Dubai: Dubai’s property market reported three Dh100 million deals in the first 6 months of 2021, with all three being on the Palm. The priciest deal was a Dh119.5 million deal for a 12,138 square foot home – forming part of the XXII Carat’s Club Villas – on the island, whereas in the second place we have a deal of Dh111.25 million for an 11,950 square foot unit located on Frond N.
It was a great first-half for XXII Carat, with two more positions in the Top 5, the third-placed cost Dh105 million and Dh89.18 million for the fourth most expensive deal, as per the new update from Luxhabitat Sotheby’s, the property consultancy.
For the Palm, there were 7 entries in total in the Top 10, worth up to an impressive Dh600 million-plus. The costliest non-Plam deal was on the fifth place, Bulgari Resort, situated on Jumeira Bay, which was sold for Dh87.5 million.
The only other location listed in the Top 10 was Emirates Hills, with placements at No. 7 (a deal for Dh72.38 million) and at No. 10 (selling for Dh68 million).
The recent and updated deal table shows that luxury properties in Dubai are spending less time waiting for a buyer these days, as investors, local and overseas, zoom in to pick them up before the costs of the properties increase further.
Luxury is back in demand
Sources say within Dubai’s super-premium residential space, asking rates have now risen by about 2-5% from 2019 levels. The best part is that the frequency of deals on these homes is rising as per the sources.
“This exponential growth in high-net-worth end-user buyers is here to stay and it will increase the demand for luxury sector properties through 2021 to next year,” said Chris Whitehead, Managing Partner of Luxhabitat Sotheby’s International Realty said. “The post-Covid resilience of UAE’s economy is attracting immense wealth from across the world and especially from Europe, England, and Americas.”
In the upcoming months Dubai Hills’ will be another hotspot to watch out for:
Sources say in the forthcoming months, Dubai Hills’ mansions and super-luxury villas will be the other hotspot to watch out for. Market feedback is that the number of high-value listings is growing, and all that the locations need is a definitive deal to happen and increase the collective spotlight on it.
In Q2, the Palm grabbed the highest deal flow – Dh4.2 billion – among Dubai’s prime residential locations, with MBR City and the Downtown in second and third spots with Dh2.43 billion and Dh2.41 billion, respectively. (As per Luxhabitat Sotheby’s, at Dh333 million, the Al Barari enclave had the highest rise in sales – 2.1 times what it registered in Q1).
For villas and apartments in the villa space, the average selling cost during the Q2 was Dh8.04 million, which, was lesser than the Q1 average by about 1.65%. “However, the sales volume for prime villas in Dubai at Dh5.9 billion increased by over 48 percent from the previous quarter. – indicating keen buyer interest continuing from last year and Q1-2021,” the report said. “We have seen an increased demand in villas above AED 100 million being listed.”