Dubai’s real estate sector is set for further success this year, with a projected growth of 46% according to new research data from Realiste.
The company’s findings showed that property prices in Dubai grew by 20-40% over the last 12 months. Some areas saw even a bigger upturn – the Palm Jumeirah grew by 59%, and Trade Center First by 210%, the firm revealed.
Realiste is a proptech company based in Dubai; it was launched in the UAE and Saudi Arabia as part of its Middle East North Africa expansion in May 2022. It developed an AI-powered tool that enables investing in real estate in major capital cities, including New York, Abu Dhabi, Dubai, Riyadh, and London. The system also notifies the asset owners when it is the optimum time to buy or sell their properties, the statement explained.
In mid December 2022, the Dubai Land Department said the emirate’s real estate deals exceeded $2.5bn in a week.
This year, Dubai became one of the few beneficiaries of the massive geopolitical crises impacting the globe. It saw the biggest inflow of private wealth this year, as Russian entrepreneurs, investors, and top level professionals were seeking new homes. According to the analytics agency Dsight, more than 16% of Russian companies and entrepreneurs relocated to the UAE and Dubai, in particular, in the first half of the year.
The local real estate market also profited from the FIFA World Cup Qatar 2022 – Dubai became the main beneficiary outside of Qatar, due to its status as a tourist attraction and financial hub of the region, the firm said.
“Dubai will remain attractive to foreign buyers who are seeking to shield their assets. It will strengthen its position as the geopolitical instability and energy crisis grow. As a result, there will be a further boost in demand for local property and the market in 2023,” Alex Galtsev, CEO of Realiste told Khaleej Times.
Later in December 2022, Unique Properties said Dubai’s real estate market would grow by 2% in 2023.
Realiste conducted research based on data collected over 12 months between December 2021 and December 2022. Analytics includes the trends of Dubai’s real estate market: the areas of the city showing the most significant increase, the average cost of properties across the city, and the most high-priced or low-priced locations. The analysis is based on Realiste artificial intelligence technology and provides forecasts for the development of Dubai’s housing market in 2023, it concluded.
Late in December 2022, the Dubai Land Department unveiled its new strategic plan for the 2023-2026 period.