The Annual Report of Dubai Land Department
The unlimited support from Dubai Government helps market recovery and growth
Number of transactions up by 20% compared to 2010
UAE nationals tops the list of investors and invest mainly in flats
Indian and UK nationals the biggest investors in plots and villas in 2011
GCC nationals investment reached AED 12 billion
Dubai - United Arab Emirates, 3 April 2012 - The Dubai Land Department recorded transaction worth AED 143 billion in 2011. This represented a 20% increase compared to 2010 and 110% if compared to 2006.
An analysis of the results of 2011 shows that the emirate's real estate market started to regain the confidence of investors and continue the recovery due to the attractiveness of Dubai prosperities. However, the announced results of the last year don't really reflect the transactions taking place in the market as some of transactions are not recorded in the LD. On that regard, the LD advises the sellers and buyers to officially document the transaction at the department's register in order to safeguard the rights of the relevant parties.
The results of 2011
The Dubai Land Department's transactions for 2011 reached 35297 transactions valued around AED 143 billion last year in Dubai. The transactions include sales, mortgages, ijarah, mortgage portfolios, deferred sales and other transactions.
Sultan Butti bin Mejren, Director General of the Land Department said the figures of 2011 showed a 20% increase in the total value of transactions in compared to 2010. The transactions' quantity, quality and procedures reflect the recovery and growth of the real estate market in Dubai due to the direct and unlimited support from the local government that spared no effort to achieve market's stability and growth, enhance the attractiveness of real estate investment along with boosting the confidence of investors. 2011 saw a 12% increase in mortgages compared to 2010. The mortgages represent 60% of the total transactions conducted in 2011; this indicates the recovery of the property financing and the return of healthy activities.
Exit of speculators
Bin Mejren indicated that the total value of the transactions clearly reflect the unequivocal return of the real estate market to normal levels, the exit of speculators, the maturity of the real estate market, the increased investor awareness of the importance of long-term investment in this vital sector.
The official date documented by research and survey section in the department of real estate development of LD showed that the real estate market in Dubai witnessed an overwhelming response from investors during the last year, says bin Mejren. This according to him demonstrates the ability of Dubai to fully recover from the challenges of the international crisis and prove once again the strength of Dubai's economy.
Stability
The Director General of LD stressed that the market saw a state of stability and increased demand from investors in buying properties and grasp investment opportunities in the last two years. He expected that the market will see continued strong recovery in the coming period, which will encourages investors to increase their investments in Dubai real estate market due to the high levels of confidence, stability and commercial appeal it enjoys.
The 2011 transaction report issued by LD indicates that the investors tend to invest more in flats through sales and mortgage that reflects the state of confidence and stability in the real estate market. The total flats' sales and mortgages transactions rose to 26465 worth AED 43 billion.
According to the data of research and survey section in the department of real estate development, the plots' transactions amounted to AED 94 billion. Plots' sale saw 2961 transaction at the value of AED 22 billion, while 3315 mortgage transactions worth AED 69 billion were registered in 2011.
Total transactions for flats in Dubai last year reached 26465 at the value of AED 43 billion, while the total transactions for villas reached AED 6 billion.
Owners and investors
The Dubai real estate market continues to attract Arab & foreign investors, the total number of landlords in 2011 reached 18892. The Asian investors represent 68% of the overall number of investors and the UAE nationals top the list by representing 35% of the overall number of Asian landlords, the Indian landlords came second in the list by representing 20% of the overall number of Asian investors. The number of Asian investors reached 12708 in 2011.
In Africa, the Egyptians ranked first as they represent 25% of the overall number of African investors. The South African represented 11% and Kenyans represented 10% of the overall 815 African landlords.
The British citizens topped the list of European investors by representing 47% of the overall 3849 landlords from Europe in 2011. The Russian was second in the list by representing 17% and Italians represented 7% of the overall European landlords in Dubai during 2011.
The total number of investors in the emirate of Dubai according to the LD's records reached 24607 investor with investments worth AED 47 billion. The GCC nationals played an important role in the Dubai's real estate market with transactions worth AED 12 billion in 2011.
New investors
The Indians topped the list of new investors in Dubai properties considering the number and value of transactions. They conducted 927 transactions worth AED 2.1 billion, which represents 16% of the overall value of transactions carried out by new investors. The UAE nationals ranked third in terms of the value of transactions for new investors in 2011 with 12% share.
Active investors
The total number of active investors in Dubai real estate market reached 6403 with AED 12 billion worth of investments in 2011. The UAE nationals topped the list by representing 30% of the active investors considering number of transactions and 49% in terms of transactions value. The Indians were second in the list, representing 14% in terms of number of transactions and 10% in terms of value.
The data indicates the growing ability of Dubai real estate market in attracting GCC and international investors despite the repercussions of the global crisis. Dubai market gives the investor lucrative profit after each sale in a short period due to the booming demand for real estate products by individuals and companies.
About Dubai Land Department:
Dubai Land Department was established in January 1960 to provide a systematic method for registration of land and property and protect the rights of clients and ensure all legal aspects relating to the sale and purchase of land, which enabled the Department to organize the registration process, which aims primarily to protect all relevant parties. In order to organize and develop the real estate sector in the emirate Real Estate Regulatory Agency (RERA) was officially established as a subsidiary of the Dubai Land Department in 2007 under Law No. (16
© Press Release 2012
