6 May 2021
Check out the latest real estate news, reports by major institutions, and significant regulatory announcements made by the UAE Government and other governing authorities during April 2021.
Real Estate News #1
W Capital: nine factors contribute to Dubai real estate growth in Q1 2021
The value of real estate transactions in Dubai increased 44% in the first quarter of 2021, DLD figures show. Meanwhile, W Capital Chairman Walid Al Zarouni says nine main factors have supported the growth of real estate transactions value in Dubai during the first quarter of 2021. Apart from investment incentives provided by the authorities and government initiatives in support of population growth, a strong vaccination drive to combat Covid-19 also helped boost the direct demand for real estate in the emirate. The other main factors include new visa residency laws, and the upcoming Expo 2020 Dubai event. Read more here.
Real Estate News #2
Property Monitory: Buoyancy returning to Dubai real-estate sector
The Dubai property market continued to strengthen during Q1 2021 to record the first yearly price increases since 2015. According to data from Property Monitor, realty prices increased by 1.3% in March 2021 since February 2015, up to AED873 per sq. ft. According to Property Monitor, the figures confirm a strong reversal of the downward trend of recent years. As robust market growth continued, transactions in March were at a 10-year high. The report says that the last time rates were at this level was in October-November 2012. The latest reading marks a considerable sea-change in market sentiment and performance. Read more here.
Real Estate News #3
Sharjah posts AED6.7b real estate deals in Q1 2021: Real Estate Registration Department
According to a recent report from the Real Estate Registration Department, the real estate sector in Sharjah saw a volume of transactions valued at AED6.7b during the first quarter of 2021. The emirate registered a growth rate of 84.9% in Q1 2021, compared with Q1 2020, the report says. Investors from 43 nationalities and different countries were involved in real estate transactions in Sharjah during this time. Meanwhile, the total number of transactions executed in the past three months reached 20,448 transactions, with an increase of 10.3%. In addition, the total traded area in the emirate reached 60.3 million sq. ft. Read more here.
Real Estate News #4
Dubai records 27% surge in property deals in Q1 2021
According to data from the Dubai Land Department, real estate transactions in Q1 2021 achieved significant growth of 27% and 47% compared with Q1 2020 and Q1 2019, respectively. The figures were published in the monthly bulletin by DLD Real Estate Updates: March 2021. They highlighted the continued attractiveness of the real estate sector to new investors, according to Khaleej Times. Data shows that 5,683 new investors entered the market in Q1 2021, representing 64% of the total number of investors during the same period. The figures revealed the continuity of achieving positive results in 2021, thereby enhancing the trust of local and international investors in the attractive and vibrant real estate environment in Dubai, according to the DLD bulletin. Read more here.
Real Estate News #5
Dubai property investors hold back asset sales as prices increase.
According to analysts, property investors continue to hold back their assets from selling as prices show improvement in recent figures revealed by the Dubai Land Department. As the property prices recover in Dubai, investors continue to hold back the sale of their assets to bargain for a better price. The signs of recovery in the real estate sector are underway. Moreover, the newly announced regulatory measures, local availability of the vaccine, and the upcoming Expo 2020 festivities will help further revive the market during this financial year, Khaleej Times reports. Meanwhile, analysts at real estate consultancy Colliers says, “We have seen a transition into a seller’s market”. Over the first three months, homeowners are holding out for a “better price”, and “an element of greed is now beginning to set in with owners’ expectations.” Read more here.