Greetings Dear Readers,
Hope your March was pleasant and successful. The month has been news heady, with high profile events in the world of Finance. In an interconnected world, these events do have a material and physiological impact, far beyond where they occur. It is always ideal to keep calm and have both a historical perspective and a long-term view, during such events.
As for Dubai real estate, the news continues to be inspiring. The month has been one of growth. Indeed, the continued strength of the market, especially within the context of the ongoing global macro- economic headwinds, might be surprising to some. However, this simply remains a market to which the world is readjusting its sentiment, attention, and capital allocation. There have been a total of ten thousand eight hundred and thirty three real estate sales transactions during the month, a growth of 52% YoY, 28% QoQ and 34% MoM. Off-Plan has constituted 52.8% of these transactions. The busiest areas of the month were JVC, Business Bay, Arjan, Marina and Downtown. Business Bay and JVC also saw sizable land transactions during the month, representative of the continued potential and attraction for these mixed-use master communities. JVC was the busiest area for ready apartment sales, reflecting the continued attraction for the upcoming mid-segment master community, both amongst end users and investors. Emirates Living was busiest for ready villas and townhouses, a true testament to the uniqueness of this maturing luxury community. As mentioned,Off-plan market continues to dominate, with, The Valley project being busiest for the month for Villa/ Townhouse segment and the JVC community leading for new apartment sales.
The off- plan premium, particularly for new apartment launches is noticeable, reflective of the allure for payment plans, trend for branded residences and easier accessibility for foreign investors.Another persistent trend is the continued high demand for luxury villas, a fact being reflected both in the rental and sales prices being asked for these properties. There are just not enough luxury villa communities being launched to be able to keep up with the demand currently. The commercial market also continues to be strong, with persistent supply issues starting to emerge for grade A office stock.
Rising interest rates, noticeable off-plan premiums and the global economic situation are indeed some concerns for the market, however, these are short to medium term headlines. Real estate is a multi- generational asset class, and Dubai, it is the socio- economic story of the century, therefore continue to keep your faith. As always, looking forward to serving your quest for Dubai real estate.