There were 30,903 residential real estate transactions in the United Arab Emirates’ largest city from January to May.This was the highest figure for the same time period since 2009. According to a CBRE survey released Monday, there were 5,542 residential real estate transactions in May, up 33% year on year.
Rents are skyrocketing in Dubai. Apartment rentals increased 18.3 percent year on year in May. According to CBRE, the average monthly apartment rent in Dubai in May was more than $7,500.
According to the Abu Dhabi-based news site The National, real estate brokers in Dubai may earn up to $200,000 in monthly commissions.
According to Statista, real estate is a significant sector of the UAE’s economy, accounting for roughly 5% of the country’s GDP.
In May 2022, Dubai had 6,652 sales transactions totaling Dhs 18.4 billion, the biggest monthly volume in the last decade.
In May, Dubai saw a 51.60 percent rise in transaction volume and a 66.14 percent increase in value, according to statistics from Mo’asher, the emirate’s sales and rental performance index created by the Dubai Land Department (DLD).
The year 2012 is the base year for Mo’asher, which was launched by DLD and Property Finder together. The base month for the monthly index is January 2012, and the base quarter for the quarterly index is the first quarter of 2012.
Mo’asher had a 1.296 monthly index for sales and a Dhs1,261,379 index price in May 2022. The apartment monthly index was 1.368 with a Dhs1,175,363 index price, while the villa/townhouse monthly index was 1.338 with a Dhs2,150,469 index price.
It also registered a 0.962 monthly index for rent and a Dhs 52,013 index price. According to official news agency WAM, the apartment monthly index recorded 0.966 and an index price of Dhs 47,910, while the villa/townhouse monthly index recorded 0.867 and an index price of Dhs 132,401.
The secondary market for sales transactions accounted for 58.55 percent of volume and 66.29 percent of value, indicating strong demand for ready-to-move-in and off-the-plan properties, particularly apartments, which accounted for 82.34 percent of total transactions and villas and townhouses for 17.66 percent.
The emirate had 34,126 transactions in the first five months of this year, compared to 20,713 at the same time last year. This is an increase of 64.76 percent from the same time last year. Meanwhile, in May 2022, there were 35,327 registered leases, with 59.6% being new leases and 40.4 percent being renewals.
Annual contracts accounted for 80.9 percent of total contracts, while non-annual contracts accounted for 19.1%. Furthermore, registered leases for residential purposes accounted for 73.8 percent of total contracts, while commercial leases accounted for 25.3 percent.
According to Ejari Registrations, the top areas for the most rental contracts in May 2022 were Jabal Ali First (1,398 contracts), Al Warsan First (1,285), Business Bay (1,029), Al Barsha South Fourth (958), Nadd Hessa (957), Marsa Dubai (946), Muhaisanah Fourth (934), Al Nahda Second (893), Al Thanyah Fifth (798), and Al Karama Fifth (798). (776).
Dubai saw the greatest value of real estate sales transactions in 12 years in 2021, with Dhs151.07 billion worth of homes sold over the course of the previous year.