Recent data found by Property Finder, the leading property portal in the MENA region, revealed key figures on Dubai’s consistently flourishing property market. According to Property Finder’s data, March 2023 real estate transactions recorded around 45% YoY increase in volume by crossing 12,000 sales transactions compared to 8,344 in March 2022.
The value of transactions witnessed a remarkable increase, surpassing over AED 34.2 billion, an increase beyond 53% compared to the same month last year. In terms of value, the transactions for existing properties witnessed an increase of over 34% YoY, reaching over AED 21.6 billion compared to AED 16.1 billion in March 2022, recording the highest volume and value for the month of March in a decade. Furthermore, the data revealed updated figures showing a significant evolution in property preferences for both owners and tenants.
According to Property Finder’s data for March 2023, 59.7% of people who desire to own property are looking for an apartment, while 40.3% are interested in villas/townhouses. In March 2023, there was an increase in the percentage of investors or home seekers looking for apartments, rising from 57.2% in March 2022 to 59.7%. Conversely, those searching for Villas/townhouses decreased by 2.5%, dropping from 42.8% to 40.3%. Among home seekers, the most commonly searched apartment size was two bedrooms, accounting for 34%, followed by one-bedroom apartments at 32%.
Additionally, in the rental segment, 79.8% of tenants search for apartments and 20.2% look for villas/townhouses. Around 63.8% of the tenants who are looking for apartments for a longer stay prefer furnished properties, while 34.4% were searching for unfurnished apartments. Unlike the tenants who can afford to rent a villa/townhouse, approximately 52.1% were looking for unfurnished units, while 46.8% were looking for furnished villas/townhouses.
Around 33.3% of the tenants were looking for one-bedroom units in March 2023, followed by two-bedroom units, which presented 30.4% of the tenants’ preferences, while 29.4% were looking for Studios. For Villas/Townhouses, 42% of tenants were primarily looking for three-bedroom units, while 35.5% were searching for four-bedroom or larger options.
Off-plan transactions significantly supported Dubai’s real estate market uptrend in March, accounting for 52.8% of the total sales transactions and 36.8% of the total transaction value. The volume of off-plan property sales also surged by 95% YoY, with over 6,400 transactions recorded, compared to 3,287 in March 2022. Existing property transactions saw a YoY increase of approximately 13% in volume, with over 5,700 transactions recorded. The value of these transactions also experienced a surge of around 34% YoY, reaching around AED 21.6 billion, compared to AED 16.1 billion in March 2022.
According to Property Finder’s proprietary data, the top searched areas in March 2023 for rented apartments continued to include Dubai Marina, Downtown Dubai, Business Bay, Palm Jumeirah, and Jumeirah Village Circle. Dubai Hills Estate, Palm Jumeirah, Arabian Ranches, Damac Hills, and Mohammed Bin Rashid City were the most preferred for those looking to own/rent villas/townhouses.
For the off-plan market In March, Dubai Creek Harbour accounted for approximately 12% of the total transaction value and 10% of the total number of sales. Following closely behind, Dubai Marina represented approximately 11.7% of the sales value and only 3.7% of the total sales. On the other hand, Jumeirah Village Circle (JVC) ranked third, comprising around 18.4% of the total sales in March, and only 7.7% of the total transaction value.
Dubai’s property market continues to maintain momentum in its sales transactions with March 2023’s accelerated market performance adding to February 2023’s record 9,000 sales transactions and sustained growth in market value.
Scott Bond, UAE Country Manager at Property Finder said:“March 2023 has recorded an interesting spike in both demand and value for the UAE’s thriving property sector. We have seen the emergence of new consumer preferences such as a growing incline towards ownership, with an equally sustained growth within the rental market. We continue to observe and deliver upon the nation’s fast-evolving property sector, with a positive outlook for the coming months. As a trusted go-to marketplace for homeseekers, we look forward to supporting this growth with our wide range of data-backed tools and features, designed to get people living the life they deserve.”
