Property prices in Dubai set to grow by up to 5 per cent in 2024
A new report suggests that prime markets will see a 5 per cent increase, while the rest of the real estate sector is forecast to increase by 3.5 per cent…
Dubai property prices are set to continue to increase next year, according to a new report from Knight Frank.
As reported by The National, property prices in Dubai are forecast to grow 5 per cent in prime markets. The report, released on Monday November 6, outlined prime markets to include areas such as Palm Jumeirah, Emirates Hills and Jumeirah Bay Island. But across the whole real estate sector Knight Frank forecasts growth, with property prices in non-prime markets also expected to go up by 3.5 per cent.
The strong growth is reflective of the limited supply of units in the prime market, as well as a surge in demand from key markets, like India and China.
The forecasted growth next year follows consistent post-pandemic increases, that have seen property prices in the city increase for the 11th consecutive quarter in Q3, 2023. The third quarter of the year saw property prices increase by 5 per cent on average, marking a 30 per cent raise from Q1, 2020 and 19 per cent increase from the start of the year.
However, property prices on average still remain 7 per cent below the 2014 peak.
The increase in prices between June and September was similar for apartments and villas. Apartment prices rose by 5.1 per cent, while villa prices increased by 4.5 per cent in the same period. Since Q1 2020, that’s a 26 per cent growth for apartments and 57 per cent rise for villas.
In the last year, the areas that have seen the biggest growth in price are Dubai South, where the price of apartments has risen by 73 per cent; and JLT, where apartment prices have increased by 67 per cent.