Dubai property: The Russia factor

Dubai property: The Russia factor

Entry of investors from Russia led to 47% rise in property costs, data shows

Published: Sun 20 Aug 2023, 9:17 PM

A major factor in the surge in Dubai’s property prices has been a huge influx of Russian investors into the sector, data shows.

The UAE, especially Dubai, has been an attractive destination for wealthy investors and businessmen from across the globe for years now. These people of great wealth come to Dubai looking for the famed stable market and a life of luxury.

While Dubai is already brimming with and accustomed to expats where nearly 90 per cent of the UAE’s roughly 10 million inhabitants are foreign nationals, the Russian wave that came into the UAE in 2022 took the city by storm.

The Dubai real estate market remained relatively stable until Russian billionaire investments in real estate led to a 47 per cent increase in property costs, data shows.

Within the first few months of 2022, Dubai had its most prosperous real estate market in years. According to the Dubai Land Department, sales in the sector increased by 45 per cent year on year in April 2022 and 51 per cent in May.

In 2022, Dubai recorded more than 86,000 residential sales transactions, breaking the