According to the latest statistics, the real estate market continues to quickly recover.
In October 2020, the Dubai Lands Department (DLD) registered a total of 3,395 home sale transactions worth AED 6.93 billion, while the total number of sales in 2020 reached 27,815 worth AED 57.43 billion.
As for October sales, 37.2% of them were off-plan properties and 62.8% were resale homes, according to the official Dubai Mo’Asher House Price Index, which DLD launched in partnership with Property Finder.
According to Latifa Ibrahim Ahmed, Senior Director of Real Estate Studies & Research Department at DLD, the index is the most transparent and comprehensive tool for assessing market movements.
“We are proud to release this index every month and make it available to researchers and those interested in the real estate market, such as developers and investors,” she said.
Of course, the most important news of autumn 2020 is the strong sign of recovery in the real estate market and its return to the pre-covid level of sales, especially when it comes to luxury properties.
What does this mean for investors and developers? It means an optimistic forecast for the New Year 2021.
According to Property Finder, 665 resale or ready-to-move villas and townhouses were sold in October. This is already 7.2% more than in September 2020, when there were 605 sales.
The October sales are also 34% higher than July 2020 with 496 sales.
The last four months have seen the largest number of villa / townhouse transactions, with each month at an all-time high. The consistent growth started in May 2020, when 110 villas were sold, and it has grown more than 500 percent since then.
“The prices of villas and townhouses have become more affordable over the years. This makes them an extremely attractive option for real estate investors. Since the pandemic began, many had to spend more time at home. This started a new trend – people are looking for more comfort and space when buying a property,” said Lynette Abad, director of research and data at Property Finder.
People also began to relocate from densely populated urban areas to the suburbs. All of this has led to record high volumes of villa/ townhouse sales in Dubai in autumn 2020.
The top five destinations for buyers looking for villas or townhouses include Dubai Hills Estates, Arabian Ranches, Palm Jumeirah, Damac Hills and Mohammed bin Rashid City.
The most expensive three apartment and villa sales included an apartment sold for AED 258 million in Burj Khalifa, a villa sold for AED 129 million in Dubai Investment Park and an apartment sold for AED 112 million in Marsa Dubai.