Dubai’s real estate growth is set to continue; 36,000 new residential units are expected to open by 2022
Professionals predict that Dubai real estate will continue to rise this year, despite Covid-19 variations causing uncertainty within the market, as strategic government initiatives, visa reforms, a resilient economy, and a successful pandemic strategy will continue to attract international investors.
Lower loan-to-fee ratios and enterprise resilience, according to the latest figures, have supported Dubai in resurrecting robust funding interest within the assets sector, which saw significant recovery across all overall performance metrics of rents, capital values, and transaction volumes last year.
According to Core’s new Dubai annual report for 2021–22, the UAE government’s continued focus on making the UAE the most preferred region for tourists, businesses, and citizens because of its pioneering policies, monetary and visa reforms, agile and secure control of the pandemic without affecting commercial enterprise continuity is expected to keep underpinning the actual property marketplace and bolster demand across asset classes.
With several efforts phasing down due to the pandemic in recent years, we expect a higher number of handovers this year, with approximately 36,000 devices conservatively forecasted for 2022. However, as builders continue to adapt to ever-changing market circumstances, more modifications to deliver projections are expected,’ according to the report.
Strong income and condo fee recovery is beginning in the Dubai real estate market, but most areas are still below 2014 peak prices, signaling capacity room for growth this year. According to the report, 37,000 home devices were presented in 2021, including 5,900 villas, and virtually identical residential gadgets will be introduced this year. Even though prices are sixteen percent lower than the 2014 peak, the city-wide villa income fee average saw a 22 percent year-over-year gain, suggesting that values are still within your means and likely have space for growth.The city-wide average villa rentals have increased by 21 percent year-over-year, while average condo rates have increased by just three percent.
Regardless of the corona epidemic, the shipment of 37,000 devices indicates that the market is on the mend. The supply-demand imbalance is predicted to narrow in 2022, with over 36,000 extra devices likely to be released, owing to fewer new projects being launched.
Disclaimer: The views expressed above are for informational purposes only based on industry reports and related news stories. PropertyPistol does not guarantee the accuracy, completeness, or reliability of the information and shall not be held responsible for any action taken based on the published information.
