Tendencies in the real estate market in Dubai: changing prices and cryptocurrency

Property for sale in Dubai in the first quarter of 2022

The DLD has confirmed the final statistics of all property sales in Dubai for the first quarter of 2022. In total, the DLD recorded 25,972 transactions. This indicator has become another record: among all previous years, this is the highest value of the volume of quarterly transactions.

Of this number, the vast majority of transactions (namely 20,539) concerned the purchase or sale of real estate. The total amount of the said number of transactions amounted to AED 55.51 billion. If transferred into dollars, it turns out as USD 15.11 billion.

The data obtained reflects the full range of changes in the real estate market and its rapid growth. Investors appreciate the transparency of the market, the abundance of profitable offers, and the quick payback period of investments. It is reported that in the first quarter of this year, the most popular areas for the purchase of residential real estate were: 

• Downtown Dubai, 
• Dubai Marina, 
• Business Bay, 
• Palm Jumeirah, 
• and JMC.

Investors who opted for villas and townhouses preferred to pay attention to such areas as Palm Jumeirah, Dubai Hills Estate, and Damac Hills. A combination of factors such as improved investor sentiment and pent-up demand has created an incredible demand for real estate. And in combination with measures to attract investors, this led to a significant development of the market.

Prices of popular real estate in Dubai changed

The first quarter of 2022 continues the tradition that started back in 2021 – the increase in the cost of housing. However, prices varied in different ways: everything depended on the location of the property, its class, the surrounding infrastructure, and the availability of amenities. We will look at the statistics of price changes for the most popular real estate in Dubai.

1. First of all, you should consider apartment buildings in which apartments are located. In this sector, Dubai Marina, Jumeirah Beach Residence, and Business Bay have become the most popular areas. The growth in prices of such properties amounted to 3.4%, 16%, and 10% year on year. The most sought-after community was Palm Jumeirah, where a growth of 22% was recorded.

2. As for villas, on average, prices of such properties have increased by about 20% in one quarter. The average cost of one square foot today is about AED 1267. The communities of Arabian Ranches and Jumeirah Islands were the most popular choice of buyers – here the annual growth was approximately 40%.

Next comes The Lakes community, where villa prices have risen by about 37%. Rounding out the list are Jumeirah Village and Palm Jumeirah, which recorded an increase of about 35%.

Real estate for cryptocurrency

Damac has also joined the bulk of developers who accept cryptocurrency as payment for real estate. Representatives of the developer are sure that such an innovation will make it possible to make a real revolution in the property market, and at the same time attract investors from all over the world.

Damac Properties will reportedly accept Bitcoin (BTC) and Ethereum (ETH). The company claims that the use of cryptocurrency helps to make any real estate transaction simpler and more transparent. The introduction of cryptocurrency will help to take a step toward customers.

Moreover, this process will launch the acceleration of the new economy. Damac General Manager Ali Sajwani also says that this will help the developer quickly plunge into the atmosphere of digital transformation.

Dubai is indeed seeing a meteoric rise in the adoption of cryptocurrencies. At the same time, this innovation applies not only to developers but also to companies engaged in other areas: for example, today you can order delivery or use consulting services by paying with cryptocurrency.

The growing popularity of cryptocurrencies in the United Arab Emirates is also evidenced by the fact that international cryptocurrency platforms are declaring their intentions to open their headquarters in the city.

Real estate agency in Dubai

Do you want to find and buy property in Dubai? By contacting the Ax Capital agency, you will receive advice from market experts, assistance in choosing the best properties, as well as help in preparing the necessary documents.