of price growth, are:

  • Sobha Heartland — 9.4%;
  • Downtown Dubai — 9.3%;
  • Business Bay — 9.1%;
  • Dubai Harbour — 9%.
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