Dubai apartment prices have risen 24.8 per cent since last year, with the cost of villas going up by 33.1 per cent during the same period, data showed on Monday.
The ValuStrat Price Index for September 2024 improved by 2.1 per cent monthly, reaching 190.1 points, slightly slower than August’s growth of 2.2 per cent. Annually, the valuation-based index was up by 28.9 per cent. Villas reached 243.2 points, while apartments recorded 155.4 points, both benchmarked against a base of 100 points set in January 2021.
The ValuStrat Price Index or the VPI, is a valuation-based price index constructed to represent periodic change in capital values and rental values experienced by typical residential and commercial properties. The VPI for Dubai’s residential capital values is updated on a monthly basis. The VPI for Dubai’s residential rental values is updated on a quarterly basis.
Overall, positive gains were noted in monthly capital values of Dubai homes, though with slight softening compared to the previous month. Ready sales saw double digit growth, while off-plan registrations reached a record triple digit annual increase.
Villa monthly capital gains were at 2.3 per cent, and 33.1 per cent since last year. Notably, top annual performers include villas in highly sought-after areas like Palm Jumeirah (42.8 per cent), Jumeirah Islands (42.3 per cent), Dubai Hills Estate (35.3 per cent), and Emirates Hills (33.8 per cent). The lowest capital gains were observed in Jumeirah Village Triangle (20 per cent) and Mudon (20.4 per cent), the latter stable month-on-month.
Apartment prices rose by 1.9 per cent monthly, maintaining record annual growth of 24.8 per cent. Among the areas with the highest apartment capital gains compared to last year were Discovery Gardens (33.5 per cent), The Greens (33 per cent), Palm Jumeirah (30.9 per cent), and Al Quoz Fourth (30 per cent). Least capital value gains were found in Jumeirah Beach Residence (17.6 per cent) and Dubai Sports City (17.8 per cent).
Oqood (contract) registrations for off-plan homes grew 9.1 per cent monthly and a record 254.2 per cent annually, representing almost three-quarters of all home sales this month. The volume of ready secondary-home transactions also grew by 10.9 per cent monthly and 19 per cent annually.
There were 16 transactions for ready properties priced over AED 30 million, situated in Palm Jumeirah, Emirates Hills, Jumeirah Bay Island, Dubai Hills Estate, and District One.
Top Developers and Locations
September 2024 saw Emaar (18.8 per cent), Damac (14.7 per cent), Sobha (7.4 per cent), Azizi (5 per cent), and Binghatti (2.9 per cent) led the developer sales charts overall. Top off-plan locations transacted included projects in Jumeirah Village Circle (8.5 per cent), Damac Hills 2 (8 per cent), Bu Kadra (6.9 per cent), and Dubai Hills Estate (6.2 per cent). Meanwhile, most ready homes sold were located in Jumeirah Village Circle (12.2 per cent), Business Bay (5.2 per cent), Dubai Marina (5.2 per cent), and International City (3.4 per cent). This month, Jumeirah Village Circle also broke its individual record with the highest number of ready homes traded in one month.
For a detailed perspective on the property market, visit: Dubai - VPI Residential Capital Values - September 2024
