The Betterhomes perspective

What a year 2022 was for the Dubai real estate market. Records were set with both the volume and value of residential transactions outperforming expectations, soaring demand for luxury homes, and the rental market stepping up its game, much to the delight of private landlords.

As we crossed the threshold of 2023, the question on our clients’ lips was ‘where do we go from here?’

Backed by our own in-depth research - and four decades of market experience -we’re confident of a healthy outlook for the local real estate market for the remainder of this year, and beyond.

The watchword for continued opportunity and positive consumer sentiment is sustainable growth.

We closed 2022 with transaction volume for ready units consistent over the last three quarters and while sales price increases have slowed, this ushered in a new era of sustainable single digit growth.

For those looking to sell in the short term, the fact that supply of both new and ready property will remain constrained this year while new residents and investors look to set up home in the UAE, equals exciting opportunity despite interest rate hikes.

Interestingly, we are currently seeing strong demand for upgraded homes and, as the mercury rises and we retreat indoors for entertaining and relaxation, if you are thinking of selling, investment in these areas would be money well spent.

If taking your first step onto the UAE property ladder, or adding to your portfolio, is front of mind, investing in an off-plan development or looking at the luxury market landscape is worth further exploration with both sectors expected to remain on an upward trajectory this year as new launches fill the gap created by the current lack of ready property.

The ultimate decision driving litmus test is the bigger picture economic outlook for the UAE and with the International Monetary Fund forecasting non-oil economic growth of around 4% for 2023, the Emirates will lead the region as the fastest growing economy in the Arabian Gulf this year.

With a steady procession of end users and resident buyers further demonstrating the appeal and confidence in the long-term stability of the real estate market, plus the unveiling of Dubai Government’s’ US$8.7 trillion economic plan to supercharge investment and trade opportunity through to 2033, we can only continue to go from strength to strength.

Richard Waind Group Managing Director Betterhomes