Sophie Kaila and her family moved from renting a five-bedroom villa in Arabian Ranches to buying a three-bedroom property in Emaar South. Photo: Sophie Kaila
Sophie Kaila and her family moved from renting a five-bedroom villa in Arabian Ranches to buying a three-bedroom property in Emaar South. Photo: Sophie Kaila
Sophie Kaila and her family moved from renting a five-bedroom villa in Arabian Ranches to buying a three-bedroom property in Emaar South. Photo: Sophie Kaila
Sophie Kaila and her family moved from renting a five-bedroom villa in Arabian Ranches to buying a three-bedroom property in Emaar South. Photo: Sophie Kaila

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UAE

Dubai property market undergoing a transformation, say estate agents

New homeowners are looking for longer-term stability as they lay down more permanent roots in the city

Katy Gillett

March 30, 2024

  • English
  • Arabic

Increased rental costs and a surge in residents staying in the UAE for longer means property sales in Dubai are rising, real estate agents have said.

Along with the lure of a UAE golden visa, which comes along with certain high-priced property sales and grants longer term residency, many residents from overseas are taking advantage of the country's interest-free payment plans for off-plan properties with minimal upfront costs.

Manal Fraiwat, property management consultancy Asteco's chief property management officer, said this increase in sales is influenced by the recent shift in the property market, which she said is "undergoing a transformation".

More residents are choosing to become homeowners because they want long-term stability and to avoid increasing rental prices, Ms Fraiwat told The National.

Increase in foreign buyers

Asteco reported a rise in property purchases from both overseas and overseas resident buyers in Dubai in the past year.

Its 2023 third-quarter property report found unprecedented growth across the country, with a projected positive trajectory this year.

The total property sales value in Dubai reached Dh411.7 billion ($112 billion) last year – a 55 per cent increase compared to 2022, according to Fam Properties.

Dubai Land Department statistics also show a huge rise in foreign property purchases in the first quarter of the year, compared to the same period four years ago.

Ms Fraiwat said there is an increase in people buying luxury apartments and villas.

"This is being driven by high-net-worth individuals seeking a luxurious lifestyle as well as family-friendly communities," she said, adding that off-plan properties are also offering attractive investment opportunities and the potential for capital appreciation.

Feeling at home in the UAE

Government initiatives such as long-term residency and the golden visa programme may also contribute to the increase, she said.

"This trend towards homeownership indicates a strengthening sense of belonging and commitment among the UAE residents.

Dubai is the place everyone wants to be. It's widely said it's the safest, most secure destination
Jamie Grimshaw,
co-founder, Luxury Invest Group

"While investing in property remains a choice, a growing number of residents are aiming to settle down and forge a lasting future in the country. "

Jamie Grimshaw, co-founder of Luxury Invest Group, a boutique real-estate consultancy that specialises in luxury residential apartments and off-plan projects in both the UAE and UK, said he has witnessed a similar buying trend among his clients, but also within his social circles.

"I'm one of those people," said Mr Grimshaw, who moved from Britain to the UAE in 2013.

"Compared to when I first came, I think people's mindsets have changed. People used to come for one or two years, save some money, go back home, buy a house ... I feel Dubai has changed so much, people want to settle down and live here for longer now."

Jamie Grimshaw, centre, co-founder of Luxury Invest Group, bought his first home in Dubai two years ago. Photo: Luxury Invest Group
Jamie Grimshaw, centre, co-founder of Luxury Invest Group, bought his first home in Dubai two years ago. Photo: Luxury Invest Group

Mr Grimshaw bought his own property two years ago, at Park Island in Dubai Marina, paying Dh2.35 million.

"I planned to buy back home, but now I've bought here and I have no current plans to go back," he said.

Rising rental costs

When Sophie Kaila and her family were being evicted from their five-bedroom villa in Arabian Ranches, they decided it was time to buy instead of rent.

The house, which they had been renting for the same amount as they had previously paid for a three-bedroom apartment in Dubai Marina, had doubled in price since they moved in during the pandemic and could now be rented for Dh450,000 per year.

"We decided if we're going to downsize, we should just get on the property ladder," the British-Cypriot, who has twins, told The National.

"We have a long-term perspective living in Dubai, our business is here, we want the kids to go through school here, so it made sense for us to live in something that's ours, that provides long-term financial security, knowing what the costs are and we won't be served noticed and forced to move."

Ms Kaila, who owns an art consultancy business with her husband, moved to a three-bedroom villa in Emaar South, which she said made sense for them in terms of affordability and proximity to her children's school.

