The real estate market in Dubai witnessed an exceptional expansion last May with the addition of 15,500 new off-plan units, setting a new record that is considered the highest ever on a monthly basis, while real estate prices in the emirate currently stand at 1,351 dirhams per square foot, an increase of 10.25% compared to the previous highest level and the market peak in September 2014.
Property Monitor confirmed in its report on the performance of Dubai real estate in May that, “So far, the launch of new projects has exceeded more than 59,500 units and is on its way to exceeding about 96,000 units last year.
According to the organization’s Dynamic Price Index (DPI), Dubai property prices currently stand at 1,360 dirhams per square foot, an increase of 10.25% from the previous all-time high and the market peak in September 2014, while sales transaction volumes jumped 47.7% in May to a total of 17,139 transactions.
Property Monitor explained that the amazing growth witnessed in May is evidence of continuous development and inexhaustible demand for real estate in Dubai, with evidence of significant purchasing activity by UAE residents and international investors, pointing out that investor activity is largely biased towards off-plan projects. While residents are largely divided between the off-plan and ready real estate sectors, with many choosing off-plan projects.
In May, residential transactions, which include apartments, houses, and villas, constituted the majority of sales at about 92.8% (10,659 transactions), and the highest types of commercial properties dealt with were hotel apartments, 2.6%, office spaces, 1.9%, and retail units, 1.4%.