Yet another quarterly report on Dubai real estate market was presented recently by industry consultancy Tasweek to add a set of interesting details to the latest JLL report submitted the other day.
Report data show that a year-on-year decline in residential prices as of October 2015 amounted to 12.7%. And JLL said that a decline in Dubai apartment sale prices amounted to 11%, while villas and townhouses sale prices fell by 7% year-on-year. The total number of real estate transactions in the third quarter also decreased, according to Tasweek, by an average of 64% compared with the first quarter of the year.
However, Tasweek experts have concluded that the overall pricing picture in the sector of residential real estate in Dubai remains fairly stable. The median transacted apartment price in the third quarter was about USD 3147, according to Tasweek estimates, while the average per sq m villa cost was about USD 3545.
The highest prices, traditionally and with no surprise, were recorded in the districts of Downtown Dubai and Palm Jumeirah, while Dubai Marina confidently holds the first place in the list of the most sought-for Dubai residential areas.
26,100 new apartments and 2,400 villas are planned to handover in 2016 in Dubai, and by 2019 18 new off-plan real estate projects launched in the second half of 2015 will add another 5,000 units to the Dubai real estate market.
Tasweek’s overall forecast for the future also looks quite optimistic. Masood Al Awar, CEO of Tasweek, said: “As our report noted in Q2, diversification, favorable demographics and a sound regulatory environment will continue to protect the UAE’s property business from any harmful market shifts.”