Dubai: Luxury properties continue to shine in 2023

Dubai: Luxury properties continue to shine in 2023

The luxury property segment in Dubai will continue to climb this year as prices are expected to sustain an upward trend but at a slower pace due to rising demand from high net-worth individuals (HNWIs), tight supply and fewer launches of new developments, experts say.

Analysts, developers and market specialists said the market for luxury homes reigned the segment and is expected to continue to do so in 2023 as well.

Referring to latest statistics, they said that the price of luxury properties witnessed a year-on-year growth of nearly 89 per cent during the third quarter of 2022 and the similar upward trend is expected to continue this year.

A recent report from Knight Frank also predicts that the luxury property market will grow further in 2023 by 13.5 per cent. This is a record in itself, as no other global property market is expected to touch double-digit mark this year.

Haider Tuaima, director and head of Real Estate Research at ValuStrat, said there is a handful number of new luxury projects announced last year. And given the current high demand, the luxury segment of the market appears to be undersupplied.

“Currently, there is a limited number of recently listed properties worth over Dh40 million.