In August 2022, the total volume of transactions in Dubai’s residential market registered 9,257, an increase of 70.5% compared to the prior year. Over the same period, off-plan and secondary market sales rose by 68.5% and 72.4% respectively. In the year to date to August 2022, the total volume of transactions registered 55,108, the highest level recorded since 2009, over this period.

Average prices in the 12 months to August 2022 rose by 8.8%, where average apartment prices rose by 7.7%, and average villa prices by 15.8%. Dubai’s average apartment prices reached AED 1,120 per square foot and average villa prices reached AED 1,339 per square foot. These average rates still sit below the peak of 2014, where apartments and villas are respectively 24.7% and 7.3% below this peak.

In the apartments segment of the market, Jumeirah registered the highest average sales rate per square foot at AED 2,152, while in the villas segment of the market, Palm Jumeirah registered the highest average sales rate per square foot at AED 3,588.

In the year to August 2022, average rentals rose by 24.8%. Over this period, average apartments rents increased by 24.9% and average villa rents by 24.2%. As of August 2022, the average annual apartment and villa rents reached AED 87,774 and AED 263,034, respectively.

The highest annual apartment and villa rents were respectively seen in Palm Jumeirah, where average rents reached AED 222,870, and in Al Barari, where average rents reached AED 935,046.

Taimur Khan, Head of Research – MENA at CBRE in Dubai, said, “August’s total volumes of transactions in Dubai’s residential market reached 9,257, the fifth highest monthly total ever recorded. Transactional activity in the sector is continuing to defy, both, a challenging global economic backdrop and what is usually is a more subdued period for transactional activity. With mortgage rates, both promotional and post-promotion, increasing, we have seen average price growth slow to 8.8% in the year to August 2022, down from 9.9% a month earlier. Rents on the other hand are continuing to register near record growth, with average rents increasing by 24.8% in the 12 months to August 2022, up from 23.7% a month earlier. The growth rate of rents, on a month-on-month basis, has slowed for three consecutive months now, indicating we may see the rental growth rate start to moderate in the not too distant future.”