Property transaction in Dubai in August 2021 reached USD 4 billion

Property transaction in Dubai in August 2021 reached USD 4 billion

August 2021 is the second-highest month since December 2013 in terms of the number of sales transactions.

Dubai's real estate market continues to grow as investment attractiveness of the region increases in the run up to the major event of the year – Expo 2020.

August 2021 is the second-highest month since December 2013 in terms of the number of sales transactions in one month, said the 18th edition of Mo’asher, Dubai’s official sales price index, launched by Dubai Land Department (DLD) in cooperation with Property Finder. In total August saw 5,780 sales transactions worth USD billion, which made it the best August in 12 years.

The base year for Mo’asher is 2012 and the base month for the monthly index is January 2012.

In August 2021, the overall monthly Index recorded 1.096 and an index price of USD 283,640, the apartments monthly Index recorded 1.116 and an index price of USD 253,552 and the villas/townhouses monthly index recorded 1.072 and an index price of USD 519,886.

The monthly overall Index increased by 1.20 percent, the apartment index grew by 1.36 percent and the villa/townhouse index rose by 3.18 percent.

As it has been already mentioned above, August 2021 had 5,780 transactions, which brings the year-to-date total to 37,537 sales transactions worth USD 24 billion. In just eight months, the value of real estate sales transactions exceeded the whole result of 2020. In total 2020 had 35,401 sales worth USD 19.5 billion.

In August, 55 percent of overall transactions accounted for secondary/ready properties and 45 percent were for off-plan properties. As these figures show, the percentage of off-plan properties relative to the entire market increased by 5 percent compared to the previous month.

As for the volume of sales transactions, the off-plan market saw 2,599 sales transactions worth USD 1.3 billion in total. This is the highest value of off-plan transactions that has been seen in the Dubai real estate market in over 11 years. The last time buyers spent so much money on off-plan properties was in early October 2009.

The secondary market in August registered 3,181 sales transactions worth USD 2.7 billion.

The overall average sale transaction value increased USD 705,119, up by 1.57 percent from July 2021. The secondary/ready average sale transaction value rose to USD 857 559, which is an increase of 5.91 percent compared to July. And the off-plan average sale transaction value dropped by 1.3 percent to USD 518,543.

According to the real estate platform Property Finder demand data, the top areas of interest in terms of sales transactions for villas/townhouses in August were Arabian Ranches 3, Dubai Land, Dubai South, Tilal al Ghaf and Damac Hills 2.

As for apartments for the same period, the greatest areas of interest were Business Bay, Jumeirah Village Circle, Dubai Harbour, Mohammed bin Rashid City and Downtown Dubai.

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