In 2023, Dubai’s real estate sector witnessed robust growth, contributing significantly to the UAE’s overall market, which soared to Dh455.7 billion in sales. The off-plan segment, particularly resilient, played a pivotal role, with demand consistently surpassing supply, buoyed by Dubai’s rapid population growth and a flourishing tourism sector. Notably, off-plan sales transactions surged by 59.4%, reaching 68,783, marking the segment’s strongest performance to date.
The recent move to waive the Dh1 million down payment for the golden visa is expected to attract thousands of investors, stimulating the economy and bolstering the real estate sector’s value. In Dubai, off-plan transactions dominated the market, comprising 65% of total sales value in Q3 2023, amounting to Dh13.62 billion.
Analysts attribute the resurgence of Dubai’s off-plan market to strong governmental initiatives, investor interest, and innovative technologies like virtual reality property tours and blockchain, which enhance transparency and efficiency. Rising mortgage rates have shifted investor preference towards off-plan properties, as the costs associated with servicing mortgages have surged, impacting net yields on ready properties.
Overall, the outlook for Dubai’s off-plan real estate sector remains optimistic, with experts anticipating sustained growth driven by government policies, investor sentiment, and technological advancements, presenting a compelling investment opportunity amidst changing market dynamics.
Source : https://www.khaleejtimes.com/business/dubais-off-plan-boom-propels-uae-realty-sales-to-dh455-7b