Dubai’s Real Estate Market: What buyers and sellers need to know in 2023

$63.5 billion worth of Dubai Real Estate transactions till 31st of August 2023, the market surpasses the 2014 peak. With a 75% surge in transactions, the city’s been severely gaining global traction.

Exciting, right? But shocking? Definitely no!

Dubai’s real market has something for everyone. So whether there have been individuals looking for investment opportunities, a luxurious place to call theirs, or becoming a seller by buying properties and flipping them upon completion; everyone’s been here for a while for a sweet treat.

The market isn’t crashing down anytime soon, in fact as per sources, prices are expected to surge by 15% in 2024.

Skyrocketing Numbers

I wasn’t lying when we said the real estate market is going to bloom in 2023 as well. And here’s a proof for that.

There were forecasts conducted by industry experts that stated that by the end of 2023, Dubai will witness a whopping real estate market of AED 300 billion. These numbers are enough in themselves to leverage buyers and sellers for some highly appreciating and converting opportunities.

The market has achieved AED 251.06 billion worth of transactions already, and there are 4 months still left—with the city’s most beautiful season around the corner, global traction is yet to increase and bounce up the numbers significantly.

Now, one thing to note here is that these numbers aren’t superficial but the result of the 75% market surge in 2023. And this increase has led to an even more robust market and increased opportunities for everyone.

Let’s move on to other points to understand the surge better.

The Indians, Europeans, and Russians

These investors have been major players in Dubai’s real estate market in recent years. In 2021, they accounted for about 40% of all property sales in the emirate.

They drove the prices up and the influx of foreign capital has pushed up property prices in Dubai, making it one of the most expensive real estate markets in the world, but still much more affordable and rewarding in comparison to markets of Mumbai, London, Miami, Moscow, and European Union.

They truly have diversified the market. The arrival of a more diverse group of investors has made the market more competitive and has led to the development of new types of properties, such as the most blooming concept at the moment—townhouses.

The impact of Russian, European, and Indian investors on Dubai’s real estate market is likely to continue in the coming years. The ongoing political and economic instability in some parts of Europe and Asia is likely to drive more investors to Dubai, which is seen as a safe and stable investment destination.

Recoveries Post Pandemic

In peak COVID, as people struggled globally, Dubai opened its doors to tourists & travelers and enhanced safety protocols, unlike any city or country in the whole wide world. This placed numerous digital nomads, families, and specialized professionals within the city—all of them intending to settle their livelihoods here.

Post-COVID, as people found themselves living here in the long run, they took a step ahead towards investments in properties in Dubai in 2022. This set a new record and a promising 2023 shedding its impact on the real estate sector and the infrastructure as well.

Tech to the Rescue

Currently, technology is a key protagonist in Dubai’s real estate narrative. From virtual property tours to streamlining transactions, technological advancements are reshaping how properties are bought and sold, enhancing buyer experiences, and transforming the development landscape.

The tech part doesn’t end here though. The market’s nerve at the moment, a.k.a., Proptech, is leading with baby steps taken towards making existing research tools such as Reidin and Property Monitor easier to access! not only so, but prominent tools such as PowerBi have come forward to make data and numerical analysis simplified.

The Market is an Ever-Evolving Landscape

Truth be told, Dubai’s real estate market is a vibrant canvas painted with the hues of innovation, economic vitality, and global appeal. As 2024 unfolds in about a quarter, the market’s trajectory is poised to shape the city’s skyline and economic landscape.

Understanding the driving factors and navigating their influence is essential for both buyers and sellers to seize opportunities in Dubai’s ever-evolving property domain.