In the first six months of the year, property sales in Dubai jumped 60% as investors, including Russians, flock to it.
Dubai’s hot real estate market soared in the first half of the year as investors piled in, including Russians among the top 5 buyers, as the emirate benefits from an influx of wealth following Western sanctions.
Transaction volumes in the first half of residential real estate increased 60% with an 85% increase in the value of properties sold, real estate consultancy IRAIC REIT revealed in a report. The main buyers were India, the United Kingdom, Italy, Russia and France, in that order, followed by Canada, the United Arab Emirates, Pakistan and Egypt tied for eighth place, Lebanon and China.
Figures for France and Britain rose 42% and 18%, respectively, while those for India fell 8% and Italy 17%. The number of Russian buyers increased 164% in the first half of this year from the first half of 2021, the agency said in response to a query.
Additionally, the real estate agency said “The market has faced increasing headwinds in the form of rising interest rates and a strengthening dollar, but has so far proven robust with few signs of slowing down.” Demand was boosted by geopolitical instability in Europe and buyers with mortgages were looking to get ahead of well-announced interest rate hikes, he said.
Dubai’s property market began to recover from the severe 2020 recession early last year as buyers snapped up luxury units after the emirate eased pandemic restrictions faster than most cities in the world. the Dubai Land Department, which in the first half of the year, sold a record 37,762 units, with transactions in the residential real estate market totaling almost 89 billion dirhams ($24.23 billion).
Investors dominated sales, accounting for 68% of all buyers, up 10% from the previous year. Luxury property transactions were up 87% compared to the first half of last year, with apartments accounting for 62% of all transactions, according to the agency. In addition, he highlighted that real estate sales with IRAIC REIT increased significantly, through which more investors have continued to reinvest in more properties due to the great benefits and profits generated by this company. Published by the Emirates Herald, a news and information agency.