- Bin Mejren: The current results show strong momentum in the real estate sector, which is expected to continue throughout the remainder of 2018 and into 2019
- The real estate sector is preparing for an upsurge as infrastructure projects are set to be completed in line with Expo 2020 preparations
Dubai, United Arab Emirates, 15th April 2018: Dubai Land Department (DLD) has revealed that real estate transactions in Dubai for the first three months of 2018 (Q1 2018) totalled AED 58 billion through 13,759 transactions.
His Excellency Sultan Butti bin Mejren, Director General of DLD, commented: “The Dubai real estate market continues to show continuous growth, driven by general optimism and confidence in the real estate sector.”
Bin Mejren added: “Achieving almost AED 58 billion of transactions shows strong momentum in the real estate sector for Q1, and we expect this to raise the Q2 transaction index and continue to rally before the end of the year. Analysts and experts predict an upsurge as we enter 2019 with unprecedented strength, as many strategic infrastructure projects are due to be completed in Dubai in preparation for Expo 2020.”
Bin Mejren added: “These results have been achieved thanks to our commitment to our leadership's vision of achieving the highest levels of excellence and developing innovative services that enhance cooperation among investors. Dubai remains an attractive destination for investors seeking a safe return on investment, which is evident from the emirate's base of investors, who belong to more than 217 nationalities from all over the world.”
According to the report issued by DLD's Department of Real Estates Studies & Research, Q1 2018 saw a total of 9,092 sales transaction worth about AED 19 billion, 3,717 mortgage transactions worth over AED 30.6 billion, and 950 other transactions valued at AED 8,408 billion.
Assessing the top players in Dubai's real estate market, DLD has confirmed that GCC investors led the way, making nearly 2,500 transactions worth around AED 6 billion, while 1,067 investors from other Arab countries concluded 1,250 transactions worth more than AED 2 billion. Q1 also saw 5,041 investors foreign making more than 5,000 transactions with a total value exceeding AED 10 billion.
List of Top 10 Nationalities Investing
UAE nationals outnumbered all other nationalities including Gulf, Arab and foreign countries, totalling AED 4 billion through 1,587 transactions made by 1,264 investors. They were followed directly by the 1,387 Indian nationals who invested AED 3 billion through 1,550 transactions. Saudis came in third place with investments of nearly AED 1.3 billion, Pakistan and the UK followed on fourth in fifth place, and Chinese, Egyptian, Russian, Jordanian and Canadian nationalities ranked from the 6th to 10th respectively.
Areas in High Demand
In terms of sales, Business Bay topped the list with 973 transactions worth almost AED 2 billion, followed by Dubai Marina with 720 transactions worth AED 1.371 billion. Al Barsha South Fourth came in third place with 681 transactions worth AED 1.140 billion.
The other seven places went to Al Merkadh, Jebel Ali First, Al Hebiah Fourth, Al Warsan 1, Al Thunaya 5, Al Yelayiss 2, and the Palm Jumeirah.
In terms of mortgages, Business Bay listed 249 transactions worth more than AED 1.8 billion, followed by Al Thunaya 5 with 195 transactions worth AED 613 million, and Dubai Marina with 192 transactions worth AED 289 million. The following seven places went to Jebel Ali Al First, Nad Al Sheba 1, Al Barsha South Fourth, Al Thunaya 3, Burj Khalifa, Palm Jumeirah, Al Thunaya 4 respectively.
Real Estate Brokers and Permits
Brokers benefited from an increase in demand for Dubai properties and made up to AED 240 million in land, building and residential unit sales. The number of real estate permits issued reached 1,773 during the same period, while the number of real estate offices reached 2,165. According to DLD's statistics, Dubai is now home to a total of 6,177 real estate brokers.
During Q1, the level of investment from women was also exceptionally high, with 2,431 women making 2,780 investments exceeding AED 4.4 billion in value.