Recovery Mode: Dubais freehold areas make steady gains

Sunday, Jun 11, 2017

Dubai: More freehold areas in Dubai are in full-scale recovery mode on the value side, with the Motor City cluster just 1 per cent away from its mid-2104 high. Even the city’s high-end locations — the Palm, Emirates Hills and Downtown — are recording monthly gains in the 1.8 to 2.8 per cent range, according to a new update by ValuStrat.

“It will be interesting to see if these positive trends continue in subsequent months and if additional areas become included,” said Haider Tuaima, Research Manager.

A quarter of the locations monitored by the ValuStrat Price Index are now “within 10 per cent or less” of their pricing peaks from three years ago. According to the consultancy, apartment values in Dubai Marina, Jumeirah Beach Residence and Jumeirah Lake Towers still have some way to go, and currently are 15-28 per cent below their peaks.

After summer, it will be interesting to see how Dubai’s emerging freehold clusters perform. These locations had recorded fairly brisk off-plan launch and sales activity in the last three quarters. More are expected in the second-half of the year.

Staff Report