Dubai property market on fire as no end in sight for rising prices

Dubai’s property market is on fire as global investors flock to the Middle East luxury capital.

Dec 05, 2023 | By

According to figures from July, Dubai residential property prices in the year to June 30 rose at their fastest in almost a decade, climbing by 16.9%, while average rents jumped by 22.8%, according to property consultancy CBRE.

Known for its record breaking architecture from Burj Khalifa to the man-made Palm Jumeirah, Dubai has become one of the world’s most sought-after property destinations.

Dubai based Luxury Address is growing as fast as the Dubai market. Its founder, Yasin Valimulla, said: “There is a huge demand, not least from the newer markets such as the UK, Russia and Italy. They see the potential growth here and having a property in the offshore market is extremely appealing, not least in a city as cosmopolitan as Dubai, a regional business hub and a great holiday destination.”

The real estate company specialises in beachfront communities such as Palm Jumeirah, Dubai Beachfront, Bluewaters, Jumeirah Bay and Dubai Marina. However, there is a growing demand from the high net worth market in branded residences such at Atlantis The Royal, W Residences, One Palm and Orla by Dorchester collection.

“Our focus is prime villas, penthouses and apartments but Dubai offers such a diverse portfolio that really, there is a vast range of options in terms of property type and lifestyles,” he added.

Opened in May 2023, the timing could not be better for Luxury Address which is going from strength to strength with its team offering years of global market insights.

The average apartment price per square foot reached 1,294 dirhams ($352.31) and villas averaged 1,525 dirhams per square foot and the company’s CEO recently sold an apartment at Atlantis the Royal for AED36m with the client’s return on equity a staggering 185%.

“We are very good at identifying prime and super prime projects for our clients that yield great returns if they decide to exit the investment,” added Valimulla. “In the past our CEO has sold many Palm Jumeirah villas and penthouses to celebrities, sports stars, royal families and global business tycoons including a penthouse at One Palm last year for AED55m.

As a new market, the UAE still offers new entries challenges requiring expert local knowledge, due to the high stakes, market volatility, financing complexities, tax considerations and legal complexities.

“It’s essential for both buyers and sellers to work with experienced real estate professionals who understand the intricacies of the luxury real estate market,” said Valimulla.

Back to top