Dubai has so far recorded a total of AED68.48 billion ($18.6 billion) of real estate transactions in 2016, challenging claims that the market is declining, the director-general of Dubai Land Department has reportedly revealed.
Sultan Butti bin Merjen told Emirates247 that more than AED68 billion of deals had been struck in the first 53 days of 2016, and the department predicts a total AED300 billion ($81.6 billion) of transactions over the course of the year.
This forecast far exceeds the figure for last year – according to the DLD’s annual report published in January the total value of real estate transactions in Dubai last year was AED267 billion ($72.6 billion).
This in turn was a substantial increase from 2014, when around AED218 billion ($59.3 billion) of property deals were recorded.
Bin Merjen was speaking one the sidelines of the Cinder Dubai 2016 conference. He said: “Investors are buying into the property market and we can see that, with registration of AED68 billion worth of deals from January to February 22 2016.
“In fact, we expect to touch AED300 billion in real estate transactions this year.”
The director-general reportedly said this showed continued faith among investors of the Dubai property market. “People talk of a correlation between lower oil prices and property, but we haven’t seen any such thing,” he said.
“People are buying and not all of them have any business with oil. There are a lot of investors with money who have trust in Dubai.”
Real estate consultancy JLL said in a report last month it expected property prices to plummet lower this year – by up to 10 percent in some areas of the emirate.
But Bin Mejren said the latest figures from the DLD suggested the market was “thriving”. He said: “The department has a comprehensive vision aimed to transform Dubai into a global real estate destination.
“We are working on making ‘smart’ solutions so we acquire the confidence of all segments of our customers, and guarantee them happiness in all the services we provide to them.”
In January, the DLD’s annual report revealed that 55,928 investors from 150 nationalities invested a total of AED135 billion ($26 billion) in the emirate’s real estate during 2015.
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