The total volume of transactions in Dubai’s residential market reached 6,342 in April 2022, up 43.0% from a year earlier. Over this period, off-plan sales increased by 32.4% and secondary market sales by 51.2%. Total transaction volumes in the year to date to April 2022 reached 25,351, this is the highest total ever recorded in the first four months of the year.
Average prices increased by 11.0% in the year to April 2022. Over this period, average apartment prices increased by 9.6% and average villa prices by 20.4%. As at March 2022, average apartment prices in Dubai stood at AED 1,097 per square foot and average villa prices stood at AED 1,291 per square foot. Compared to the highs witnessed in late 2014, these rates per square foot are 26.3% and 10.6% below the peak, for apartments and villas respectively.
In the apartments segment of the market, Downtown Dubai recorded the highest average sales rate per square foot at AED 2,034. Whereas in the villas segment of the market, Palm Jumeirah recorded the highest average sales rate per square foot at AED 3,055.
Average rents in the 12 months to April 2022 have increased by 16.2%, with average apartment and villa rents increasing by 15.1% and 23.5% respectively. As at April 2022, average apartment and villa rents stood at AED 81,653 and AED 244,836 per annum respectively.
In the rental market, the highest average annual apartment and villa rents respectively were found in Palm Jumeirah, where asking rents on average were AED 205,816, and in Al Barari, where asking rents on average were AED 833,103.
Taimur Khan, Head of Research – MENA at CBRE in Dubai, comments:
“Despite growing concerns around the global macroeconomic backdrop, namely higher financing costs and high rates of inflation, activity in Dubai’s residential market continues to remain at historic highs. Total transaction volumes in the year to date to April 2022 were the highest ever recorded in the first four months of the year, at 25,351. In the year to April 2022, while the rate of price growth has tapered slightly (+11.0%), rents are increasing at their fastest rate (+16.2%) since October 2014.”