Rents and property prices in Dubai increased by more than 10% in January; Downtown Dubai, Palm Jumeirah, and Al Barari remain the most sought-after areas.
According to the most recent data, Dubai’s property market maintained its strong upward momentum in January, with residential prices and rents rising at the fastest rate since early 2015.
Last month, the residential market saw a year-on-year increase in transaction volumes of 80.2 percent, with off-plan and secondary market sales increasing by 187.5 percent and 32.5 percent, respectively.
According to CBRE’s Dubai residential market snapshot, average property prices increased by 10.2 percent in January 2022.
Last month, the real estate consultancy observed an 8.5 percent increase in average apartment prices and a 21.8 percent increase in average villa rates, with apartment prices remaining stable at Dh1,085 per square foot and villa rates rising to Dh1,250 per square foot.
“If we compare these rates per square foot to the highs recorded in late 2014, they are 27.1% and 13.5% lower, respectively, for apartments and villas,” CBRE said.
According to the real estate consultancy, Downtown Dubai has the highest average sales rate per square foot at Dh1,958, while Palm Jumeirah has the highest average sales rate per square foot at Dh2,699 for villas.
Rents are rising
According to the CBRE report, average rents increased by 10.1% in the 12 months to January 2022, with average apartment and villa rents increasing by 8.3% and 22.8 percent, respectively. The average apartment and villa rents in January were Dh76,347 and Dh230,275 per year, respectively.
Downtown Dubai remained the most popular area for apartments as average asking rents rose to Dh150,723 per annum while Al Barari emerged as the most sought-after locality for villas with average asking rate of Dh798,374 annually.
source: khaleej Times