DATE: 27 Feb, 2023
As the world is moving towards an increasingly connected global economy, one of the cities leading the charge is Dubai. Its prime location and booming tourism industry have quickly become a popular destination for travellers and businesses alike. New reports suggest that real estate in Dubai may be on the rise, with up to 46% growth projected by 2023 — read on to find out what this could mean for investors and residents alike!
Why is the market forecast expected to grow by 46% in 2023?
According to research by Realiste, a PropTech company based in Dubai, the real estate market is projected to grow at 46 percent. This hike comes after a year that witnessed a growth of 20 to 40 percent. So, let’s understand exactly what is driving this growth.
- Increasing demand for ultra-luxury properties: Last year showed us an increase in real estate transactions. The trend is supposed to follow through this year, with the need for ultra-luxury residential projects in Dubai rising through the roof. The reason is the low cost of luxury per square foot compared to other global cities like London, New York, and Chicago.
- Fifa World Cup 2022: As predicted, Qatar hosting the Fifa World Cup caused an increase in the amount of foreign investment coming into the UAE real estate market. With its no income tax, entrepreneur-friendly policies, and various visa options, Dubai became the preferred destination for short-term rentals and long-term investments in the Gulf region.
- Outstanding ROI of 7% expected: Knight Frank’s report in 2023 stated that the mainstream residential market of Dubai would witness an increase of 5-7% by the end of 2023, similar to the growth the emirate experienced last year.
- Upscale Lifestyle of Dubai: Experts believe that Dubai is truly cosmopolitan, and its global appeal comes from its tech, architecture, cultural diaspora, and connectivity. The emirate offers a uber-rich lifestyle to its residents with enthralling experiences of all kinds with sunny weather year-long.
Which Dubai districts will witness significant growth in 2023?
Many Dubai districts will witness significant growth in 2023. Downtown Dubai will witness significant growth because of its central location and proximity to all Dubai offers. Another
a district that will experience significant growth is Jumeirah Beach Residence (JBR). This is because more and more people are moving to JBR, and the demand for housing is increasing. Other areas are expected to grow significantly.
Should I buy a Dubai villa or an apartment in 2023?
If you’re thinking of investing in Dubai’s real estate market, you may be wondering whether to buy a villa or an apartment. Both options have pros and cons, and the best choice for you will depend on your specific needs and preferences.
Villas offer more privacy and space than apartments but also tend to be more expensive. If you’re looking for an investment property that you can also use as a holiday home, a villa might be a good option. But an apartment could be the better choice if you’re simply looking for a solid investment that will appreciate in value over time.
There’s no right or wrong answer when it comes to deciding whether to buy a villa or luxury apartments in Dubai. It ultimately comes down to what’s best for your individual circumstances.
Overall, Dubai real estate has shown potential for rapid growth in the coming years. With 46% growth projected for 2023 and the rapid development of ultra-luxurious new projects in Dubai, investors and locals alike have plenty of reason to be excited about investing in properties. The city also boasts a diverse range of attractions that make it an attractive destination both as an investment opportunity and a tourist destination. With everything from world-class shopping malls to some of the highest skyscrapers on earth, there is no doubt that this city is well on its way to becoming one of the most desirable places to live or visit anytime soon!
1.Why is the Dubai property market booming?
Dubai’s safe-haven status is fueling prime values. A diverse range of international ultra-high-net-worth individuals searching for (their) second luxury homes, combined with the government’s world-leading response to the pandemic, has spurred confidence in favor of the emirate.
2.Why do people buy luxury apartments?
To experience unparalleled luxury and privacy. When we talk about a regular housing project, all the residents share the amenities. Whereas, when you reside in a luxury house, you enjoy exclusive comforts, privileges, and even bespoke amenities.
3.Is it easy to sell an apartment in Dubai?
Selling your property is a hassle-free process in Dubai. It is because the emirate has stringent laws in place to safeguard the rights of both parties involved.