Dubai’s prime residential market grows at highest pace globally

Dubai’s prime residential market grows at highest pace globally

Dubai's residential market is no longer driven by speculative activities but by genuine end-users as the prime residential segment has grown at the highest pace in the world in the last one year, say analysts.

The emirate’s mainstream real estate market prices are up 13 per cent year on year, but still 15 per cent below the 2014 peak. However, some pockets have exceeded the 2014 level, according to global real estate consultancy Knight Frank.

“Prime residential prices rising by almost 55 per cent in the last 12 months are the highest level of growth of any prime residential market in the world, driven by ultra-high net worth individuals buying luxurious properties in Dubai,” said Faisal Durrani, partner and head of Middle East research.

The emirate’s luxury real estate market has seen unprecedented growth with record-setting deals in the past one-and-a-half year. The emirate has seen the most expensive properties being sold, with one of them on Palm Jumeirah going for Dh600 million. Meanwhile, this record is set to break soon as a new ultra-luxury apartment in Bugatti Residences by Binghatti has been put on sale for Dh750 million.

The inflow of millionaires after the pandemic has driven demand for luxury properties across all