The property in Emaar South has three bedrooms and ample garden space. Photo: Sophie Kaila
The property in Emaar South has three bedrooms and ample garden space. Photo: Sophie Kaila

It's a story that has become common in Dubai, with evictions leading to more foreign residents buying their homes instead of renting, which has historically been the case.

It was the same for Bahraini resident Ahmed Ali and his family, who have been living in Dubai since 2015 and considering buying property for years.

When their Dubai Hills landlord gave them their notice last year, they finally took the plunge, buying a villa for Dh4.9 million in Arabian Ranches 2, where they plan to stay for at least the next five years.

"Prices weren't coming down and we wanted security in a house where no one can kick us out," he said.

Increased market confidence

Nikki Martin, co-founder of new female-led Palm Living Real Estate, said she has noted an increase in European buyers lately, particularly from the UK.

"This might be due to rising interest rates back home, coupled with attractive tax benefits in the UAE," she told The National.

"In today's market, it seems more sensible to invest in the UAE rather than elsewhere, whether for investment or living purposes.

"With no apparent signs of a slowdown, backed by statistical data, buying property here seems more justifiable than their high-tax and high-interest-rate home countries," she added.

Meanwhile, off-plan projects have become popular among many buyer demographics, Ms Martin said.

"These projects offer easy, interest-free payment plans, making it easier for expatriates to enter the property market in the UAE with minimal upfront costs."

Advantages to buying property

While the buying process is not necessarily easier than before, and mortgage fees have actually risen over the years, it is an easier decision to make, added Mr Grimshaw.

"Dubai is the place everyone wants to be. It's widely said it's the safest, most secure destination. You get advantages now buying, such as your golden visa, and obviously it helps that the market is increasing."

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He advised anyone who is looking to buy to properly research the area they want to live in first, then get in touch with a mortgage broker.

"Work out how much you can actually afford and see what areas are open to you," he said.

"Also stick to one agent. Find out who the specialist in the area is who you trust and just stick with them. They'll be able to find you the property you want and it'll eliminate so much stress from your life."

Luxury property launches in Dubai – in pictures

The Palm Jumeirah saw the majority of deals in luxury and super luxury sales in Dubai in 2023. AFP
The Palm Jumeirah saw the majority of deals in luxury and super luxury sales in Dubai in 2023. AFP
At 450m, the Franck Muller Aeternitas tower will be one of the tallest in the city when complete in 2027. It will feature 649 one, two and three-bedroom apartments, plus duplexes, over 106 floors – all topped by a giant clock. Photo: London Gate
At 450m, the Franck Muller Aeternitas tower will be one of the tallest in the city when complete in 2027. It will feature 649 one, two and three-bedroom apartments, plus duplexes, over 106 floors – all topped by a giant clock. Photo: London Gate
Bayz 101 by Danube will have 1,346 apartments and is the developer's largest project to date in terms of both units and overall space. Photo: Danube Properties
Bayz 101 by Danube will have 1,346 apartments and is the developer's largest project to date in terms of both units and overall space. Photo: Danube Properties
Sharjah property developer Arada has launched sales for its luxury project in Dubai, the Armani Beach Residences at Palm Jumeirah. Prices start at Dh21 million ($5.7m). Photo: Arada
Sharjah property developer Arada has launched sales for its luxury project in Dubai, the Armani Beach Residences at Palm Jumeirah. Prices start at Dh21 million ($5.7m). Photo: Arada
Designed by Japanese Pritzker-Prize-winning architect Tadao Ando, in collaboration with fashion icon Giorgio Armani, Armani Beach Residences features 53 two to five-bedroom residences, plus penthouses and two presidential suites. Photo: Arada
Designed by Japanese Pritzker-Prize-winning architect Tadao Ando, in collaboration with fashion icon Giorgio Armani, Armani Beach Residences features 53 two to five-bedroom residences, plus penthouses and two presidential suites. Photo: Arada
One of the largest private penthouses in Dubai is on sale for Dh600 million. It comprises the three top-three levels and rooftop of Raffles The Palm Dubai Residences. Photo: Emerald Palace Group
One of the largest private penthouses in Dubai is on sale for Dh600 million. It comprises the three top-three levels and rooftop of Raffles The Palm Dubai Residences. Photo: Emerald Palace Group
Dubai's AHS Properties has launched a $850 million project called Casa Canal, located at Dubai Water Canal. Photo: AHS Properties
Dubai's AHS Properties has launched a $850 million project called Casa Canal, located at Dubai Water Canal. Photo: AHS Properties
Casa Canal will have a mix of residences, including three-bedroom penthouses, four and five-bedroom villas and six-bedroom mansions. Units are priced between Dh22.5 million and Dh185 million and the project is set to be delivered in late 2025. Photo: AHS Properties
Casa Canal will have a mix of residences, including three-bedroom penthouses, four and five-bedroom villas and six-bedroom mansions. Units are priced between Dh22.5 million and Dh185 million and the project is set to be delivered in late 2025. Photo: AHS Properties
Nakheel, the developer behind The Palm Jumeirah, launched the first waterfront villa project on the Palm Jebel Ali in 2023. Leslie Pableo / The National
Nakheel, the developer behind The Palm Jumeirah, launched the first waterfront villa project on the Palm Jebel Ali in 2023. Leslie Pableo / The National
The launch of properties on four fronds of Palm Jebel Ali offer two types of homes – coral and beach villas, says Nakheel. Photo: Nakheel
The launch of properties on four fronds of Palm Jebel Ali offer two types of homes – coral and beach villas, says Nakheel. Photo: Nakheel
Dubai developer Sankari Properties is building a $1 billion ultra-luxury project in Marasi Business Bay. Units will start at $10 million. Photo: Sankari Properties
Dubai developer Sankari Properties is building a $1 billion ultra-luxury project in Marasi Business Bay. Units will start at $10 million. Photo: Sankari Properties
Damac launched Cavalli Couture on Dubai Water Canal in 2022. The 14-storey building features 70 units, comprising three, four and five-bedroom duplex sky villas and duplex penthouses. Photo: Damac
Damac launched Cavalli Couture on Dubai Water Canal in 2022. The 14-storey building features 70 units, comprising three, four and five-bedroom duplex sky villas and duplex penthouses. Photo: Damac
Jumeirah Bay Island is one of Dubai's prime residential neighbourhoods. Photo: Bulgari
Jumeirah Bay Island is one of Dubai's prime residential neighbourhoods. Photo: Bulgari
There were close to 50 sales of Jumeirah Bay Island properties in excess of $10 million in 2023.
There were close to 50 sales of Jumeirah Bay Island properties in excess of $10 million in 2023.
Also much sought-after is The Mansions, Lanai Islands, Tilal Al Ghaf, Dubai. Photo: Knight Frank
Also much sought-after is The Mansions, Lanai Islands, Tilal Al Ghaf, Dubai. Photo: Knight Frank
A luxury villa in Dubai's Emirates Hills sold for Dh102.8 million in 2022. Photo: Phoenix Homes
A luxury villa in Dubai's Emirates Hills sold for Dh102.8 million in 2022. Photo: Phoenix Homes
The five pillars of Islam

