The luxury home market in Dubai is set to flourish and continue its momentum in 2022, as it is supported by growing demand and interest from the international elite
The year 2021 has seen increased activity in the luxury housing sector, as it recorded a 40% increase in prices compared to the previous year despite the challenges of the pandemic. — Photo provided
Luxury property owners in Dubai are delaying home sales as a 10-15% increase in annual price gains are expected in prime areas as the emirate saw a 30% increase in luxury home transactions luxury in January 2022 with 4,083 transactions.
According to Zoom Property Insights, a substantial price increase of 35.1% per square foot has been recorded in the luxury real estate market, particularly in prime areas such as The Palm Jumeirah, Jumeirah Bay, District 1 and Dubai Hills.
“Dubai’s luxury home market is poised to thrive and continue its momentum in 2022, as it is buoyed by growing demand and interest from the international elite,” the consultancy said. real estate, adding that the post-expo landscape looks promising for the emirate’s luxury home market. because it is full of new opportunities for buyers and investors.
Signaling the recovery of the real estate market, the Dubai real estate market recorded 336 sales transactions worth 995.74 million dirhams and mortgage transactions worth 81.04 million dirhams, in addition to eight gift transactions. worth 46.39 million dirhams on Tuesday, according to data released by the emirate’s land department. (DLD) showed.
Sales included 282 villas and apartments worth Dhs 619.88 million and 54 plots worth Dhs 375.86 million, while mortgages included 47 villas and apartments worth Dhs 68.47 million Dh and eight plots worth 12.56 million Dh, bringing the total real estate transactions today to more than 1.1 billion dirhams.
Bellview Real Estate announced on Thursday that it has sold an ultra-luxury, custom-built Palm Jumeirah mansion, spanning a sprawling 33,000 square feet, for MAD 280 million to an anonymous buyer, making it the most expensive real estate transaction ever. made in Dubai. The previous record of 185 million Dh has remained unequaled since 2015.
“The luxury home market started on a positive note with a significant increase in transactions of 30% on an annual basis, as it recorded 4,083 transactions in January 2022. Average property prices [per square foot] also saw a 35.1% increase during the month,” said Zoom Property Insights.
The year 2021 has seen increased activity in the luxury housing sector, as it recorded a 40% increase in prices compared to the previous year despite the challenges of the pandemic. A record total of 93 homes worth $10 million or more were sold in 2021, with the average residential value climbing 9.2%, with villas posting a significant jump of 21.2%.
Ata Shobeiry, CEO of Zoom Property, said the luxury real estate market will continue to rebound in 2022.
“The luxury real estate market will maintain its upward trajectory in 2022 with more upscale buildings and projects on the rise. As a result, wealthy foreign investors will be more interested in the sector. The market, overall, will benefit from an influx of foreign investors as there is also an increase in demand from Ukrainian and Russian buyers,” he said.
Additionally, he said, visa reforms, expat-friendly policies and high profit potentials continue to attract investors from around the world, making Dubai a lucrative market for property investment.
The most expensive apartment was sold at Burj Khalifa Zone 4, Downtown Dubai, for Dh73 million during the first quarter of 2022. It was followed by an apartment at Dorchester Collection Dubai located in Business Bay. The ultra-premium apartment was sold for 69 million dirhams.
Next, The Royal Atlantis Resort and Residences at The Palm Jumeirah sold a high-end apartment for 63 million dirhams. Luxury apartments in W Residences Dubai and Serenia Residences Building B, both located in The Palm Jumeirah, have sold for Dh57 million and Dh50 million respectively.
Maintaining its reputation for selling ultra-exclusive and luxury villas, The Palm Jumeirah sold the most expensive villa worth Dhs 87 million during the first quarter of 2022. Another villa worth Dhs 30 million of Dh was sold on Island 2. This was followed by luxury villas at Dubai Hills Estate, Nad Al Sheba Third and Al Hebiah Fourth, sold for Dh29 million, Dh22 million and Dh10 million respectively. dh.