The summer is well and truly here but the impact it will have on the Dubai Real Estate market is still not known. Dubai Land Department transfers for both off-plan and secondary market are up from the same period in 2018 by 38%.
If you compare 1st – 24th July 2018 against 1st July – 24th July 2019 we can see the biggest difference is in pricing across the market which has resulted in more sales this year against last.
In 2018, 85% of off-plan sales recorded were under AED2,000,000
In 2018, 71% of secondary sales recorded were under AED2,000,000
In 2019, 86% of off-plan sales recorded were under AED2,000,000
In 2019, 81% of secondary sales recorded were under AED2,000,000
What else is interesting is mortgage registrations have remained pretty much the same. In 2018 there were 905 mortgages registered during this period against 909 registrations in 2019. This figure will only change if we see movement from banks with the LTV ratios and/or lower interest rates and easier lending criteria which will assist buyers with the cost of purchasing.
Amongst many other factors supply has been a large part in the price reductions in properties across Dubai. With the current market seemingly steadying out and with supply slowing down within the next 12-18 months the sales figures at DLD prove (38% more sales than last year) Investors are taking advantage of the current lower, affordable prices and are buying now for future gain.
If you would like more information on any of the data or information provided in this email or previous emails please do not hesitate to contact me by replying to this email.
data from propertymonitor.ae and compiled by Laura Adams
In the News
Dubai Land Department (DLD) signed memorandums of understanding (MoU) with Ras Al Khaimah International Corporate Centre (RAK ICC) and with Ras Al Khaimah Economic Zone (RAKEZ) for the registration of land and freehold properties on behalf of free zone companies.
If you have plans to purchase a house, then you should be well aware of the closing costs.
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