As we move into the second half of 2019, property prices in Dubai continue to be attractive for both tenants and investors.
According to the latest market report from Bayut, there is a perceivable shift in interest towards competitively priced areas when it comes to renting, while historically more expensive areas for investments have become more affordable.
Being a consumer driven market has created an environment that is conducive for lucrative property deals, which end users appear to be capitalising on as per Bayut’s report.
This is in line with a recent report revealing that real estate transactions in Dubai have gone up by 33 per cent compared to what was seen in the same period last year.
Communities such as Al Nahda, Mirdif, Bur Dubai and International City dominate the rental market, while Palm Jumeirah, Arabian Ranches, Dubai Marina and Downtown take the lead for sales.
In terms of ROI, the suburban community of International City is the most attractive as per Bayut, with impressive rental yields of up to 9.7 per cent/
Price trends for the first half of 2019 reveal that apartments in Dubai have largely witnessed minimal decreases of between four and eight per cent for both sales and rentals.
According to the data released by Bayut, Dubai Marina is the most popular area for buying apartments in Dubai.
However, prospective tenants turn to Al Nahda as the first choice for renting flats in the emirate with Marina closely following as the second most popular neighbourhood.
Potential investors will be happy to note that upscale communities such as Dubai Marina and Downtown Dubai show price declines over the eight per cent mark, offering investors a chance to invest in luxury at lucrative rates.
This can be credited to the recent new launches of numerous upcoming projects in both areas.
For villas, the upscale Palm Jumeirah is the most popular among buyers, while Mirdif received the highest searches among renters.
For villa sales, the only mention-worthy declines that investors should take note of are for certain units in Dubailand and Mudon.
Most parts of Dubailand including Mudon have had a significant number of handovers in the last year, so we can expect prices to fluctuate and go up or down depending on the type of projects being delivered.
More luxury deliveries can see prices go up, while reasonably priced units could bring down the overall average of these new communities.