Luxury Property Deals In Dubai Peaked In 2022
Luxury property sales ($10m+) in Dubai hit a new high with 219 transactions in 2022, and forecasts for 2023 remain fairly optimistic.
Researchers at Knight Frank analysed the real estate market in Dubai and revealed several relevant trends, including luxury property in the state.
Luxury Homes In Dubai Performance
In total, the market saw 219 luxury home deals in Dubai throughout 2022, each surpassing the $10m threshold. By comparison, similar figures in 2021 reached only 93 sales.
Moreover, last year also marked record numbers of AED100m home sales, with the most expensive deals for a villa in Palm Jumeirah. These trends reflect the growing appeal of Dubai property for high-net-worth individuals, especially from foreign countries.
Premium Property Hotspots In Dubai 2022
On average, the transacted price in the luxury sector hit AED3,500 per square foot, which is considerably higher than the total Dubai average of AED1,100\. However, the market data suggests that luxury property in the state is still considered affordable by global standards.
The Palm Jumeirah continued to outperform other Dubai districts, with prices for new villas rising by 50% in 2022, driven by a supply shortage and rapidly growing demand from elite international buyers.
Moreover, the research data shows that new villas in Palm Jumeirah have become 96% more expensive since 2021 when the pandemic hit. As a result, the recent market insights about luxury homes in Dubai are hardly surprising.
Luxury Homes In Dubai 2023 - Forecasts
The recent top-tier property market insights reflect the arrival of Dubai as a luxury real estate hub to rival long-established global markets. Currently, there are no evident signs of a market cooldown and decreasing demand from elite international buyers and investors.
In fact, several surveys show that buying a home in the UAE ranks as the second most wanted target for global investors and buyers, just behind the UK.
