Off-plan deals in Dubai increased by 51% compared to same period last year
Property deals worth AED5.6 million ($1.5bn) were completed in Dubai during Ramadan this year.
Research from Property Finder revealed there were off-plan deals worth AED2.63 billion in the emirate over the period, an increase of 51 percent on Ramadan 2018 (AED1.74 billion) and up 54 percent on the 2017 figure (AED1.71 billion).
“It is also important to note the total average price for off-plan residential transactions has increased year on year. The overall average price for off-plan residential transactions in 2018 was AED1.23 million while in 2019, the overall average price is AED1.42 million,” said Lynnette Abad, director of research & data, Property Finder.
Downtown Dubai, Meydan One and The Lagoons in Dubai Creek Harbour were the most popular areas for off-plan property purchases, while there was also off-plan demand at projects like Dubai South, Dubai Hills Estate, Mohammed Bin Rashid City and Jumeirah Village Circle (JVC).
The secondary property market in Dubai saw AED3.04 billion worth of properties exchange hands during the Holy Month. This was a decrease of 36 percent compared to similar deals worth AED4.75 billion during Ramadan 2018 and a dip of 16 percent compared to deals worth AED3.61 billion signed during Ramadan 2017.
In 2018, eight per cent of the overall property sales transactions in Dubai, worth AED6.49 billion, happened during Ramadan (May-June).
In terms of volume, Dubai witnessed a total of 3,089 transactions during Ramadan 2019 compared to 2,684 transactions for the same timeframe last year.
There were 1,851 off-plan transactions registered in Dubai - a 31 percent increase compared to the 1,417 off-plan deals transacted during Ramadan 2018 and up 34 percent compared to the 1,377 off-plan property deals during Ramadan 2017.
“The statement that property sales slow down during Ramadan is pure myth,” added Abad.
In terms of the secondary market, Dubai witnessed 1,238 property transactions through the course of Ramadan 2019, down two percent compared to 1,267 similar deals during Ramadan 2018 and up six percent compared to 1,165 transactions in Ramadan 2017.
Demand for secondary properties was strong in established communities such as Business Bay, Dubai Marina, JVC, International City, Jumeirah Lakes Towers and Emirates Living during Ramadan this year.