Prime Dubai residential values up 89% in 12 months as market outlook remains bright

Prime Dubai residential values up 89% in 12 months as market outlook remains bright

Dubai: Prime residential values in Dubai, which encompasses the neighbourhoods of the Palm Jumeirah, Emirates Hills and Jumeirah Bay Island have risen by 88.8% in the last 12 months, according to the latest analysis carried out by global property consultant, Knight Frank.

Faisal Durrani, Partner – Head of Middle East Research, said: “Prime residential values in Dubai continue to strengthen, growing by 29% in Q3 alone, fuelled by a persistent deluge of UHNWI individuals who are zeroing in on Dubai’s premier districts, in search of second homes. This trend marks a significant departure to the emirate’s two previous market cycles, where the overriding flavour of buyers was linked to buy-to-let or buy-to-flip purchases.

“This insatiable demand has fuelled villa price rises of over 100% in locations such as the Palm Jumeirah since the start of the pandemic. Elsewhere, ultra-Prime homes sales, i.e., homes priced at over US$ 10 million have also hit a fresh high. The first nine months of the year have registered 152 ultra-Prime sales, eclipsing last year’s all time high of 93. And in fact, 93 of these deals have taken place in Q3 alone.”

Of Dubai’s three Prime residential districts, the Palm Jumeirah, with an average transacted price of