Makani Marketing is excited to share insights from Knight Frank’s 2023 Premium Prediction report, forecasting record-breaking growth in Dubai’s prime residential property market this year. The study, conducted by the renowned London-based real estate agency, predicts a remarkable surge of 13.5% in residential property prices, positioning Dubai as the global leader in real estate growth for 2023.
The driving force behind this unprecedented growth is the robust interest in off-plan real estate, particularly from high-net-worth individuals and overseas buyers. Off-plan properties, which refer to ongoing construction projects, have become increasingly popular due to their potential for high returns and attractive pricing structures.
In 2022, off-plan sales dominated Dubai’s real estate landscape, accounting for 55% of the total sales volume and 56% of the total sales value. This surge marked a significant increase from the previous year, highlighting the growing confidence and investment activity in the Dubai property market. The Dubai Land Department reported over 88,000 transactions in the first 11 months of 2022, reflecting a substantial 60% growth compared to the same period in 2021.
The momentum continued to build as off-plan residential real estate sales in November 2022 soared to a staggering $3.7 billion, reaching a two-year high. Investors showed a strong preference for apartments, with nearly 8,000 transactions recorded, marking a remarkable 74% increase from November 2021.
The Knight Frank report underscores the resilience and attractiveness of Dubai’s real estate sector, particularly in the high-end segment. The city’s strategic location, world-class infrastructure, and vibrant lifestyle offerings continue to draw international interest, driving demand and contributing to price escalations.
Looking ahead, Makani Marketing anticipates further growth in Dubai’s real estate market, especially in the high-end segment. The rising international demand, coupled with ongoing developments and investor confidence, sets the stage for Dubai to shatter all previous records in real estate prices this year.
Investors and homebuyers can expect a dynamic market environment with a plethora of investment opportunities across residential properties. The trend towards off-plan purchases is likely to continue, offering investors the advantage of securing properties at competitive prices before completion, thus maximizing potential returns.
As Dubai continues to position itself as a global hub for real estate investment and innovation, Makani Marketing remains committed to providing expert guidance and comprehensive solutions to clients navigating the dynamic Dubai property market. Whether buying, selling, or investing, our team is dedicated to ensuring a seamless and rewarding real estate experience for all stakeholders.
