Market uptick as Dubai records sales transactions worth $2.97bn in March 2021
Figures represent a growth of 23% in terms of transaction numbers and a 47% increase in value compared to February 2021
In March 2021 it was reported that 4,643 real estate sales transactions worth $2.97 billion have occurred over the last 16 months, representing a growth of 23% in terms of transaction numbers and 47% in terms of value compared to February 2021, according to the 13th edition of Mo’asher, Dubai’s official sales price index, launched by Dubai Land Department (DLD), in cooperation with Property Finder.
According to a WAM report, tQ1 2021 had 11,753 sales transactions worth $6.84 billion. In total, Q1 2021 had 6% more real estate sales transactions than Q4 2020, 16% more for secondary properties and 7% less for off-plan properties. When compared to Q1 2020, Q1 2021 had 15% more total sales transactions, 70% more sales of secondary properties and 29% less for off-plan properties.
In March, 63% of sales transactions were for secondary/ready properties, the highest since June 2015, and 37% were for off-plan properties. Apartment sales accounted for 71% of the total transactions and 29% were for villa/townhouse sales.
Of note, the volume of sales transactions saw the off-plan market transacted 1,713 properties, worth a total of $792.2 billion, and the secondary market transacted 2,930 properties worth $2.18 billion. Comparing this to February 2021, the number of off-plan transactions in March increased by 37%, while secondary/ready property transactions increased 16%.
In March, 63% of sales transactions were for secondary/ready properties, the highest since June 2015, and 37% were for off-plan properties. Apartment sales accounted for 71% of the total transactions and 29% were for villa/townhouse sales.
For the month of March, the average sales transaction value for off-plan properties increased month-on-month by 24.6%, and for secondary properties it increased 21.5%. The total value of off-plan properties, when comparing March 2021 to February 2021, increased by 70%, while secondary properties increased 41%.
According to proprietary Property Finder demand data, in the villas/townhouses sector, 11.5% of all sales in March 2021 took place in Mohammed bin Rashid City, followed by Tilal Al Ghaf (10.1%), Dubai Hills Estate (9.9%), Nad Al Sheba (8.2%) and Rukan (5.8%). Looking at apartments, 10.7% of all sales transactions took place in Business Bay, followed by Dubai Marina (9.3%), Jumeirah Village Circle (8%), Jumeirah Lakes Towers (7.6%) and Palm Jumeirah (7.2%).
The top areas of interest, in terms of searches for villas/townhouses in March 2021, were Dubai Hills Estate, Arabian Ranches, Palm Jumeirah, Mohamed bin Rashid City and Damac Hills, it added.
As for apartments for the same period, the top areas of interest were Dubai Marina, Downtown Dubai, Palm Jumeirah, Business Bay and Jumeirah Village Circle, it said.
Overall, the monthly index recorded 1.085 and an index price of $276,760. Apartments monthly index recorded 1.129 and an index price of $257,278. The villas/townhouses monthly index recorded 0.982 and an index price of $475,180.
For Q1 2021, the index recorded 1.095 and an index price of $274,952. Apartments monthly index recorded 1.133 and an index price of $257,305. The villas/townhouses monthly index recorded 0.922 and an index price of $487,315.
The base year for Mo’asher is 2012 and the base month for the monthly index is January 2012, with the base quarter for the quarterly index being Q1 2012.
