According to a new 2015 first half report by JLL, 7,400 deals were concluded in the Dubai residential real estate sector in the first six months of the year, which is almost 69% less than in the same period last year.
Official Dubai Land Department statistics confirm: 23,800 transactions were registered in the Dubai residential property sector during the first six months last year, and this year the number of transactions reduced by two-thirds, while the aggregate value of sales alone decreased by 66% and amounted to US $ 3,46 billion.
However, it should be emphasized that these figures relate only to the residential property sector, while the overall figures look much more optimistic. As it was mentioned earlier, the total of all real estate transactions in all sectors in the first half of the year in Dubai did not decrease, and even increased by 15%, mainly due to retail and commercial property segments. The total value of all transactions reached US $ 35 billion.
As for rentals, according to JLL, the first year half in this market segment was relatively quiet, with no sudden ups and downs, and the average prices have not changed. However, a large influx of new affordable housing into the market will change this situation soon. Developers flooded the Dubai housing market with new ready projects in the first six months of the year, having handed over 7900 units in 19 residential complexes. 82% of that number accounted for apartments from the affordable housing category, and another 17% — for townhouses also available for mid-income buyers, mainly in the areas of Dubai Silicon Oasis and Dubai World Central.
In general, it is expected that property prices in various sectors of the Dubai real estate market will continue to decline in the second half — JLL experts agree with their colleagues from other agencies, who have recently submitted their own H1 reports.