The total number of property deals last month jumped to 7,273, a 33.4 per cent year-on-year increase in volume, according to the latest report by consultancy CBRE.
Off-plan market sales increased by 51.4 per cent while the secondary property market transactions rose by 17.3 per cent over the same period.
In the 12 months to the end of September, the total volume of transactions reached 62,396, the highest level recorded since 2009, over the same period, CBRE said in its Dubai Residential Snapshot report.
Average prices for residential properties rose by 8.9 per cent in 12 months to the end of September, with average apartment prices rising by 8 per cent and villas recording a more than 14 per cent jump.
The average apartment price in Dubai at the end of September reached Dh1,133 ($308) per square foot, while for villas, it climbed to Dh1,350 per square foot.
However, despite the sharp increase, these average rates are “still below the highs witnessed in late 2014”, with apartments remaining 23.8 per cent and villas staying 21.6 per cent below that peak, according to the CBRE report.
Dubai apartment prices — September 2022
Dubai's property market rebound has picked up pace this year as the emirate's economy continues to make a strong recovery from coronavirus pandemic-driven headwinds.
The emirate's economy grew by 6.2 per cent in 2021, according to preliminary data from the Dubai Statistics Centre. In the first three months of this year, Dubai's gross domestic product expanded 5.9 per cent, according to government data.
The strong sales performance in September also encapsulates the sharp rise in Dubai’s off-plan and secondary property sales in the third quarter of this year.
Transactions in the July-September period, both in terms of volume and value, climbed to a 12-year high, Property Finder said in a report earlier this month.
The market boom is expected to continue through to the end of the year, with a further boost set to come from the hosting of the football World Cup in Qatar next month.
Average rental rates in the year to September also increased by 26.6 per cent, with average apartment rents rising by 26.7 per cent and average villa rents by 25.5 per cent.
The highest average yearly apartment and villa rental rates were respectively recorded in The Palm Jumeirah and Al Barari, CBRE said.
“In the apartment and villa communities that we track, rents in 6.5 per cent and 28 of these respective communities now sit above their last peak,” said Taimur Khan, head of research for the Mena region at CBRE in Dubai.
“Rents in 22.6 per cent of apartment communities and 96 per cent of villa communities, in September 2022, are higher than the same period five years earlier.”
— This article was first published on October 13, 2022