1. Fasting

2. Prayer

3. Hajj

4. Shahada

5. Zakat 

Vaccine Progress in the Middle East
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Tips to stay safe during hot weather
  • Stay hydrated: Drink plenty of fluids, especially water. Avoid alcohol and caffeine, which can increase dehydration.
  • Seek cool environments: Use air conditioning, fans, or visit community spaces with climate control.
  • Limit outdoor activities: Avoid strenuous activity during peak heat. If outside, seek shade and wear a wide-brimmed hat.
  • Dress appropriately: Wear lightweight, loose and light-coloured clothing to facilitate heat loss.
  • Check on vulnerable people: Regularly check in on elderly neighbours, young children and those with health conditions.
  • Home adaptations: Use blinds or curtains to block sunlight, avoid using ovens or stoves, and ventilate living spaces during cooler hours.
  • Recognise heat illness: Learn the signs of heat exhaustion and heat stroke (dizziness, confusion, rapid pulse, nausea), and seek medical attention if symptoms occur.
Conflict, drought, famine

Estimates of the number of deaths caused by the famine range from 400,000 to 1 million, according to a document prepared for the UK House of Lords in 2024.
It has been claimed that the policies of the Ethiopian government, which took control after deposing Emperor Haile Selassie in a military-led revolution in 1974, contributed to the scale of the famine.
Dr Miriam Bradley, senior lecturer in humanitarian studies at the University of Manchester, has argued that, by the early 1980s, “several government policies combined to cause, rather than prevent, a famine which lasted from 1983 to 1985. Mengistu’s government imposed Stalinist-model agricultural policies involving forced collectivisation and villagisation [relocation of communities into planned villages].
The West became aware of the catastrophe through a series of BBC News reports by journalist Michael Buerk in October 1984 describing a “biblical famine” and containing graphic images of thousands of people, including children, facing starvation.

Band Aid

Bob Geldof, singer with the Irish rock group The Boomtown Rats, formed Band Aid in response to the horrific images shown in the news broadcasts.
With Midge Ure of the band Ultravox, he wrote the hit charity single Do They Know it’s Christmas in December 1984, featuring a string of high-profile musicians.
Following the single’s success, the idea to stage a rock concert evolved.
Live Aid was a series of simultaneous concerts that took place at Wembley Stadium in London, John F Kennedy Stadium in Philadelphia, the US, and at various other venues across the world.
The combined event was broadcast to an estimated worldwide audience of 1.5 billion.

