The Dubai property market witnessed exceptional activity in May 2024, according to a recent report by Property Monitor, a subsidiary of Cavendish Maxwell Group. Total sales transactions reached a staggering 17,139, surpassing the previous record set in April 2009 by over 20%.
Analysts at Cavendish Maxwell anticipate continued high transaction volume throughout Q2, with minimal seasonal slowdown typically experienced during the summer months. Zhann Jochinke, Director of Market Intelligence and Research, commented, “We expect the market to maintain its momentum as we approach the close of Q2 and enter the summer period.”
While price growth moderated compared to March and April, with the Dynamic Price Index rising by a modest 0.69% in May, property values remain at historic highs. Current prices are a remarkable 10.25% above the previous peak recorded in September 2014.
Off-Plan Market Surges
Off-plan transactions dominated the market in May, accounting for 61.8% of all sales. When adjusted for registration types, the true off-plan market share is estimated to be even higher, at approximately 66.7%. Both off-plan and secondary markets experienced a significant increase in activity of around 48% compared to April.
Emaar Properties emerged as the leader in off-plan sales, followed by Sobha and Azizi Development. The AED 2-3 million price bracket witnessed the most significant price growth, driven by new developments like Lillia in Dubai Hills and Sobha One in Dubai.
Furthermore, mortgage borrowing surged by a substantial 57.9% compared to April, marking the second-highest monthly figure on record. This indicates continued accessibility of financing despite rising interest rates.
Published on: 28 Jun 2024
Source: https://www.arabianbusiness.com/industries/real-estate/dubai-real-estate-property-market-hits-record-breaking-sales-transactions-in-may