Dubai Real Estate Achieves New Heights in Q3

Dubai has been listed as one of the three best cities for real estate along with Miami and Singapore

 ZāZEN Properties, a homegrown sustainable property developer in the UAE, cites that Dubai’s real estate market is fairly valued despite an ongoing surge in demand for both renting and buying. Prices in the emirate have been soaring since 2021 with the cosmopolitan city recording annualized real price growth of 14.6% and annualized rental price growth of 20.3% from mid-2022 to mid-2023; rates that are among the highest worldwide.

Dubai’s real estate sector has maintained its momentum with Q3 results reinforcing this notion. The Dubai Land Department (DLD) reported 31,216 transactions from July to October, comprising 23,042 units, 3,158 buildings, and 5,016 plots. These figures convincingly exceed the 25,503 sales that were registered during the same period in 2022 to reflect 22% Year-over-Year (YoY) growth.

When comparing the AED 97.5 billion in value of sales transactions that were logged this past quarter to the AED 69.5 billion during the same time last year, a growth of 40% was realized. Furthermore, Dubai witnessed transactional growth of 6% when comparing Q3 of 2023 to Q2 this year. Madhav Dhar, ZaÌ„ZEN Properties’ COO and founding member, attributed Dubai’s upward real estate trajectory to several factors including the cosmopolitan city’s ever-solidifying reputation as a geopolitical safe haven that is attracting overseas investments and increased emphasis on sustainable developments in the emirate.

Madhav Dhar said, “With the emirate ranked as a top 10 city to live in, migration from overseas is an ongoing trend. Dubai's projected population growth of 5.8 million by 2040, combined with streamlined visa regulations, a favorable business environment, and a secure, luxurious lifestyle, are all factors driving international interest in the region and contributing to the growth in the real estate market. As the UAE leads in sustainable development and establishes itself as a distinct global entity, the emirate's real estate market is poised for further growth. This is why Dubai is a prime destination for real estate, particularly its current and anticipated fair market value and, compared to other real estate markets, it has the second lowest bubble risk in the world.”

While Dubai aims to transform its real estate landscape and usher in a new era of sustainability, ZāZEN Properties is playing a key role in future-proofing the economy. The homegrown brand’s latest development, ZaÌ„ZEN Gardens in Al Furjan, will become the first LEED Gold-certified and Well-Being integrated residential development in April 2024. Annually, it will reduce 469 metric tonnes of carbon emissions and generate close to 390,000 kWh of onsite solar electricity, which is about 30% of the common area requirement yearly. ZāZEN Properties is committed to continuing to add to the sustainable landscape of Dubai, providing a better future for the UAE and its residents.