Dubai real estate market figures for June 2023
The real estate market enjoyed another month of very strong growth in June 2023. At a time when real estate is declining almost everywhere, the Dubai market stands out as an exception, especially at this level of growth. Dubai Immo, Dubai's leading French-speaking real estate agency, brings you daily updates on the Dubai real estate market. Find out in this article all the real estate figures for June 2023 and our analysis of them.
Writing this article would have been complicated without the help of dxbinteract.com, who provide all the market figures free of charge, in collaboration with the Dubai Land Department. Our thanks to them.
Transactions up 18.5
10,457 transactions were recorded in June 2023, an increase of 18.5% compared with June 2022, the reference month for this study. In terms of value, the increase is even greater. Total sales in Dubai in June 2023 amounted to 30.4 billion dirhams, or 6.74 billion euros. This represents an increase of +34.6% compared to June 2022, again an impressive figure that is unmatched anywhere in the world. Sales of off-plan properties accounted for 56% of total sales, compared with 44% for ready-to-sell properties.
Apartment sales figures for June 2023
Apartment sales provided strong support for the market. In a market that grew by 18.5% overall in June 2023, apartment sales rose by +39.9% to 17.4 billion dirhams (4.35 billion euros). This represents 8,207 apartment sales in June alone. The average price of apartments sold in Dubai rose by +8.3%.
Villa sales figures for June 2023
The Dubai villa market continues to suffer from a cruel lack of supply. This is reflected in the sharp contraction in villa sales in June. The number of transactions fell by -63.3% in June 2023, with 803 villa sales recorded over the period. Meanwhile, the average price of villas sold rose by +23.3% over the period, to reach 2.3M EAD (575K€). The total value of transactions fell by -68% compared with last year, due to the lack of supply on the market.
Sales figures for commercial premises
The number of sales of commercial premises in Dubai fell by -6.9% in June 2023, with AED 473M of sales, or around €118M. Despite the contraction in the number of transactions, the total amount of sales is still up, by +7.9%.
Sales figures for commercial premises
Land sales are booming. Developers need land to build their projects, whether residences, villas or commercial spaces. This very strong demand has had a direct impact on the number of transactions, which rose by +143% over the period, with 1,179 land sales recorded. Total land sales in Dubai reached 10.1 billion dirhams (2.52 billion euros), a spectacular increase of +176%.
Credit and cash purchase figures
Out of 10,457 transactions, only 2,716 were credit-backed. This means that only 25.9% of transactions were backed by a bank loan, reflecting the excellent health of the market. A market as exposed to changes in interest rates as Dubai's is all the more solid for it. The % of purchases on credit has changed very little compared to last year, simply following the trend in the number of transactions.
The most expensive villa and apartment in Dubai in June 2023
The most expensive villa sold in June 2023 is in District One, the famous star community built in Meydan, just a few minutes from Downtown. This mansion was sold for 55 million dirhams, or around 13.7 million euros.
The most expensive apartment sold in Dubai was in Jumeirah Bay, in the future Bulgari Lighthouse ultra-luxury residence. This immense penthouse with uninterrupted views of the sea and skyline was sold for the princely sum of 112 million dirhams, or around 28 million euros.
Conclusion
The real estate market is doing well, very well. In a difficult global context, Dubai is an exception. The Emirate continues to attract capital and investors from all over the world. Whether they come from America, China, Asia, Europe or Africa, they are all attracted by Dubai's many assets and the prospects of a significant population increase in the coming years.
