Dubai real estate figures from July 2023
Dubai's real estate market enjoyed an excellent July 2023. At a time when the slowdown in the real estate sector is gathering pace around the world, the small Emirate confirms its exceptional status. As the first French-speaking real estate agency in Dubai, Dubai Immo keeps you informed, on a daily basis, of the latest news and developments in the real estate market in the United Arab Emirates, and in Dubai in particular. In the following article, we invite you to discover the excellent local real estate figures for July 2023, as well as our analysis of them.
Total transactions in Dubai up 56.3%!
In July 2023, 11,129 transactions were carried out, an increase of +56. 3% compared with July 2022. Total sales amounted to 37.7 billion dirhams, or 9.31 billion euros. This represents an increase of +80.6% compared to the same period last year.
These are impressive figures, which no other country in the world can match. In detail, sales of off-plan properties accounted for around 53% of total sales over this period, compared with 47% for ready-to-sell properties.
Schedule a free telephone or video consultation
Apartment sales figures for July 2023
In July 2023, apartment sales accounted for a large share of Dubai's real estate market. While the latter grew by more than +80% over 12 months, apartment sales increased by 61.3% year-on-year, reaching a total of 15.8 billion dirhams (or 1.98 billion euros). In July 2023 alone, 7,789 apartments were sold!
All new apartment projects in Dubai
Villa sales figures for July 2023
While the Dubai villa market was experiencing a decline in transactions due to a lack of supply, the month of July 2023 reshuffled the deck with a very significant increase in sales. Over the period, villa sales rose by +29.1%, for a total of 2,106 units sold. The average price of villas sold, meanwhile, rose +30.9%, to AED 2.6M (EUR 642K). This strong increase is due in particular to the recording of villa sales at Damac Lagoons Mykonos and Morocco earlier in the year, which were only recorded in July.
Sales figures for commercial premises
After a fairly sharp fall in June, the number of commercial space sales in Dubai dropped again, falling by -9.9% over the month of July 2023. A total of 308 commercial premises were sold, for a total value of AED 523.3 million (equivalent to 130 million euros). The average price of a commercial property rose by +37.9% compared with the same period last year. This drop in sales combined with a sharp rise in prices can be explained by a cruel lack of supply in this sector, which has been driven by the sharp increase in population in recent years.
Land sales figures
Land sales continue to grow. Whether for apartments, residences, villas or commercial spaces, real estate developers are looking for building land to develop their latest projects. This strong demand is leading to a sharp rise in the number of transactions. In July 2023, 926 plots of land were sold, a net increase of +193% compared with July 2022. Total land sales in Dubai reached 13.1 billion dirhams (3.2 billion euros).
Schedule a free telephone or video consultation
Credit and cash purchase figures
Of the 11,129 transactions recorded, 2,347 were supported by credit. This means that only 21% of the transactions carried out in July 2023 were backed by a bank loan. While this figure remains fairly low, it has risen by 40% compared with July 2022. On the other hand, credit applications are fairly low. The total amount of credit granted by the bank reached $9.6 billion, 29.3% less than at the same time last year. These figures show that the market is doing very well, and will not be at risk if rates rise again.
The most expensive villa and apartment in Dubai in July 2023
The most expensive apartment sold in July 2023 was at Jumeirah Marsal Al Arab. This magnificent penthouse sold for 420 million dirhams (103 million euros). By comparison, the second most expensive apartment sold in Dubai over the same period was worth "only" 116 million dirhams (28.6 million euros). The most expensive villa, sold in July 2023, is located in Palm Jumeirah. This ultra-luxury residence was sold for 150 million dirhams, the equivalent of 37 million euros.
Click here to book a free consultation
Our conclusion
In Dubai, the real estate market is doing very well. In a rather complicated global context, the Emirate is holding its own perfectly, and many investors from America, China and the rest of Asia, Europe and Africa are attracted by Dubai's many assets... as well as the demographic outlook, which is very positive and attractive for real estate specialists.
