BackDubai's real estate market concluded 2022 on a positive note, and this upward trend has persisted into the current year, driven by an influx of wealthy foreign buyers targeting luxury properties in the bustling metropolis.
In January, Dubai's residential market recorded a total of 9,229 transactions, signifying a 69.2% increase compared to the same period last year, as reported by real estate group CBRE. Average residential prices in the city rose by 10.6% over the year through January, with average apartment prices growing by 10.3% and average villa prices surging by 12.9%, the report highlighted.
Mark Castley, CEO of Dubai-based brokerage LuxuryProperty.com, offered a straightforward prediction for 2023: "The market will maintain a steady upward trajectory."
Castley cited recently implemented legislative reforms that have simplified property ownership and business establishment in Dubai, including lowered buying thresholds for obtaining the sought-after golden visa, as key drivers. "Investor confidence has been bolstered, as evidenced by the increased transaction volume," he stated.
Luxury residential developments in Dubai, particularly branded residences, have garnered the attention of high-net-worth buyers. Consequently, developers are launching more properties associated with hotel chains or luxury brands this year. By the end of 2022, Dubai boasted 71 branded residence projects, with an additional 42 branded residences currently under construction, as previously reported by Mansion Global.
Branded and serviced residences have always held sway amongst global investors and even end users. The combination of a high-quality property backed by the design sensibilities and reputation of a well-known brand create a unique allure, which has resulted in increased demand over time. Developers, for their part, recognise the value of serviced properties in the market and have unveiled several new projects with a truly five-star pedigree. Noted global hospitality group The Dorchester Collection made its first foray into Dubai with One at Palm Jumeirah, and now is involved a total of four projects in the city, including The Dorchester Collection Residences, as well as Orla And Eva - both of which are serviced by the brand.
A fuller picture of Dubai’s expected growth in 2023 can be found in Mansion Global, who also take a look at some of the most exciting off-plan projects launched this year. You can find the full article by clicking here.
