RAK Property Prices Surge 25% in Eight Months

UAE-based real estate agency Metropolitan Premium Properties sees studios and one-bedroom units experiencing the highest demand

Ras Al Khaimah’s (RAK) property market is experiencing a significant boom, with prices rising by 20-25% in the past eight months, according to Metropolitan Premium Properties (MPP), a full-service real estate agency and part of the Metropolitan Group. The trend is particularly evident in the rapidly developing Al Marjan Island, where launches are occurring regularly and prices are escalating with each new phase launch.

The market is experiencing a surge in activity with approximately one or two new property launches each week for the last three months, bringing more diversity to the market, from high-end branded properties to more affordable options.

According to data from MPP, studios and one-bedroom units are experiencing the highest demand, driven by investors seeking lucrative holiday and short-term rental opportunities. Prices of studios have jumped on average 10-15% in the last quarter, while one-bedroom units have seen a rise of at least 5-10%.

 The surge in property prices in Ras Al Khaimah reflects the growing attractiveness of the emirate as a real estate investment destination. With ongoing developments and increasing demand, we anticipate prices to rise by 50% by the time the casino opens. For investors looking to take advantage of the market the time to act is now.

Maxim Novikov, Head of RAK Branch at Metropolitan Premium Properties 

Larger properties are also attracting significant interest. Branded apartments, three-bedroom units and waterfront villas priced at AED 7 million and above are popular choices for buyers seeking personal residences or secondary holiday homes.

Attractive Destination

One Metropolitan customer who purchased a two-bedroom apartment in Mina Al Arab in early May has already seen the unit’s value increase by AED 500,000, a 24% increase in just a few weeks. To sustain momentum through the typically slower summer months, developers are rolling out promotions aimed at enticing buyers. These include appealing post-handover payment plans, waived registration fees and other attractive deals valid until the end of August.

Commenting on the growth in the market, Maxim Novikov, Head of RAK branch at Metropolitan Premium Properties, said, “The surge in property prices in Ras Al Khaimah reflects the growing attractiveness of the emirate as a real estate investment destination. With ongoing developments and increasing demand, we anticipate prices to rise by 50% by the time the casino opens. For investors looking to take advantage of the market the time to act is now.”

The hottest-selling areas currently include Al Marjan Island, Mina Al Arab and Al Hamra Village, with projects featuring private beaches experiencing the highest demand. Al Marjan Island remains the top choice for pure investment, offering high potential returns while Al Hamra Village and Mina Al Arab are popular with investors seeking properties for personal use. Additionally, projects like JW Marriott Residences are witnessing significant activity, with a recent bulk deal closed by MPP involving six units for over AED 20 million.

According to MPP, the RAK market is witnessing strong interest from investors, particularly from the US, UK, Europe and CIS and a growing interest from Chinese investors. The Metropolitan Group in the UAE includes two full-service real estate agencies: Metropolitan Premium Properties (Dubai) and Metropolitan Capital Real Estate LLC (Abu Dhabi). The group also has Metropolitan Consulting FZE, a supporting company that provides personal and business legal services in the UAE.