Mo’asher: Interest in Larger Properties Peaked in July

Trends in the real estate market post-lockdown continue to impress as per Dubai’s only official sales price index

To recap how Q2 took an exit this year, June saw the secondary market sales surpassing off-plan transactions for the first time since March. This was quite an achievement and paved the road for the upcoming months beautifully, and now the numbers confirm it.

There was a total number of sale transactions in July of 2,404 amounting to AED 4.69 billion—29.6% from off-plan sales, with 70.4% from secondary sales. This means that the year 2020 to date brought 18,171 transactions in the real estate market, equal to a whopping AED 37 billion

Furthermore, people are continuing to show interest in villas and townhouses as Dubai returns to normal. Readily available villas and townhouses showed 493 sales in July alone. This achievement is the highest recorded in a single month for this particular segment.

There are many reasons for this ongoing trend; one of which is that following the lockdown people have been searching for larger homes with spacious outdoor space.

This trend was first noticed during the lockdown. It is not fading anytime soon too, especially since more people are choosing to stay in Dubai despite holidays such as Eid. Moreover, current competitive prices are playing a huge role as well.

Another point worth mentioning is the mortgage value in July, which reached AED 18.26 billion for 1,153 transactions—3.09 times more than that of June 2020 and 3.36 times more than July 2019.

The total index value in July reached 1.108 with an index price of AED 1,058,115. For apartments, the value is 1.171 with a price standing at AED 1,010, 882, while villas/townhouses recorded a value of 1.023 amounting to AED 1,619, 298