Dubai Prime Residential Property Market Set for Robust Growth in 2024, Forecasts Show

A global real estate consultancy has analysed prime residential capital value growth in 30 major cities worldwide and predicted that Dubai and Sydney will be the top performers in the real estate market.

Dubai’s prime residential capital values surged by 17.4% over 2023 and the average growth recorded 2.2% across 30 cities. It is expected that property demands will grow between 4-59% in 2024.

Dubai holds numerous factors which generate property demand. It’s the most affordable city for home buyers with average capital values of $850 per square foot. Also, the city’s low cost of living, warm climate, world-class infrastructure, safety & stability and business-friendly environment make it the preferred choice for investors.

Further, Dubai’s 10-year Golden Visa services also welcome international professionals as well as investors. The demand for property is quite high in comparison to the supply in Dubai and the similar situation Sydney is facing. Although the higher financing costs and material prices are the root cause of the delay in delivering projects in both cities and they can’t meet the demand in time, it is expected that the supply–demand dynamic will propel the average price growth for both cities.

Prediction says during a comparison of the prime property markets in global financial hubs like New York, London, Hong Kong and San Francisco property prices will go down due to inflation, interest rate hikes and recession risks. Cities heavily dependent on technology and startup industries, such as San Francisco, have also suffered the brunt of layoffs and funding cuts in the tech sector.

While Dubai’s prime residential zones like Palm Jumeirah, Jumeirah Beach Residence, and Downtown Dubai will remain the top real estate performer. Its freehold status and coastal location as well as world-class amenities will make an affordable property price range as compared to other global cities making it the most appealing area for investment.

Dubai Property Market will maintain its position globally for investment thanks to its first-mover advantage and business-friendly environment. It will help to sustain the emirate’s rising competition from other Gulf and Asian markets.