By Gavin Gibbon
Latest figures from Data Finder show 41 percent of residential transactions last year were for units under AED1m
Expo 2020 Dubai is increasing the appetite for buy-to-let investors with Data Finder estimating yields of up to ten percent for properties in the emirate.
The real estate data and insights platform under the Property Finder Group has revealed a shift in Dubai’s property market away from luxury, with 41 percent of the overall 37,788 residential transactions last year relating to units under AED1 million.
“In H2 of last year, we started to see an increase in investor activity buying studios and one bedrooms, presumably gearing up toward Expo 2020 with rental income in mind,” said Lynnette Abad, director of data & research, Property Finder.
Communities that clocked the highest number of overall sales for residential properties priced below AED1m in 2019 were Jumeirah Village Circle (1,473 transactions), International City (1,426), Meydan (1,079), Business Bay (976) and Jumeirah Lakes Towers (887), according to Data Finder. The average sale price for a property in JVC was AED586,389 in 2019.
Dubai registered 9,044 off-plan transactions for units below AED1m in 2019. In the off-plan market, Meydan accounted for most deals (1,040), followed by Dubai Hills Estate (812), JVC (783), Business Bay (768) and Dubai South (689). The average sale price for an off-plan property in Meydan City was AED605,777.
There were 6,472 deals on the secondary market for properties priced below AED1m in 2019. International City accounted for most such deals (1,128) in the secondary market, followed by JVC (690), Al Furjan (507), Dubai Sports City and Dubai Marina (469 each). The average sale price for a ready property in International City was AED313,173 last year.