Mo’asher: Dubai records 6,983 real estate sales transactions in April 2022

Dubai’s real estate market recorded 6,983 sales transactions in April, an increase of 45.5 per cent compared to April 2021.

April of this year has therefore been the best performing month of April in Dubai’s real estate sector over the last 10 years.

The figures were shared by Mo’asher, Dubai’s official Sales Price and Rental Performance index launched by Dubai Land Department (DLD) in partnership with Property Finder.

The base year for Mo’asher is 2012, and the base month for the monthly index is January 2012, with the base quarter for the quarterly index being Q1 2012, according to news agency WAM.

In April 2022, Mo’asher recorded a 1.273 monthly Index for sales and an index price of Dhs1,238,401.

The apartment monthly index recorded 1.331 and an index price of Dhs1,140,201, and the villa/townhouse monthly index recorded 1.318 and an index price of Dhs2,124,828.

Also, Mo’asher recorded a 0.957 monthly index for rental and an index price of Dhs51,672. The apartment monthly index recorded 0.96 and an index price of Dhs47,578 and the villa/townhouse monthly index recorded 0.872 and an index price of Dhs132,917.

Mo’asher’s data showed that, overall, sales transactions continue to grow, surpassing 2021’s average monthly transactions.

The secondary market for sales transactions also continues to dominate the real estate market with a steady percentage of 60.32 per cent in terms of volume and 70.70 per cent in terms of value.

Both transaction value and volume include apartments which represent around 79 per cent of the total transactions, whereas villas/townhouses represent around 21 per cent.

In the first four months of 20222, the total sales transactions in terms of volume were recorded at 27,507 transactions compared to 16,341 transactions in the same period last year, a 68.33 per cent growth year-on-year.

On the other hand, the total rental contracts in April 2022 reached 41,810 registered leases, of which 60.4 per cent were new contracts while 39.6 per cent were renewed.

The annual contracts acquired 79.5 per cent of the total contracts, while 20.5 per cent were non-annual. The registered leases for residential purposes acquired around 74 per cent of the total contracts, while 25 per cent were registered for commercial purposes.

When compared to April 2021, the total number of rental leases increased by 3.2 per cent. The number of new contracts increased by 8 per cent to represent 60.4per cent of the total number of contracts compared to 57.7 per cent in April 20221.

Additionally, the total number of leases increased from 72.9 per cent in April 2021 to 79.5 per cent in April 2022, while the share of commercial rental leases witnessed a 4.23 per cent increase during April 2022 to represent 25 per cent of the total number of leases compared to 20.77 per cent in April 2021.

Comparing the first four months in 2022 to the same period in 2021, Mo’asher concludes that the total rental leases in terms of volume witnessed a 6.47 per cent increase, which recorded 202,340 rental leases in 2022 compared to 190,043 in 2021.

The top areas, according to Ejari registrations, for the most rental transactions until April 2022 were Al Warsan First (8,311), Jabal Ali First (8,038 contracts), Naif (6,630), Business Bay (6,605), Al Karama (6,160), Nadd Hessa (6,058), Marsa Dubai (5,895), Al Nahda Second (5,725), Al Barsha South Fourth (5,680), and Al Suq Al Kabeer (5,491).

According to Property Finder’s proprietary data, the top areas searched for in April 2022 for sales were Dubai Marina, Downtown Dubai, Palm Jumeirah, Business Bay, Jumeirah Village Circle, and Jumeirah Beach Residence. The top overall searched areas for villa/townhouse sales in April were Dubai Hills Estate, Palm Jumeirah, Arabian Ranches, DAMAC Hills (Akoya by DAMAC) and The Springs. Their data also indicated that the top searched areas for apartment rentals in April were Dubai Marina, Downtown Dubai, Business Bay, Jumeirah Village Circle and Jumeirah Lake Towers. The top searched areas for villas/townhouses were Dubai Hills Estate, Jumeirah, Al Barsha, Arabian Ranches and The Springs.

Dubai’s real estate market witnessed a total of 84,772 transactions valued at Dhs300bn in 2021. The emirate recorded a 65 per cent growth in the number of real estate transactions and a 71 per cent increase in value last year compared to 2020, according to previously released data by the DLD.

Read: Dubai records real estate transactions worth Dhs300bn in 2021