As the owner and CEO of CenCorp and CEO of Better Homes, Ryan Mahoney (Dubai, UAE) benefits from extensive knowledge and experience of the luxury real estate market in Dubai. This article will look at Dubai’s booming luxury property market.
Encouraged by positive economic performance across the UAE, high-net-worth individuals are increasingly setting their sights on both off-plan and ready-to-move-in family homes, keen to settle down in the city. Data from Dubai’s Land Department suggests a stark difference between quarter two of 2022 when compared with the same period the previous year, with the market having increased in value by a staggering 61.56%, with a 45.86% increase in sales volume.
In terms of sales volume, in the second quarter of 2022, the top three neighborhoods for luxury buyers were Palm Jumeirah at AED 4.9 billion, Downtown at AED 4.8 billion, and Business Bay at AED 2.2 billion.
In July 2022, a villa in Palm Jumeirah, Dubai’s world-famous man-made island shaped like a palm tree, sold for a staggering AED 302.5 million, or US $82.35 million, making history as the most expensive residential property transaction to date in the city. The property, which is known as Casa Del Sole, is situated on Frond G of Palm Jumeirah, a district that is home to numerous multimillion-dollar mansions and top luxury resorts like the Waldorf Astoria. Still under construction at the time of its sale, the blueprint for Casa Del Sole includes a 15-car basement garage, eight bedrooms, and 18 bathrooms. The sale was reported by Bloomberg, although the developer declined to identify the buyer.
Across the world today, luxury home buyers are investing in stable assets located in easily accessible locations capable of supporting their jet-set lifestyles. In particular, the ultra-wealthy are seeking out investment properties that provide a competitive environment for their businesses while still ensuring the safety and security of their families.
Following a strong 2021, Dubai’s luxury real-estate sector has maintained momentum, with real estate agents reporting that demand for luxury properties across the city remains strong, particularly for off-plan projects months or even years away from completion.
Real estate experts suggest that the current boom in Dubai’s luxury property market is attributable to far-reaching government reforms that have made it much easier for foreign investors to do business in the city. Spurred on by Dubai’s positive economic indicators and a thriving property market, high-net-worth individuals from all over the world are increasingly being enticed, with the city offering ready-to-move-in as well as off-plan projects for families keen to realize the enormous potential posed by starting a new life in the UAE.
