Page 82 - SOBHA REALTY PR REPORT NOVEMBER 2023

The surge in the rally is fuelled by a combination of factors, including a rise in
foreign fund inflows, tenants transitioning into property ownership, a growing
availability of ready-to-move-in properties, and the interest of investors seeking to

capitalize on long-term residency programs like the Golden Visa, Retirement
Visa, and Freelance Visa.

“With sustained demand and positive market sentiment, we foresee prices to

continue witnessing steady increases in the range of 5-10 per cent over 2024 –
albeit with the pace expected to slow down compared to the 20-25 per cent price

increases witnessed in 2023,” says Prathyusha Gurrapu, head of research and
consulting at Cushman & Wakefield Core.

Gurrapu foresees waterfront locations such as Palm Jumeirah and Jumeirah Bay

and established districts including Downtown Dubai to continue witnessing
relatively higher price increases next year.

According to Moody’s Investors Service, property prices have increased by about
15 per cent in Dubai and Abu Dhabi since the second quarter of 2021 and UAE

real estate market conditions will remain healthy in the next 12-18 months, but
demand will be slower than the past two years.

Prathyusha Gurrapu expects prices in upcoming areas such as Dubailand and

Mohammed bin Rashid City where major handovers are expected, to foresee
relatively lower price increases.

“The government’s continued push to make the city attractive to investors,
tourists and residents is expected to underpin the positive market sentiment, job

creation and in-turn population growth across income segments.

“We expect global wealth to continue gravitating to Dubai due to its favourable
socio-economic positioning and developers launching products to cater to this

demand resulting in high-ticket transactions. We also foresee overall transaction
volumes to be steady due to a strong owner occupier and investor demand,” she
added.

https://www.msn.com/en-ae/news/featured/dubai-heres-why-property-prices-will-continue-to-rise-in-
2024/ar-AA1kxXjB