The number of transactions in the emirate has also increased highlighting the flourishing market.
- The value of property transactions rose by 106%
- The number of property transactions increased by 69%
- Demand outstrips supply with a seller to buyer ratio of 1:2
The Dubai property market is continuing to thrive and recent reports have constantly highlighted the rise in rental and sale prices in certain areas.
Transaction numbers also play a big part in identifying market trends and the latest report from Hamptons MENA for the first half of July has highlighted an increase in the value of property transactions for the first half of the year of 106 percent compared with the same period last month.
Comparing the same period from 2011 to 2012 the number of transactions carried out has also risen by 69 percent conveying the impressive performance of the emirates property market this year.
Head of Operations, Hamptons MENA, Niraj Masand said: “The growth trends recorded by Hamptons MENA are a strong demonstration of the rising market confidence in Dubai’s property sector.
“The increase in number of buyers, compared with the number of sellers, throughout the year also highlights that the demand-side is stronger, which will have a further positive impact on prices, in turn benefiting the investors.”
With the ratio of sellers to buyers currently standing at around 1:2 in some locations, investors will be sure to benefit from this current activity with rental and sale prices likely to increase as demand outstrips supply.
Masand added: “Notably, we see highest demand in established communities such as Emirates Living, Dubai Marina and Downtown Dubai, with an average ratio of sellers to buyers at 1:2. There is a significant drop in the number of distress sellers, with the property owners preferring to set the price, leveraging the growing demand for homes.
“We are confident of a positive growth outlook for the property sector, which has gained significantly from the overall growth of Dubai’s economy led by its core sectors of retail, tourism, hospitality, trade, aviation and logistics.”
He added that Hamptons MENA expect market prices in well-established communities to increase over the coming months with the continuing demand leading the way.
Dubai Marina and Downtown Dubai are constantly highlighted as notable areas to rent or buy with demand being persistently high in those areas with investors who have already purchased in the areas benefiting from the increased rental rates seen this year.