Dubai’s real estate market will reach an unprecedented record in 2024
Dubai, January 2, 2024 – Dubai achieved a record year for the real estate market in 2024, which reached its peak with 180,900 transactions worth 522.1 billion UAE dirhams.
A market report issued by FÄM Real Estate today showed that the market achieved significant jumps of 36% and 27%, respectively, from the previous highest level of 133,100 sales worth 411.1 billion UAE dirhams in 2023. First sales in the primary market from developers rose by 30% year-on-year to AED 334.1 billion, highlighting the strong demand for new properties and off-plan properties.
Transaction volume increased by 51% to 119,800 sales transactions in 2024, reflecting a significant increase in buyer confidence and developer activity, while the average price per square foot rose by 10% to 1,600 AED.
The demand was driven by the launch of new projects and favorable payment schemes, as the sector attracted foreign investors, supported by residency incentives and visa reforms.
The rising demand in the secondary market resulted in a 21% increase in resales to AED 188.1 billion. Transaction volume also increased by 14% to 61,100 transactions, indicating sustained activity, and the average price per square foot increased by 12% year-on-year to AED 1,300.
The 2024 resale numbers reflect buyers shifting to properties ready for immediate occupancy, attracting higher rental yields to investors, while infrastructure improvements have boosted investors’ appetite for properties.
Firas Al-Masadi, CEO of FÄM Real Estate, said that sales values broke historical records, and that the market continued to attract global investors, with strong demand for rent and the flexibility of luxury goods, which strengthens Dubai’s position as a leading real estate destination.
Last year achieved annual growth in all real estate sectors, led by a 42% year-on-year increase in the volume of apartment sales, with 141,168 deals with a total value of 260.6 billion dirhams.
Villa sales witnessed an increase of 21.1% from 2023 to 30,938 units worth 164.1 billion dirhams, and commercial real estate transactions increased by 10.1% in volume to 4,304 units worth 9.7 billion dirhams, while 4,352 plots of land were sold worth 86.5 billion dirhams, an increase of 2.6%.
In the primary market, Al Barsha South 4 was the highest performing area in terms of total volume, with 12,878 first sales from developers, reflecting its popularity among investors and end users.
The Business Bay region topped the list in terms of total sales value, with 6,888 transactions worth AED 21.1 billion, and emerging areas such as Airport City and Wadi Al Safa 5 gained momentum, indicating a growing demand for suburban living and integrated communities.
The list of the top 10 performing areas in the primary market included “Al Barsha South 4” with 12,878 deals worth 13.5 billion dirhams, Business Bay with 6,888 deals worth 21.1 billion dirhams, “Wadi Al Safa 5” with 6,602 deals worth 13.6 billion dirhams, and Airport City with 6,254 deals. With a value of 17.0 billion dirhams, and Sheikh Mohammed bin Rashid with 5,246 deals worth 13.4 billion dirhams, “Hind City 4” with 5,152 deals worth 8.4 billion dirhams, Dubai Maritime City with 4,818 deals worth 12.7 billion dirhams, Al Mirkaad with 4,474 deals worth 6.2 billion dirhams, and “Jebel Ali 1” with 4,335 deals worth 6.7 billion dirhams. Dirham and Boudra With 4,215 transactions, worth 9.9 billion dirhams.
The Business Bay area maintained its dominance in resale transactions, recording 5,142 transactions during the year, while Dubai Marina topped in terms of total value, recording 4,924 transactions worth 15.2 billion dirhams during the year, confirming its position as a distinguished destination on the waterfront.
The list of the top 10 performing areas in the secondary market included Business Bay with 5,142 deals worth 9.8 billion dirhams, Dubai Marina with 4,924 deals worth 15.2 billion dirhams, Al Barsha South Fourth with 4,635 deals worth 7.0 billion dirhams, Al Thanyah 5 with 3,305 deals worth 8.1 billion dirhams, and Al Mirkaad 3,155 deals worth 7.0 billion dirhams. 8.3 billion dirhams, Downtown Dubai with 3,122 deals worth 12.7 billion dirhams, and Jebel Ali First with 2,364 deals worth 5.0 billion dirhams.
Warsan 1 with 2,126 deals worth 1.2 billion dirhams, Wadi Al Safa 5 with 2,125 deals worth 5.9 billion dirhams, and Sheikh Mohammed bin Rashid Gardens with 2,106 deals worth 9.8 billion dirhams.
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