Showcasing the resilience of Dubai real estate's sector, transactions in 2022 grew to record a 58.5 percent year-on-year increase compared to 2019, according to Innovate Real Estate, Dubai is optimistic about the new records to showcase to the world of Real Estate in 2023 "We have seen positive momentum in the market over these past quarters of 2022, showcasing the resilience of Dubai's real estate sector. We see positive sentiments for investment opportunities following various governmental reforms and initiatives, making Dubai's properties one of the most preferred investment assets for the long term," said Stephen Daramola, Managing Director at Innovate Real Estate. In tandem with the record surge in transaction value and volume, Dubai’s property sector witnessed a price surge fuelled by the rising demand from high-net-worth individuals and foreign investors. According to Innovate Real Estate Insights, property prices increased by 1.8 percent in October, with similar trending in November and more surge in price in December of 2022. Average property prices have reached Dh 1,070, with 8.5 percent and 13 percent growth in the prices of apartments and villas, respectively. The luxury property segment in Dubai has reported growth of 88.9 percent globally, leading Miami and Tokyo by huge margins. Promising outlook for prime areas Jumeirah, Downtown Dubai, Palm Jumeirah, DIFC, MBR City, JVC, Dubai Hills, and Business Bay are the popular areas for apartments, Zoom reported. Chantal Thomas, the Sales consultant at Innovate Real Estate, said prime areas in Dubai would continue the upward momentum in 2023 as well. “The year 2022 proved to be a great year for the luxury property segment and the trend is expected to grow twice in 2023 as well. The launch of various new developments featuring ultra-prime properties will continue to attract HNWIs and foreign investors,” Chantal said. Property Finder report said while existing properties recorded 5,825 transactions, with a remarkable increase of 54.8 percent year-on-year, reflecting an outstanding sales transaction performance for November 2022, in terms of value, the transactions for existing properties witnessed an increase of 60.8 percent year-on-year, reaching Dh17.8 billion compared to Dh11.1 billion in November 2021. Off-plan properties Off-plan properties witnessed a record-breaking performance, transacting more than Dh12.7 billion for the first time in a decade, with an increase of 87.1 per cent compared to Dh6.8 billion in November 2021. November 2022 also recorded the highest off-plan volume and value of transactions in a decade, maintaining a remarkable performance last month. The volume of off-plan properties recorded a significant increase of 63 per cent year-on-year, attaining 5,116 transactions compared to the same period last year, with a total of 3,143 transactions. According to Property Finder's proprietary data, the top demanded areas searched for sale in November were Dubai Marina, Downtown Dubai, Palm Jumeirah, Dubai Hills Estate, Business Bay, Jumeirah Village Circle, Mohammed Bin Rashid City, Jumeirah Beach Residence, Jumeirah Lake Towers and Damac Hills (Akoya by Damac). The top overall demanded areas for rent in November were Dubai Marina, Downtown Dubai, Jumeirah Village Circle, Business Bay, Dubai Hills Estate, Palm Jumeirah and Jumeirah Lake Towers. HNWIs to drive luxury segment In 2023, Dubai’s prime areas will continue to attract HNWIs and millionaires and prices are expected to sustain an upward trend, Zoom Property Insights report added. However, the mainstream residential market is expected to post steady growth in prices next year. For 2023, the report forecasts a strong double-digit growth of around 15 per cent in the emirate’s prime areas, which encompass the neighbourhoods of The Palm Jumeirah, Emirates Hills, and Jumeirah Bay Island. It sees up to 7 per cent average price increase in the emirate’s mainstream residential market in 2023. “With the way the property market is performing, this figure looks certainly achievable. The areas famous for luxury properties, as well as affordable properties, are performing exceptionally well, paving the way for a strong end to the year 2022 and an equally strong start to 2023”.