Dubai property records best ever third quarter as value of sales hits $11.5bn


Deepthi Nair
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Dubai recorded real estate transactions worth Dh42.4 billion ($11.5bn) in the three months to September 30, making it the best third quarter in the emirate’s history in terms of the value of sales transactions, according to listings website Property Finder.

The emirate registered 15,926 real estate deals in the same period, making it the best third quarter for sales transaction volumes since 2009, Property Finder said on Wednesday.

The company said 56.6 per cent of all transactions in Dubai during the third quarter were for secondary or ready properties, while off-plan properties accounted for 43.4 per cent.

The off-plan market accounted for 6,909 transactions worth Dh13.5bn in the third quarter and the secondary market registered 9,017 deals worth Dh28.85bn, the statement added.

“To date, off-plan sales had the highest value of sales transactions in the Dubai real estate market in over eight years [since December 2013],” Lynnette Sacchetto, director of research and data at Property Finder, said.

“Off-plan sales started to increase considerably in 2021 and the amount of sales transactions between secondary and off-plan are now about 50:50.”

The UAE property market, which softened due to a three-year oil price slump that began in 2014 and oversupply concerns, is showing signs of a recovery as people upgrade to larger homes with outdoor amenities amid a remote working and learning trend sparked by Covid-19.

Economic support measures and government initiatives – such as residency permits for retirees and remote workers, as well as the expansion of the 10-year golden visa programme – have helped to improve sentiment.

Residential transaction volumes in Dubai were up 76.8 per cent in the first eight months of the year, while secondary market transactions jumped 120.7 per cent and off-plan transactions rose 39 per cent, according to real estate consultancy CBRE.

The volume of off-plan transactions in Dubai during the third quarter of this year increased 14.7 per cent compared with the previous quarter, while the number of secondary market deals fell by 6.02 per cent, Property Finder said.

Meanwhile, the value of off-plan sales transactions increased 47.1 per cent compared with the previous quarter. The value of secondary sales deals also rose 4.2 per cent.

The top areas for secondary sales transactions for villas and townhouses in the third quarter were Damac Hills 2, Dubai Hills Estate, Arabian Ranches, Nad Al Sheba and The Springs, according to Property Finder.

“The prices of villas and townhouses continue to rise due to very high demand and low supply and we are only expecting 6,000 new units to be completed by the end of 2021. Therefore, this doesn’t add much of a dent to the supply equation,” Ms Sacchetto said.

We are only expecting 6,000 new units [villas and townhouses] to be completed by the end of 2021
Lynnette Sacchetto,
director of research and data, Property Finder

The most popular areas for ready apartments were Jumeirah Lakes Towers, Dubai Marina, Meydan, Jumeirah Village Circle (JVC) and Downtown Dubai.

The top areas for off-plan sales transactions for villas and townhouses included Arabian Ranches 3, Dubai Land, Tilal Al Ghaf, Dubai South and The Valley, Property Finder said.

As for apartments, the top areas of interest were Business Bay, Dubai Marina, JVC, Downtown Dubai and JLT.

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UAE currency: the story behind the money in your pockets
Have you been targeted?

Tuan Phan of SimplyFI.org lists five signs you have been mis-sold to:

1. Your pension fund has been placed inside an offshore insurance wrapper with a hefty upfront commission.

2. The money has been transferred into a structured note. These products have high upfront, recurring commission and should never be in a pension account.

3. You have also been sold investment funds with an upfront initial charge of around 5 per cent. ETFs, for example, have no upfront charges.

4. The adviser charges a 1 per cent charge for managing your assets. They are being paid for doing nothing. They have already claimed massive amounts in hidden upfront commission.

5. Total annual management cost for your pension account is 2 per cent or more, including platform, underlying fund and advice charges.

How to join and use Abu Dhabi’s public libraries

• There are six libraries in Abu Dhabi emirate run by the Department of Culture and Tourism, including one in Al Ain and Al Dhafra.

• Libraries are free to visit and visitors can consult books, use online resources and study there. Most are open from 8am to 8pm on weekdays, closed on Fridays and have variable hours on Saturdays, except for Qasr Al Watan which is open from 10am to 8pm every day.

• In order to borrow books, visitors must join the service by providing a passport photograph, Emirates ID and a refundable deposit of Dh400. Members can borrow five books for three weeks, all of which are renewable up to two times online.

• If users do not wish to pay the fee, they can still use the library’s electronic resources for free by simply registering on the website. Once registered, a username and password is provided, allowing remote access.

• For more information visit the library network's website.

Sole survivors
  • Cecelia Crocker was on board Northwest Airlines Flight 255 in 1987 when it crashed in Detroit, killing 154 people, including her parents and brother. The plane had hit a light pole on take off
  • George Lamson Jr, from Minnesota, was on a Galaxy Airlines flight that crashed in Reno in 1985, killing 68 people. His entire seat was launched out of the plane
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  • Jim Polehinke was the co-pilot and sole survivor of a 2006 Comair flight that crashed in Lexington, Kentucky, killing 49.
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Name: Yousef Al Bahar

Advocate at Al Bahar & Associate Advocates and Legal Consultants, established in 1994

Education: Mr Al Bahar was born in 1979 and graduated in 2008 from the Judicial Institute. He took after his father, who was one of the first Emirati lawyers

Benefits of first-time home buyers' scheme
  • Priority access to new homes from participating developers
  • Discounts on sales price of off-plan units
  • Flexible payment plans from developers
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1st ODI, UAE win by 6 wickets

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UAE currency: the story behind the money in your pockets
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How the UAE gratuity payment is calculated now

Employees leaving an organisation are entitled to an end-of-service gratuity after completing at least one year of service.

The tenure is calculated on the number of days worked and does not include lengthy leave periods, such as a sabbatical. If you have worked for a company between one and five years, you are paid 21 days of pay based on your final basic salary. After five years, however, you are entitled to 30 days of pay. The total lump sum you receive is based on the duration of your employment.

1. For those who have worked between one and five years, on a basic salary of Dh10,000 (calculation based on 30 days):

a. Dh10,000 ÷ 30 = Dh333.33. Your daily wage is Dh333.33

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2. For those who have worked more than five years

c. 333.33 x 30 = Dh10,000. So 30 days’ salary is Dh10,000 in gratuity entitlement for each year of service.

Note: The maximum figure cannot exceed two years total salary figure.

Cracks in the Wall

Ben White, Pluto Press 

Living in...

This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.

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Real estate tokenisation project

Dubai launched the pilot phase of its real estate tokenisation project last month.

The initiative focuses on converting real estate assets into digital tokens recorded on blockchain technology and helps in streamlining the process of buying, selling and investing, the Dubai Land Department said.

Dubai’s real estate tokenisation market is projected to reach Dh60 billion ($16.33 billion) by 2033, representing 7 per cent of the emirate’s total property transactions, according to the DLD.

SERIE A FIXTURES

Saturday (All UAE kick-off times)

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Udinese v Sassuolo (3.30pm)

Sampdoria v Brescia (6pm)

Fiorentina v SPAL (6pm)

Torino v Bologna (6pm)

Verona v Genoa (9pm)

Roma V Juventus (11.45pm)

Parma v Lecce (11.45pm)

 

 

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Updated: October 13, 2021, 11:30 AM`