Record-Breaking $10 Billion Surge: Dubai Real Estate Market Booms in February 2024, MILK Real Estate Unveils Key Insights

  • March 5, 2024

Based on market data, February witnessed a significant 35% surge in sales compared to the prior year. Specifically, in February 2024, over 11,900 sales transactions were documented, indicating a remarkable year-on-year rise of more than 27%. Capitalising on the favourable trends observed in 2023, the overall transaction value skyrocketed to nearly AED36.6 billion ($10 billion), highlighting the robustness and vitality of Dubai’s real estate industry.

Key trends observed:

Property Preferences: Home seekers displayed a preference for apartments, with 59% showing interest in this property type, while 41% sought villas or townhouses. In the rental market, apartments were in high demand, with approximately 80% of tenants searching for such properties.

Furnished vs. Unfurnished: Most tenants seeking apartments preferred furnished properties, accounting for around 60.7%. In contrast, tenants looking for villa/townhouse rentals leaned towards unfurnished options, constituting about 55.5%.

Unit Size Preferences: One-bedroom apartments were the most sought-after, followed by two-bedroom units and studios. Similarly, in the villa and townhouse segment, three-bedroom units were in high demand.

Market Dynamics: Existing property transactions witnessed a significant year-on-year increase in both volume and value, with over 5,500 transactions recorded, representing a 23% increase in volume and a remarkable 46% increase in value. Off-plan transactions also experienced substantial growth, indicating a growing demand for such properties.

Top areas for property ownership and rentals included Dubai Marina, Downtown Dubai, Jumeirah Village Circle, Business Bay, and Palm Jumeirah, showcasing the diverse preferences of buyers and tenants.

In conclusion, February 2024 witnessed a remarkable surge in Dubai’s real estate market, totalling $10 billion, showcasing its resilience. Key observations emphasise the shift in preference from villas to apartments in key areas like Dubai Marina and Downtown Dubai. With a thriving market and increasing demand for off-plan properties, it signals promising prospects for investors and home seekers. Dubai’s evolving real estate landscape caters to diverse needs, reinforcing its global reputation as a hub for innovation and investment.