Queen

Nicki Minaj

(Young Money/Cash Money)

Sanju

Produced: Vidhu Vinod Chopra, Rajkumar Hirani

Director: Rajkumar Hirani

Cast: Ranbir Kapoor, Vicky Kaushal, Paresh Rawal, Anushka Sharma, Manish’s Koirala, Dia Mirza, Sonam Kapoor, Jim Sarbh, Boman Irani

Rating: 3.5 stars

UAE currency: the story behind the money in your pockets
Match info:

Real Betis v Sevilla, 10.45pm (UAE)

UPI facts

More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions

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Whiile you're here
Abu Dhabi World Pro 2019 remaining schedule:

Wednesday April 24: Abu Dhabi World Professional Jiu-Jitsu Championship, 11am-6pm

Thursday April 25:  Abu Dhabi World Professional Jiu-Jitsu Championship, 11am-5pm

Friday April 26: Finals, 3-6pm

Saturday April 27: Awards ceremony, 4pm and 8pm

'Munich: The Edge of War'

Director: Christian Schwochow

Starring: George MacKay, Jannis Niewohner, Jeremy Irons

Rating: 3/5

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MATCH INFO

Europa League final

Marseille 0

Atletico Madrid 3
Greizmann (21', 49'), Gabi (89')

SPECS
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Publisher: LucasArts
Console: PlayStation 1 & 5, Sega Saturn
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F1 The Movie

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Director: Joseph Kosinski

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UK-EU trade at a glance

EU fishing vessels guaranteed access to UK waters for 12 years

Co-operation on security initiatives and procurement of defence products

Youth experience scheme to work, study or volunteer in UK and EU countries

Smoother border management with use of e-gates

Cutting red tape on import and export of food

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Lexus LX700h specs

Engine: 3.4-litre twin-turbo V6 plus supplementary electric motor

Power: 464hp at 5,200rpm

Torque: 790Nm from 2,000-3,600rpm

Transmission: 10-speed auto

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Favourite dessert: Umm Ali with dark camel milk chocolate flakes

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Breakfast routine: a tall glass of camel milk

Our commentary on Brexit
Ferrari 12Cilindri specs

Engine: naturally aspirated 6.5-liter V12

Power: 819hp

Torque: 678Nm at 7,250rpm

Price: From Dh1,700,000

Available: Now

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Engine: 2.0-litre 4cyl turbo

Power: 248hp at 5,200rpm

Torque: 400Nm at 1,750-4,000rpm

Transmission: 8-speed auto

Fuel consumption: 9.1L/100km

On sale: Now

Price: From Dh149,900

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UAE currency: the story behind the money in your pockets
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Results

Stage 7:

1. Caleb Ewan (AUS) Lotto Soudal - 3:18:29

2. Sam Bennett (IRL) Deceuninck-QuickStep - same time

3. Phil Bauhaus (GER) Bahrain Victorious

4. Michael Morkov (DEN) Deceuninck-QuickStep

5. Cees Bol (NED) Team DSM

General Classification:

1. Tadej Pogacar (SLO) UAE Team Emirates - 24:00:28

2. Adam Yates (GBR) Ineos Grenadiers - 0:00:35

3. Joao Almeida (POR) Deceuninck-QuickStep - 0:01:02

4. Chris Harper (AUS) Jumbo-Visma - 0:01:42

5. Neilson Powless (USA) EF Education-Nippo - 0:01:45

UAE currency: the story behind the money in your pockets
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  • Engine: 3.9-litre twin-turbo V8
  • Power: 640hp
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PSL FINAL

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Company profile

Name: GiftBag.ae

Based: Dubai

Founded: 2011

Number of employees: 4

Sector: E-commerce

Funding: Self-funded to date

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Pharaoh's curse

British aristocrat Lord Carnarvon, who funded the expedition to find the Tutankhamun tomb, died in a Cairo hotel four months after the crypt was opened.
He had been in poor health for many years after a car crash, and a mosquito bite made worse by a shaving cut led to blood poisoning and pneumonia.
Reports at the time said Lord Carnarvon suffered from “pain as the inflammation affected the nasal passages and eyes”.
Decades later, scientists contended he had died of aspergillosis after inhaling spores of the fungus aspergillus in the tomb, which can lie dormant for months. The fact several others who entered were also found dead withiin a short time led to the myth of the curse.

Updated: April 02, 2024, 5:20 AM`
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