Dubai real estate market predicted to grow by 2% in 2023 – Unique Properties says
Aggregate growth for next year is expected to be higher than what was recorded in six of the past 10 years
Unique Properties, a Dubai-based real estate agency, has predicted that Dubai’s prime residential market will experience the world’s strongest growth in 2023, with high-end properties in the city remaining in strong demand.
In a statement, Unique Properties said that prices are likely to end the year (2022) around 50% higher than in 2021. It added that Dubai’s prime residential market has been a global outlier with record price growth this year. It is poised to continue this trajectory into the new year with the UAE’s proven stature as one of the safest places in the world to live.
Down from the 2.7% growth rate that was predicted halfway through 2022, the emirate’s prime real estate sector is still projected to rise by 2% on average in 2023, and aggregate growth for next year is expected to be higher than what has been recorded in six of the past 10 years.
Despite global instability, rising inflation rates, and chatter of a looming recession, the upward momentum of Dubai real estate is supported by appealing incentives such as an extremely low rate of tax, long-term visas, and excellent connectivity.
Additionally, with the influx of GCC tourists who have been increasingly entering the region because of the Qatar World Cup, it is predicted that the UAE will see 40% growth in high-net-worth individuals (HNWI) residing in Dubai over the next decade, the statement continued.
Arash Jalili, Founder and Chief Executive Officer of Unique Properties, UAE HQ, said: “With the US dollar strengthening over the last six months, and the UAE dirham being fixed to its value, buyers from the UK and EU will continue to enjoy the benefit of relative affordability in Dubai’s real estate market as we move into 2023.
“November sales transactions in the UAE reinforce this notion as it was a record-breaking amount propped up by the well-being of the country’s economy. This trend should continue for the next year with Dubai properties being one of the most preferred long-term investment assets around the world,” he continued.
Jalili also highlighted the UAE’s deft handling of the pandemic, which has enabled a quicker recovery than that of most countries. He stated that the city is one of the more resilient economies in the world and citied experts who have predicted that it will grow by 4.3% in 2023 to become the fastest-growing economy in the Arabian Gulf.
“Dubai’s mainstream residential market is expected to contribute to this growth and simultaneously be a beneficiary by registering price increases of five to seven per cent by the end of this year and a similar rate of growth in the following year,” the statement concluded.
