In October 2023, the number of transactions in Dubai totalled 6,407, marking a drop of 23.6% from the year prior, according to the latest CBRE report. Despite this recent slowdown, in the year to October 2023, a total of 93,590 residential transactions were recorded, surpassing the 2022 full year total of 92,178, which was the highest total ever recorded in a year until now.
The new data has been highlighted in CBRE research report – ‘Dubai Residential Market Snapshot November 2023’.
The rental market has continued to experience moderation in growth rates since the start of the year. In the year to October 2023, average rents in Dubai increased by 19.7%, registering a decline from the 20.6% growth recorded in September 2023.
Over this period, CBRE’s data shows that the average apartment rents in Dubai rose by 19.9%, and average villa rents grew by 18.0%. As of October 2023, the average yearly apartment and villa asking rents stood at AED 110,080 and AED 322,891, respectively.
The highest yearly apartment and villa rents in Dubai were respectively found in Palm Jumeirah, with average rents at 256,204, and in Al Barari, where average rents reached AED 1,096,675.
Sales rates
The CBRE research highlights that Dubai’s average residential prices increased by 19.1% in the year to October 2023, marginally down from the 19.6% rate of growth registered a month earlier. Over the same period, average apartment and villa prices rose by 18.7% and 21.4%, respectively. In October 2023, average apartment prices stood at AED 1,364 per sq ft, and average villa prices stood at AED 1,649 per sq ft.
Although the average apartment sales rates per sq ft still sit at 8.3% below the 2014 high, several communities have already topped their 2014 levels. On the other hand, the average villa sales rates have surpassed their 2014 figures by 14.1%.
In the apartment segment of the market, CBRE report that Downtown Dubai recorded the highest sales rate per sq ft at AED 2,500, whereas, in the villa segment of the market, Palm Jumeirah recorded the highest sales rate per sq ft at AED 5,125.
