Dubai property consumers demand it all, from private swimming pools to high-tech smart systems.
Homes with easy access to lifestyle amenities are in greater demand. As more end-users come into the market, setting new sales records.
The Mask mandated and social restrictions have been dropped for now but memories of early-stage pandemic lockdowns. Continue to influence buyers’ decision-making process regarding real estate choices here Dubai agents say. As such, spacious homes that offer privacy yet maintain the connection between family members still seem attractive among other things. Leading them to set all-time high marks on record. So far this year already despite being only halfway through 2021 thus far!
The pandemic has caused many people to lose their homes, luxury properties have been in high demand. “Villa sales and rentals are at an all-time high because they provide world-class amenities. Within one’s own community,” says Neeraj Mishra from Scorpion Property boutique real estate agency.
“In this post-pandemic era of consumption. “Consumers prefer open space for healthier living,” he said. Thus we’ve seen increased interest among buyers who seek out these types of gardens or massive pools when buying houses”
This year has been a great one for luxury real estate in the Persian Gulf. With new upscale buildings such as Atlantis, Royal Residences. In addition, Six Senses coming out of nowhere to raise their eyebrows at least once per heartbeat. It is clear that investors are looking beyond just investment value when making purchase decisions. They want something unique too!
Luxury homes in Dubai are getting more and more expensive. Capital values for these properties have grown 44% over the past year. Which is faster than any other top 100 urban markets around the world! This trend seems set to continue. With transaction volumes at 19900 during Q1 2022–a new high-water mark so far this decade.”
The Dubai real estate market has thrived in the face of adversity. As worldwide economies recover. This sun-kissed city continues to be a hot destination for high net worth. Individuals looking to buy or sell their luxury properties with ease. Not only does it offer an excellent quality of life. Also generous tax incentives. That make investing here more lucrative than ever before!
However, investor interest has recently risen because of swift government action following a successful Covid-19 vaccination implementation. In addition, a series of immigration and employment reforms, including visa liberalization and a road to citizenship.
“Dubai has managed to build demand for luxury residences and hotel flats even in the midst of a crisis.” Says Rizwan Sajan, President and Founder of the Danube Group.
“Dubai’s administration responded promptly and successfully to the outbreak, sending reassuring calm to the world’s money markets. Which in turn drew the attention of the world’s leading stakeholders and business movers to Dubai.” In addition, the UAE is successful handling of the COVID-19 virus over the previous two years. That has made the country more appealing, safe, and secure. For international investors, who consider the UAE and Dubai as a safe destination to live, operate, conduct business, and retire?
Property purchase has become more appealing because of the recent round of property-related visa reforms. It now comes with such a 10-year golden visa, based on the value of the investment,” Sajan explains.
Following the ratification of a new law by Shaikh Mohammad Bin Rashid Al Maktoum, VP, and Prime Minister of the Ruler of Dubai. In mid-April, real estate investors may receive a 10-year ‘golden’ residency visa when they purchase property valued at least Dh2 million.
“Dubai remains massively underpriced per sq. ft. in the luxury real estate industry relative to London and New York,” Crossley says. “Therefore the world’s super rich and skilled have to and must seriously consider moving to Dubai.” “However, they expect the same level of quality and presentation that they see in LA or London and will not settle for less. Therefore, Dubai’s high-end real estate had to step up its game in terms of design, build quality, and finish. To meet these ultra-discerning buyers’ needs and expectations: the latest home smart systems, top-notch security, and privacy.”
Developers are continuing to roll out high-end projects, ranging from serviced homes to collaborations. With premium brands, in order to check off all of the boxes on purchasers’ wish lists.
“Luxury investors increasingly regard their dream property as a space that is near to nature. Preferring coastal communities capable of providing options between exquisite apartments, gorgeous villas, or high-end townhouses.” Says Francis Alfred, General Manager at developer Sobha Realty. “Areas with abundant green spaces, international amenities. And a diverse range of authentic cuisines, retail centers, and entertainment alternatives are in great demand,” he says. Over the course of 2021, the company’s sales will surpass $1 billion, a new high.
Sobha is planning to unveil another major development this year, with 60% of the work on the 8-million-square-foot Sobha Hartland completed. The new project, known as Hartland Sanctuary, is worth $4 billion and spans 200 acres in Mohammed Bin Rashid City.
Damac Properties has announced a collaboration with de Grisogono, a Swiss jeweler, for a necklace-inspired dual development at Safa One, on the outskirts of Safa Park.
Similarly, Dar Al Arkan, a Saudi developer, revealed the W Residences Dubai – Downtown in February. The construction boasts unobstructed perspectives of the Burj Khalifa as the first independent home in collaboration with the elite hotel brand.
The epidemic has had an impact on sales at the best available price, from luxury furnishings to multi-functional layouts, according to Andrew Covill, Director of estate brokers Henry Wiltshire International. “Demand for homes, offices, and isolation from familial living spaces is increasing, as has been frequently recorded throughout the epidemic age, as is demand for lawns or terraces.” These features are critical considering the amount of time many people now spend working from home,” he explains.
The Danube just announced Pearlz, a new home property in the Al Furjan district, at the budget luxury level. The complex has a doctor on call and a children’s daycare center, in addition to amenities including a health club, swimming pools, and an events space.
In response to the desire for flexible spaces, some flats have foldable wall-mounted beds that can be turned into bedrooms. The development’s three-bedroom units, meanwhile, come with their own private pools and three parking spaces.
Similarly, Sobha is attempting to meet evolving customer preferences. “Today’s homes must be adaptable and work to improve relaxation and comfort, hence why luxury homes with elevated amenities are becoming increasingly popular. Investors are looking for venues that can help them achieve their sustainable living goals while also giving them a technical edge,” he says.
Sobha houses may now have under-the-hood features like wireless home automation, electric vehicle charging stations, solitary draining systems, and leakage-proof plumbing connections, all in keeping with the low-carbon lifestyle, he explains.
“Sustainable, environmentally friendly homes that help to reduce carbon emissions have become a market goal.”
Whether we come back to work full-time or not, the epidemic has had a significant impact on Dubai’s luxury market. However, while consumers realize will stand to profit from lower opportunity costs, buyers may need to conduct a little more research before investing.
Abu Dhabi’s Luxury Property Outlook
“The availability of luxury houses in Abu Dhabi is restricted, particularly in the villa class.” Given the scarcity of available space and the increasing expansion and development in Abu Dhabi, we believe the future is bright. “Prices have steadily increased over the last 2 years from a seven-year low in 2020, & we expect this trend continue over the next three years,” says Andrew Covill, Director of estate brokers Henry Wiltshire International.
According to commercial real estate services CBRE, residential prices in the emirate grew 1.5 % in the year to March, with villa costs jumping 1.1 %. The trend is consistent with the market’s strength and a constrained pipeline – only 200 new units were supplied in the first quarter of 2022.
Another 9,588 units are expected to be supplied between now and December, largely in the Reem Island, Al Maryah Island, and Al Raha Beach areas.