Highlights include:
- Sales enquiries last week were significantly above the same week last year across all unit types and Emirates
- May 2020 had a total of 1,428 sales transactions worth AED 2.46 billion
- Ramadan 2020 had 1,526 transactions worth AED 2.86 billion
- Sales and rental enquiries are up against last year for both apartments and villa/townhouse across all Emirates, with the highest increase in enquiries for villa
- Sales transactions are at their lowest in 2020 as we are in the middle of the 45-60 days post lockdown measures.
Dubai: Dubai had 1,428 sales transactions worth over AED 2.46 billion in the month of May 2020 according to statistics from Data Finder, the real estate insights and data platform under UAE-based Property Finder. These transactions were aided by innovative tools like Live Viewings and Virtual Tours that helped brokers show their properties to buyers and renters that were hesitant to go for in-person viewings. This brings the year-to-date total to 13,787 sales transactions worth AED 27.8 billion.
As the average property sales cycle is 45-60 days, we saw the biggest impact of the lockdown on the sales transactions in the second half of May. The listings and views impacted since the crisis began have been the precursor to the number of transactions being impacted over the past couple of weeks.
However, if the same case is made for listings and property views since last week, sales enquiries were significantly above the same week last year across all unit types and Emirates which shows pent up demand similar to what we see after Ramadan, summer and winter holidays.
“Since the crisis began, sales enquiries for apartments were affected the most. However, last week we saw a 9 percent increase in sales enquiries for apartments. In Abu Dhabi, we saw a 76 percent increase for apartment enquiries. The increase in enquiries for villas continue to rise week-on-week and the top key search words consumers are using are still ‘garden’, ‘outside space’ and ‘pool’.” says Lynnette Abad, Director of Research and Data, Property Finder.
“Rental enquiries for apartments in all Emirates have also increased in comparison to the same week last year. In Abu Dhabi there was a 34 percent increase, 27 increase for Dubai and a 10 percent increase in the northern Emirates.” Abad added.
In May, off-plan accounted for 66.5% of all transactions and was dominated by Dubai South and Mohammed bin Rashid City for villa/townhouses and apartments respectively. Top off-plan sales locations were Mohammed bin Rashid City (415 transactions), Jumeirah Village Circle(99), Business Bay(78), Jumeirah Lakes Towers(58) and International City (44).
The volume of transactions for the secondary market were considerably lower than the off-plan market however Dubai Marina(38) and Downtown Burj Khalifa(26) dominated as always. These were followed by Dubai Sports City(23), Business Bay(22) and International City(22).
The breakdown of apartment and villa/townhouses is as follows:
The top communities for apartment sales were:
- Mohammed bin Rashid City(415)
- Jumeirah Village Circle (112)
- Business Bay (100)
- International City (66)
- Jumeirah Lakes Towers (64)
The top communities for Villa/Townhouses sales were:
- Dubai South (30)
- Arabian Ranches 3 (16)
- Arabian Ranches (14)
- The Springs (11)
- Mohammed bin Rashid City (10)
Taking a look at the mortgage market in May 2020, Mortgage Finder saw the highest number of cases submitted since October 2019.
"In May, we have seen the highest number of online enquiries since our launch in 2017, 46 percent more compared to April when full lockdown was still in place. The easing of restrictions seems to have had a very positive effect on buyer sentiment. Many potential buyers, especially those in secure employment, are keen to take advantage of the low mortgage interest rates, the lowest in 15 years, and the current property prices.” says Warren Philliskirk, Director, Mortgage Finder.
© Press Release 2020
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