Sales in Dubai’s property market flatlined when coronavirus broke out early last year. However, since the global lockdown was lifted and COVID-19 restrictions eased, buyers have been snapping up residential units, from massive villas on The Palm Jumeirah to luxury apartments in Burj Khalifa.
More than 4,832 property transactions, worth 10.97 billion dirhams ($3 billion), took place over the month of April, the highest in four years. A lot of the sold units are secondary flats and villas, although demand for off-plan units is now starting to pick up.
The strong demand for home ownership in the UAE has been spurred by the pandemic itself, which has forced people to stay at home or socially distance. The decline in prices, coupled with attractive mortgage deals, is also fuelling the demand.
But where are these buyers putting their money, you ask?
Based on the latest data from the Dubai Land Department (DLD), a lot of the homebuyers are investing their cash in places that are quite close to the beach, as well as those with easy connectivity to the city’s transport network and proximity to shopping malls and restaurants. Areas that are a bit away from the city centre but where home prices can cost less than 500,000 dirhams are also proving to be popular.
As of June 1, properties in the Marsa Dubai district, which is within the Dubai Marina community, topped the list. The area saw 34 transactions closed in less than 24 hours on Tuesday. Units sold were mostly flats and total residential sales reached 82.4 million dirhams.
The second-most popular is Al Thanyah Fifth, where some off-plan units costing a little over 400,000 dirhams have yet to be delivered. This area recorded 25 transactions with a combined value of 16.6 million dirhams.
Following closely behind is Al Merkadh, with 23 flats worth 24.17 million dirhams sold in one day.
Properties in Al Barsha South came in the fourth place, registering 22 transactions worth 13.63 million dirhams.
Burj Khalifa in Downtown Dubai came in the fifth place with 13 transactions worth 38.8 million dirhams.
Here is the complete list of top eight locations in Dubai that registered the highest number of transactions as of June 1:
- Al Marsa Dubai
Number of transactions: 34; Total value: 82.4 million dirhams
- Al Thanyah Fifth
Number of transactions: 25; Total value: 16.6 million dirhams
- Al Merkadh
Number of transactions: 23; Total value: 24.17 million dirhams
- Al Barsha South
Number of transactions: 22; Total value: 13.63 million dirhams
- Burj Khalifa
Number of transactions: 22; Total value: 38.8 million dirhams
- Al Hebiah
Number of transactions: 13; Total value: 11.56 million dirhams
- Palm Jumeirah
Number of transactions: 9; Total value: 23.84 million dirhams
- Business Bay
Number of transactions: 6; Total value: 6 million dirhams
(Reporting by Cleofe Maceda; editing by Seban Scaria)
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© ZAWYA 2021