Analytical review of the residential real estate market in the UAE

Residential real estate in Dubai

·       The volume of supply in Dubai has decreased slightly over the year, developers have reduced the pace of sales starts in new projects. According to the Kalinka Ecosystem, 17.7 thousand lots were announced in the 1st quarter of 2024 (-1% compared to 2023)

·       Despite a slight decrease in the number of announced lots, the actual volume of residential real estate commissioning actually decreased by 2 times. So, in the 1st quarter of 2023, 7.3 thousand lats were introduced, which is -46% less than in the same period of 2023

·        In the 1st quarter of 2024, about 50 new projects entered the Dubai market (including new queues in previously launched projects), which is 15% less than in the 1st quarter of 2023 (59 launched projects). Most of the projects are represented by the developer Emaar

·       The most popular projects planned in the 1st quarter of 2024 include Bay Villas, Autograph Collection, Farm Gardens 2, Mercedes-Benz Places, Sunrise Living, Habtoor Grand Residences, District One West, Woodland Residences. Charter tickets – from 3.5 million dirhams UAE.

·         The average transaction budget for the 1st quarter of 2024 increased by 4% compared to the 1st quarter of 2023 and amounted to 2.9 million AED, and the average transaction budget in the primary market decreased by 11% compared to the 1st quarter of 2023 and amounted to 2.1 million AED per lot

·        The price of 1 sq. m. The number of apartments on the primary market at the end of the 1st quarter of 2024 amounted to 17.5 thousand AED, the unit price of villas and townhouses reached a record high at the end of the 1st quarter of 2024, reaching 13.3 thousand. AED per 1 sq. m.

Residential real estate in Abu Dhabi

·         In the 1st quarter of 2024, the total number of transactions decreased by 21% compared to the 4th quarter of 2023. The decrease in demand in the market is due to the sale of liquid lots at the end of 2023

·       In the 1st quarter of 2024, about 10 new projects entered the Abu Dhabi market (including new queues in previously launched projects), most of which are represented by the developer Aldar Properties (30% of projects). Kohana Development and LEAN Development are also active (sales started in 5 new projects in the first quarter of 2024)

·        The most attractive projects launched in the 1st quarter of 2024 include Vista Del Mar, Sama Yas, Gardenia Bay II (location – Yas Island). Jubail Terraces, Bada Al Jubail (location – Jubail Island). Starting budgets – from 800 thousand AED

·         At the end of the 1st quarter of 2024, Abu Dhabi saw an increase in prices for villas, townhouses, while prices for apartments and apartments were restrained:
The average budget of apartments/apartments in the primary market amounted to 1.7 million AED (-7% for the quarter and +14% for the year)
The average budget of villas, townhouses and duplexes in the primary market amounted to 6.4 million AED (+17% for the quarter and +40% for the year)

·        In total, 2,827 transactions were concluded in Abu Dhabi in the 1st quarter of 2024 (-21% for the quarter and +7% for the year), according to analysts of the Kalinka Ecosystem based on data from the DARI digital ecosystem with the support of the Department of Municipalities and Transport (DMT)

 

Residential real estate in Ras Al Khaimah

·        In the 1st quarter of 2024, several new projects were presented on the market, including: Mantas Bay, Quatro del Mar, Granada Villas 2, Al Hamra Embankment, Cala del Mar

·        In general, in the emirate, according to analysts of the Kalinka Ecosystem based on data from the Government of Ras Al Khaimah, 733 real estate transactions were concluded in the 1st quarter of 2024 (+15% to the 1st quarter of 2023) for 539 million AED (-9% year-on-year)

·       The average budget of a sought-after apartment at the end of March 2024 amounted to about 637 thousand. AED (+24% per year); the average budget of a sought-after villa at the end of March 2024 was 1.7 million AED (+11% per year)

·         The most popular areas of Ras Al Khaimah among property buyers: Al Jazeera Al Hamra, Al Marjan, Hayat Island

 

Residential real estate in Sharjah

·         The Emirate of Sharjah has a high investment potential: a favorable business environment (support for the Sharjah Investor Service Center, several free economic zones on the territory of the emirate); transport accessibility; growth of the startup industry; purchase of real estate on attractive terms

·           In the 1st quarter of 2024, the value of the residential real estate sector in Sharjah, based on data from the Sharjah Real Estate Registration Department, reached 10 billion AED, which is 67% more than in the same period last year

·         Residential transactions accounted for the largest share - 2,242 transactions, which is 80%, followed by commercial transactions - 254, which is 9%, and industrial transactions - 237, which is 9% of the total number of transactions. Finally, agricultural transactions (38 transactions) account for 1% of the total number of transactions

·        Investors from 94 countries purchased real estate in Sharjah in the 1st quarter of 2024. Most of the real estate in Sharjah was purchased by citizens of the following countries: India (683 transactions), Syria (484 transactions), Pakistan (275 transactions), Jordan (227 transactions)