According to the latest data, the value of off-plan sales transactions in the third quarter rose by 47.11 percent.
Dubai’s off-plan property market is witnessing a V-shaped recovery due to renewed investor confidence. And, as property analysts believe, this trend will continue in the coming months.
Demand for off-plan property has started to grow recently after a year-long slow-down. It is also driven by developers launching new projects and a huge influx of tourists coming for the Expo Dubai 2020.
According to the latest data, the value of off-plan sales transactions in the third quarter rose by 47.11 percent compared to the previous quarter. And as for the ready market, sales transaction value increased only by 4.24 percent during the same period.
The volume of off-plan sales transactions also went up and posted an increase of 14.67 percent. And the secondary/ready property sales transactions, on the contrary, dropped by 6.02 percent.
Experts note, that a robust absorption of existing off-plan inventory in Dubai has been witnessed over the last two to three quarters, indicating a strong improvement compared to a take-up in 2020.
The preference for the ready stock is expected to continue, real estate analytics say, at the same time foreseeing that off-plan activity will continue to gather pace as investor confidence and appetite steadily return to the market. Developers are also expected to further attract buyers offering them post-handover payment plans and flexible payment terms.
Several new projects have recently been launched in Dubai, for example, Motor City Hills featuring 415 townhouse-style villas and Motor City Views with 880 apartments. Moreover, a luxury USD 545 million tower will be built in the emirate in partnership with Italian fashion house Cavalli.
Another factor that will drive further improvement in off-plan sales is Expo 2020 that is currently taking place in Dubai. The exhibition has already been attended by 400,000 people during the first ten days after its opening.