Dubai Real Estate Market Sets Record with 18,000 Sales in September 2024

Dubai’s property market achieved a historic high in September 2024, recording 18,038 property transactions and breaking the previous monthly record of 17,139 set in May. This milestone highlights sustained growth and confidence in the sector.

Residential transactions dominated the market, with 17,151 sales making up more than 95% of September’s total. Off-plan sales led the activity, accounting for 73% of all transactions, driven primarily by industry leaders Emaar, followed by Damac Properties and Sobha. Year-to-date figures reveal that Dubai's real estate market has nearly matched 2023’s full-year sales, recording over 131,000 transactions from January to September, a figure just 2% short of last year's record total.

With three months left in 2024, projections suggest a year-on-year growth of nearly 30%, potentially reaching a landmark 170,000 unit sales by year-end. "This unparalleled growth is a testament to Dubai's strategic vision and proactive government initiatives, reflecting a market evolution that goes beyond post-pandemic recovery,” stated Property Monitor. The ongoing surge is a remarkable indicator of Dubai's resilience and the strength of its real estate sector.

September 2024 marked another record month for transaction prices, with a 1.14% rise compared to August. The average property price per square foot reached AED 1,448, with median prices of AED 1.3 million for apartments, AED 2.76 million for townhouses, and AED 7 million for villas, according to Property Monitor. Additionally, mortgage activity surged, with transactions up 16.6% month-on-month as investors capitalized on lower interest rates.

Strong Pipeline of New Projects to Meet Demand

Dubai's real estate market is poised to welcome a robust influx of new properties over the next two years. Supported by a post-pandemic wave of project launches, Dubai is on track to deliver a record 90,000 new homes. Currently, 1,034 projects are under construction, projected to add 288,020 units to the existing pipeline. With over 99,779 new units launched in 2024, this year is on course to surpass the all-time high of 101,654 units set in 2023.

The coming years will see even more additions, with 41,800 new units expected to enter the market in 2025 and 48,400 in 2026. "Amid rapid growth, developers and contractors are facing rising pressures to streamline procurement, navigate logistics challenges, and manage geopolitical risks affecting major trade routes," noted Firas Al Msaddi, CEO of fäm Properties.

Dubai’s property sector continues to thrive, offering abundant opportunities for investors, end-users, and industry stakeholders alike. As the market evolves with high levels of demand and a steady flow of new developments, Dubai reaffirms its position as a global leader in real estate.